# 2022-263 Pay and Benefits, Recovery of Overpayment/Debt Write-Off

Case summary

F&R Date: 2024-02-29

The grievor challenged the decision of the Canadian Armed Forces (CAF) to recover the amount paid to him to cover the costs related to the storage of his personal effects following his enrolment. According to the grievor, staff at the recruiting centre offered to store his household goods and effects (HG&E) while he awaited a future posting. However, because he had dependents, the grievor did not meet the established criteria for storing his HG&E. He indicated that he relied on the advice of staff at the recruiting centre, as he was not familiar with the rules concerning storage. The grievor indicated that this recovery caused him financial stress and, as a remedy, the grievor requested reimbursement of the amount taken from his pay. 

The Initial Authority (IA), the Director General Compensation and Benefits, refused to grant redress to the grievor, concluding that he had been treated in accordance with the applicable policies. The IA explained that, since the grievor had a dependent at the time of his enrolment, his eligibility for storage fees had to be processed in accordance with section 208.84(3) of the Compensation and Benefits Instructions for Canadian Forces. The IA stated that, although the recruiting centre had given the grievor incorrect information, this was not a valid reason for committing public funds for compensation. 

The Committee concluded that the grievor did not meet the necessary conditions to be eligible for storage of his HG&E. In addition, although the responsibility for this error lay with the CAF, it did not release the grievor from his obligation to repay the overpayment. The Committee indicated that, while the Final Authority (FA) could consider some options (such as remission of the debt under the Financial Administration Act or a claim against the Crown submitted to the Director Claims and Civil Litigation under Defence Administrative Order and Directive 7004-0), in the Committee's view, these options would be disproportionate.  

Accordingly, the Committee recommended that the FA acknowledge that the grievor's file had been improperly administered at the time of enrolment and requested that the relevant staff be informed of the error they made in authorizing storage of the grievor's belongings in order to make them more accountable in this matter.