Terry v. United States

499 F.2d 695, 204 Ct. Cl. 543, 1974 U.S. Ct. Cl. LEXIS 135
CourtUnited States Court of Claims
DecidedJune 19, 1974
DocketNo. 13-73
StatusPublished
Cited by11 cases

This text of 499 F.2d 695 (Terry v. United States) is published on Counsel Stack Legal Research, covering United States Court of Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Terry v. United States, 499 F.2d 695, 204 Ct. Cl. 543, 1974 U.S. Ct. Cl. LEXIS 135 (cc 1974).

Opinion

'SkeltoN, Judge,

delivered the opinion of the court :

Prior to March 31, 1969-,"the plaintiff, Clifford C. Terry, was employed by the United States Post Office Department as d Distribution and Window Clerk in Houston, Texas. He was a nonprobationary member of the competitive civil service and, as such, was entitled to the protection of the Lloyd-LaFollette Act, 5 U.S.C. §“7501 (1970). Such protection included the right to be discharged from employment only for such cause as would promote the efficiency of the civil service. He was also entitled to rely on the administrative regulations issued by the Post Office Department and the Civil Service Commission (CSC) which pertained to the discharge of Federal employees with his statuSi ■■

On March 17,1969, a Postal Inspector conducted an audit of the plaintiff’s cash account which revealed a shortage of approximately $101 in the plaintiff’s fixed credit funds. Just prior to the audit, but after the plaintiff knew an audit was about to commence, the Inspector observed the plaintiff attempting to place money from his pocket into his cash drawer. The Inspector told the plaintiff to put the money back into his pocket. After the audit, the Inspector questioned plaintiff about the shortage. Plaintiff then left the premises and returned with* two money order receipts.

After further questioning, plaintiff signed a written statement which had been prepared by the Postal Inspector. Part of the statement admitted that the plaintiff had issued for his personal account two money orders in the total amount of $50 and had placed in his cash account only $20 as payment therefor. The money order receipts which the plaintiff had brought to the premises corroborated the written admission.

By letter dated March 20, 1969, the Postal Inspector charged plaintiff with misuse of .official funds and notified [548]*548him that disciplinary action, including discharge from em: ployment, was being proposed. The charge read as follows:

You are charged with misuse of official funds while employed as a clerk in the South Houston, Texas post office on March 3,1969, in that you issued Money Order No. 7,488,422,434 in the amount of $15.00 with fee of 350, and Money Order No. 7,488,472,435 in the amount of $35.00 with fee of 350 for your personal use and placed only $20.00 in your cash drawer for these two money orders. You converted $30.70 of fixed credit funds to your personal use to account for these two money orders at the close of business on March 3, 1969.

The plaintiff was given ten days within which to reply.

By letter dated April 24,1969, the Regional Director of the Post Office Department advised plaintiff that the charge against him was supported by the fact of the shortage in his fixed credit and his initial explanation for the shortage, and that he was therefore discharged from employment. The plaintiff appealed the decision through the agency appellate system. After conducting a hearing, the Post Office Department issued its appellate decision in a letter dated November 21, 1969. The decision sustained the charge against the plaintiff and stated that his removal would serve the best interest of, and promote the efficiency of the Post Office Department. The letter also advised the plaintiff of his right to appeal to the CSC.

Plaintiff appealed the agency decision to the Dallas Regional Office of the CSC. On February 26, 1970, the Regional Office held a hearing at which the plaintiff, the investigating Postal Inspector, and the South Houston Postmaster testified. The Regional Office concluded that the evidence supported the agency’s charge, that the plaintiff’s removal was processed in accordance with required procedures, and that the agency’s action was, therefore, proper. The CSC Board of Appeals and Review (BAR) affirmed the decision of the Regional Office on September 9,1970. There is no doubt that the most damaging evidence upon which the Regional Office and the BAR relied in reaching their decisions was the plaintiff’s written statement of March 17, 1969.

[549]*549Plaintiff filed Ms petition in this court against the United States on February 5,1973."-He asks that the defendant be ordered to reinstate him to-his former position and to pay him all back pay from March 31, 1969, until reinstatement. The case is before us on cross-motions for summary judgment and is ready for disposition on facts which are undisputed. The plaintiff also contends,' as ah' alternative to his motion for summary judgment, that summary judgment for the defendant is improper because.genuine fact issues are involved which must be resolved by tMs court. The arguments of the parties in support of their respective positions are stated below.

The defendant’s first argument in support of its motion for summary judgment concerns the effect of the Postal Reorganization Act, 39 U.S.C. §101, et seq. (1970), on this court’s jurisdiction over claims by discharged employees of the former United States Post Office Department. The Postal Reorganization Act established the United States Postal Service (Postal Service) to replace the U.S. Post Office Department. The defendant argues that under the authority granted by 39 U.S.C. § 2002(a) (1970) ,1 the Comptroller General approved the transfer to the Postal Service of the unexpended balances of the former Post Office Department for the fiscal year 1971, which began July 1, 1970, but not for prior years. Therefore, the defendant argues, liabilities attributable to the operations of the former Post Office Department, but wMch cover periods after June 30, 1970, are liabilities of the new Postal Service, not the United States. It contends that since 28 U.S.C. § 1491 (1970), under which the plaintiff claims this court has jurisdiction of Ms claim, [550]*550limits this court’s jurisdiction to claims “against the United States,” this court has jurisdiction over only that portion of the plaintiff’s claim which covers the period before July 1,1970.

Section 5 of the Postal Reorganization Act, Pub L. 91-375, Aug. 12, 1970, 84 Stat. 774, contains the saving provisions of the Act. Section 5(c)2 contains the provisions applicable to the case at bar. We believe that Section 5(c) read as a whole indicates that Congress intended the Postal Reorganization Act to have no effect on administrative or judicial proceedings commenced prior to enactment of the Act, except that the Postal Service would assume those functions concerned with such proceedings which had been handled by the Post Office Department prior to the Act. The Act became law on August 12, 1970, and Section 2002(a) became effective on July 1,1971,3 after plaintiff’s claim arose and after plaintiff had initiated proceedings before the CSC. The administrative proceedings before the CSC were part of the adjudicatory process which was provided by law to allow adjudication of claims of discharged employees. Therefore, we hold that the Postal Reorganization Act had no jurisdic[551]*551tional effect on the proceedings in this case involving the plaintiff’s claim that he was improperly discharged.

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Bluebook (online)
499 F.2d 695, 204 Ct. Cl. 543, 1974 U.S. Ct. Cl. LEXIS 135, Counsel Stack Legal Research, https://law.counselstack.com/opinion/terry-v-united-states-cc-1974.