TN 42 (11-17)

GN 02406.425 Treasury Case Action Codes of Claims Disposition Notices (CDN)

U.S. Department of the Treasury (Treasury) sends us a systems-generated claims disposition notice (CDN) that indicates Treasury's decision of a forgery determination on a handwriting analysis claim.

A current list of the possible CDN messages from Treasury is in GN 02406.425B in this section.

A. CDN code descriptions

Message codes

Explanation of message codes

1a

Settlement account authorized. Treasury credits the account when we receive a refund.

1b

Courtesy settlement check authorized from your
appropriation at your request. Treasury will credit
your account when refund is received.

02

Check cancelled by the Regional Finance Center
by deposit ticket #[999999999] dated [MM/DD/YY].

2a

Settlement not recommended at this time pending
investigation.

2b

Settlement not recommended at this time pending
refund from the presenting bank.

03

Claim valid but settlement not appropriate, based on
your recertified or non-entitlement stop. Treasury
will credit your account when refund is received.

3a

Forgery established; a settlement check has been issued:
Check #[99999999] Symbol and #[9999]; Check Date, [MM/DD/YY],
Amount [$$$.99]; Payee Name

3b

Partial credit received.

3c

Partial credit received and partial credit transferred
via IPAC/GOALS

3d

Credit was forwarded to the original finance center via
SF 215 #[9999999] dated [MM/DD/YY].

04

Settlement not appropriate because there has been an
overpayment. Treasury will credit your account when
refund is received.

4a

Treasury has denied this claim. Reason:

05

Treasury is pursuing collection and your account
will be credited when refund is received.

5a

BFS is unable to recover the proceeds of the check due to the expiration of the 1 year statute of limitations for deceased payee cases. [REF 31 USC 3172 (A) (1)] 

6a

Settlement not recommended and case closed.
The examiner of questioned documents is of the opinion
that the payee endorsed the check(s).

6b

Settlement not recommended and case closed.
Claimant never lived at or received mail at the check
address. If check negotiated by person of same name at
check address, there is no legal basis for recovery.

6c

Settlement not recommended and case closed.
Both co-payees of check must sign claim form. Return
claim form and copy of signatures from applicable IRS return.
Submit statement of division of check proceeds if applicable.

6d

Settlement not recommended and case closed. Determination
made that payee partially benefitted from check proceeds;
therefore, recovery is legally barred.

6e

Settlement not recommended and case closed. Statute of
limitations has expired.

6f

Settlement not recommended and case closed. Payee endorsed
the check prior to it being cashed; therefore recovery is
legally barred.

6g

Settlement not recommended and case closed: based on the
results of USSS investigation.

6h

Payee died [MM/DD/YY], not MM/DD/YY]; case closed.

6i

We have been advised that an adjustment was made by your office.  Case closed.

6j

We have been advised that the payee is still alive.  Case closed.

6k

Reclamation action has been abandoned since the check was negotiated by the agency. 
See reverse of the attached check copy.  Case closed.

6l

Investigation determined that proceeds were deposited to the payee's account. 
Case closed.

6m

Investigation determined that the payee authorized the negotiation of the check.
Case closed.

6n

The U.S. Secret Service determined that the payee was involved in the negotiation. 
Case closed.

6o

Additional evidence supplied by the financial institution shows that the
payee was involved in the negotiation; or benefited from the
proceeds of the check.  Case closed.

7a

When check is drawn to alternate payees, endorsement by either
constitutes proper negotiation.  The document analyst is of the opinion the
endorsement on the check was written by ______________.  Case closed.

7b

When a check is drawn to alternate payees, endorsement by either constitutes proper negotiation.  Provide specimen signature of alternate payee.

08

Treasury has exhausted all available means to obtain refund; no further action will be taken.

8a

Forgery established; a settlement check is being issued to the payee.

8b

Forgery established; Treasury is crediting your account.

8c

Alleged forgery being investigated; settlement check has not been issued to the payee pending investigation.

8d

Alleged forgery being investigated; more information to follow.

8e

Forgery established.  Treasury will not pursue reclamation action because the cost of collection exceeds the check amount. Case closed.

8f

Claim valid but settlement not appropriate.  Based on your
non-entitlement stop, Treasury is
crediting your account.

09

Other

B. CDN code descriptions of appeals to Treasury

The numerical code does not appear on the CDN but is a means of identification for Treasury's use.

297

Appeal has been received for denied claim.

327

Upon review of all evidence presented, the previous decision to deny claim is upheld.

329

The previous decision to deny the claim is overturned. Settlement will be authorized in a subsequent action.

330

Immediate settlement requested prior to adjudication of claim. This pertains to NY residents only.


To Link to this section - Use this URL:
http://policy.ssa.gov/poms.nsf/lnx/0202406425
GN 02406.425 - Treasury Case Action Codes of Claims Disposition Notices (CDN) - 11/21/2017
Batch run: 11/21/2017
Rev:11/21/2017