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B-217914 1 (1986-06-25)

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              0         THEn COMPTROLLER GENERAL
OECISION                OF THE UNITED STATES
              SWASHINGTON. 0.C. 20548




FILE:    B-217914             DATE: June 25, 1986

MATTER OF:    Reconsideration - Lieutenant Colonel
              Joseph D. McDonald, USAR, Retired

DIGEST:

        New evidence from a retired service member
        establishes that at the time he errone-
        ously executed a form indicating he was
        not receiving Veterans Administration
        compensation and during the period he
        received resulting overpayments of retired
        pay, his poor health and mental condition
        made it unlikely that he was aware of hav-
        ing erroneously executed the form and
        receiving overpayments. Accordingly, the
        previous denial of waiver of his debt
        (B-217914, June 11, 1985) is reversed and
        waiver is granted.

     Lieutenant Colonel Joseph D. McDonald, USAR, Retired,
seeks reconsideration of our decisionl/ sustaining the
action of the Claims Group denying his request for waiver of
a debt to the United States. The Claims Group had denied
Colonel McDonald's request for waiver of his debt of
$26,004.62 to the United States arising from simultaneous
payments of Army retired pay and Veterans Administration
disability compensation. Based on new evidence, we grant
waiver of the debt.

     As stated in the prior decision, the relevant facts are
that:

          Colonel McDonald has been receiving
     veterans compensation from May 24, 1957, to
     present. On August 11, 1975, when he became
     60 years old, he became entitled to retired
     pay under the provisions of 10 U.S.C.
     S 1331-1337. He received both the Veterans
     Administration compensation and retired pay
     from that date until November 1983. In order

1/   Colonel Joseph D. McDonald, USAR, Retired, B-217914,
     June 11, 1985.

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