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B-198770 1 (1980-11-13)

handle is hein.gao/gaobadirt0001 and id is 1 raw text is: ,P. -., I *I V.k DECISION FILE: B-198770 THE COMPTROLLER GENERAL OF THE UNITED STATES WASHINGTON. O.C. 20548 P< /'I-- DATE: November 13, 1980 I .1 MATTER OF: Philip W. McNany DIGEST: 1. It is a fundamental and long-estab- lished rule of law that a person receiving money erroneously paid by a Government agency or official acquires no right to that money and is liable to make restitution; how- ever, by special statutory authori- zation the claim against a Federal employee arising out of an erroneous payment of pay or allowances may be waived, if collection of the erron- eous payment would be against equity and good conscience and not in the best interests of the United States. 5 U.S.C. 5584. 2. The claim against a Federal employee for a refund of excessive Temporary Lodging Allowance payments he received through administrative error may not properly be waived even though he was without fault in the matter where the employee should have known and in fact did know that the payments were erroneous; in such circumstances the employee had a duty to set aside the overpayments for their eventual return, and collection action was therefore neither against equity and good con- science nor contrary to the interests of the United States. This decision is issued in response to correspondence received from Mr. Philip W. McNany, a civilian employee of the Department of the Army. Mr. McNany requests recon- sideration of the action taken by the Claims Division of our Office on March 5, 1980, to deny a complete waiver of the Government's claim against him for the recovery of erroneous Temporary Lodging Allowance payments he received incident to a transfer from the United States to

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