in said zone is omitted. The enactment of an entire new code of civil procedure and the adoption of new rules of practice thereunder is contemplated in other legislation that is provided for in other bills now pending before Congress.

Upon the approval of such legislation by Congress the omitted provision of this section will become obsolete, and for that reason it is unnecessary to leave it in the permanent law.

Section 9 of the Panama Canal act as amended by the act of September 21, 1922, and by the act of December 29, 1926, showing the matter stricken out in black brackets and new matter inserted in italics by this bill, is as follows:

SEC. 9. [That the records of the existing courts and all causes, proceedings, and criminal prosecutions pending therein as shown by the dockets thereof, except as herein otherwise provided, shall immediately upon the organization of the courts created by this act be transferred to such new courts having jurisdiction of like cases, be entered upon the dockets thereof, and proceed as if they had originally been brought therein, whereupon all the existing courts, except the Supreme Court of the Canal Zone, shall cease to exist. The President may continue the Supreme Court of the Canal Zone and retain the judges thereof in office for such time as to him may seem necessary to determine finally any causes and proceedings which may be pending therein. All laws of the Canal Zone imposing duties upon the clerks or ministerial offices of existing courts shall apply and impose such duties upon the clerks and ministerial officers of the new courts created by this act having jurisdiction of like cases, matters, and duties.

[All existing laws in the Canal Zone governing practice and procedure in existing courts shall be applicable and adapted to the practice and procedure in the new courts.]

[(b)] The Circuit Court of Appeals of the Fifth Circuit of the United States shall have jurisdiction to review, revise, modify, reverse, or affirm the final judgments and decrees of the said district court [of the Canal Zone] and to render such judgments as in the opinion of the said appellate court should have been rendered by the trial court in all cases whereof original trial jurisdiction is in the district court [actions and proceedings in which the Constitution or any statute, treaty, title, right, or privilege of the United States is involved, and in cases in which the value in controversy exceeds $1,000, to be ascertained by the oath of either party or by other competent evidence, and also in criminal cases wherein the offence charged is punishable as a felony; punishment that may be imposed is imprisonment for one year or more; and also in civil and criminal cases in which the jurisdiction of the trial court is in issue, but whenever any such case is not otherwise reviewable in said appellate court the question of jurisdiction alone shall be reviewable by said appellate court.] And such appellate jurisdiction, subject to the right of review by [ or appeal to] the Supreme Court of the United States as in other cases authorized by law, may be exercised by said Circuit Court of Appeals in the same manner, under the same regulations, and by the same procedure as nearly as practicable as is done in reviewing the final judgments and decrces of the district courts of the United States.

Cases pending in the said Circuit Court of Appeals at the time of the passage of this act shall not be affected hereby, but the same shall be disposed of as though this act had not been enacted.

[(c)] That it shall not be necessary in the district court [of the Canal Zone] to exercise separately the law and equity jurisdiction vested in said court. [; and the code of civil procedure of the Canal Zone and the rules of practice adopted in said zone, in so far as they authorize a blending of said jurisdictions in cases at law and in equity, are hereby confirmed.]

1st Session

No. 537

AUTHORIZE PAYMENT OF SIX MONTHS' DEATH GRATUITY TO DEPENDENT RELATIVE OF OFFICERS, ENLISTED MEN, OR NURSES

FEBRUARY 17, 1932.-Committed to the Committee of the Whole House on the state of the Union and ordered to be printed

Mr. BARTON, from the Committee on Naval Affairs, submitted the

following

REPORT

[To accompany H. R. 6734]

The Committee on Naval Affairs of the House of Representatives, to whom was referred the bill (H. R. 6734) to amend an act entitled "An act to authorize payment of six months' death gratuity to dependent relative of officers, enlisted men, or nurses whose death results from wound or disease not resulting from their own misconduct" approved May 22, 1928, having had the same under consideration, report favorably thereon, and with the following amendments recommend that the bill do pass:

Page 1, line 5, change 41 Stat., to read 45 Stat.

Page 2, line 7, strike out the comma after the word "duty" and add after the word "duty" the words "status (including time while on leave of absence or sick), or any transferred member of the Fleet Naval Reserve or Fleet Marine Corps Reserve when on active duty status". Page 2, line 24, add after the word "parent" the words "foster parent".

Page 3, line 1, after the word "That" add the words "the Secretary of the Navy shall require the submission of affidavits, and such other proof of dependency as he, in his discretion, deems necessary, and". Page 3, line 6, after the word "that" add the words "except as otherwise provided herein,"

In compliance with paragraph 2a of Rule XIII of the Rules of the House, the following shows the present statute as proposed to be amended. The matter in italics represents the new matter to be inserted and the language in brackets represents the old matter to be eliminated.

SEC. 943. Allowance on death of officer or enlisted man or nurse, to widow, child, or dependent relative.-Immediately upon official notification of the death from

wounds or disease, not the result of his or her own misconduct, of any officer, enlisted man, or nurse on the active list of the regular Navy or regular Marine Corps, or on the retired list when on active duty status (including time while on leave of absence or sick), or any transferred member of the Fleet Naval Reserve or Fleet Marine Corps Reserve when on active duty status, the Paymaster General of the Navy shall cause to be paid to the widow, and if there be no widow to the child or children, and if there be no widow or child, to any other dependent relative of such officer, enlisted man, or nurse previously designated by him or her, an amount equal to six months' pay at the rate received by such officer, enlisted man, or nurse at the date of his or her death. The Secretary of the Navy shall establish regulations requiring each officer and enlisted man or nurse having no wife or child to designate the proper dependent relative to whom this amount shall be paid in case of his or her death. Said amount shall be paid from funds appropriated for the pay of the Navy and pay of the Marine Corps, respectively: Provided, That if there be no widow, child, or previously designated dependent relative, the Secretary of the Navy shall cause the amount herein provided to be paid to any grandparent, parent, foster parent, sister, or brother shown to have been actually dependent upon such officer, enlisted man, or nurse prior to his or her death [, and the determination of such fact by the Secretary of the Navy shall be final and conclusive upon the accounting officers of the Government]: Provided, That the Secretary of the Navy shall require the submission of affidavits, and such other proof of dependency as he in his discretion deems necessary, and the determination of the fact of dependency in all cases of dependent relatives of personnel of the Navy or Marine Corps, whether previously designated or not, by the Secretary of the Navy, shall be final and conclusive upon the accounting officers of the Government: Provided, That, except as otherwise provided herein, nothing in this section or in other existing legislation shall be construed as making the provisions of this section applicable to officers, enlisted men, or nurses of any forces of the Navy of the United States other than those of the regular Navy and Marine Corps, and nothing in this section shall be construed to apply in commissioned grades to any officers except those holding permanent or probationary appointments in the regular Navy or Marine Corps: Provided, That the provisions of this section shall apply to the officers and enlisted men of the Coast Guard, and the Secretary of the Treasury will cause payment to be made accordingly.

This legislation was initiated by the Navy Department and provides that the determination of the fact of dependency in all cases of dependent relatives of personnel of the Navy or Marine Corps, whether previously designated or not, by the Secretary of the Navy shall be final and conclusive upon the accounting officers of the Government.

The amendment to include time while retired officers in an active duty status are on leave of absence or sick is made to preserve existing law to this effect.

The amendment to include in the bill transferred members of the Fleet Naval Reserve or Fleet Marine Corps Reserve when on active duty status was made to prevent the provisions of this bill, if enacted, from repealing the act of May 12, 1930, which extends the six months' death gratuity benefit to members of the Fleet Naval and Marine Corps Reserves who die while on active duty.

The following letter from the Secretary of the Navy, addressed to the chairman of the Committee on Naval Affairs, clearly sets forth the purpose in amending the act approved May 22, 1928, and is hereby made a part of this report:

NAVY DEPARTMENT, Washington, December 23, 1931.

The CHAIRMAN COMMITTEE ON NAVAL AFFAIRS,

House of Representatives, Washington, D. C. MY DEAR MR. CHAIRMAN: There is inclosed herewith a copy of a letter, together with a copy of a proposed bill to amend an act entitled "An act to authorize payment of six months' death gratuity to dependent relatives of officers,

enlisted men, or nurses whose death results from wounds or disease not resulting from their own misconduct," approved May 22, 1928, this day forwarded to the Speaker of the House of Representatives.

It is requested that this proposed legislation be included on the priority list of legislation submitted December 15, 1931, to the Committee on Naval Affairs under Item No. 3 of the "Desirable List."

Sincerely yours,

C. F. ADAMS, Secretary of the Navy.

NAVY DEPARTMENT, Washington, December 23, 1931.

The SPEAKER OF THE HOUSE OF REPRESENTATIVES,

Washington, D. C.

MY DEAR MR. SPEAKER: I have the honor to transmit herewith a draft of bill to amend an act entitled "An act to authorize payment of six months' death gratuity to dependent relative of officers, enlisted men, or nurses whose death results from wounds or disease not resulting from their own misconduct," approved May 22, 1928.

The purpose of this proposed legislation is to authorize the Secretary of the Navy specifically to determine the fact of dependency in the case of previously designated dependents and to make the decision of the Secretary of the Navy final and conclusive upon the accounting officers of the Government.

The Act of June 4, 1920 (U. S. C., title 34, sec. 943; 41 Stat., 824) as amended by the act of May 22, 1928, allows the payment of six months' pay of a deceased officer, enlisted man, or nurse, to:

(a) The widow.

(b) If no widow, to the child or children.

(c) If no widow or child, to any other dependent relative previously designated. (d) If no widow, child, or previously designated dependent relative, to any grandparent, parent, sister or brother shown to have been actually dependent "and the determination of such fact by the Secretary of the Navy shall be final and conclusive upon the accounting officers of the Government."

In accordance with this act payments may be made directly without proof of dependency to widows and children. Where there is no widow or child, and no other relative has been designated as dependent, under the act the Secretary of the Navy may determine the fact of dependency of any claimant of this gratuity and may, upon his determination, make the proper payment. On the other hand, if there is a previously designated dependent relative, the wording of the act does not authorize the Secretary of the Navy specifically to determine the fact of dependency and consequently in the absence of such authorization the Comptroller General has required that his office make the determination.

As a result, there is considerable delay in forwarding the payments to dependents actually in need, and furthermore, a rigorous construction of legal dependency is applied in all cases. A case in point is that of Margaret Vaughn, the the mother of Cornelius Vaughn, deceased, who was denied the gratuity because of insufficient evidence to satisfy the General Accounting Office of her dependency, but who was awarded this gratuity by a private act of March 2, 1929, after investigation by the Committee on Naval Affairs of the House of Representatives. Aside from the inequity of such delay and failure to award the gratuity a prejudice against the naval service is frequently established among the personnel affected and their circle of acquaintances, a prejudice which has in fact proved detrimental to the recruiting campaign of the Navy Department.

In order that this determination may in all cases be made by the same office and that delay may be avoided, it is therefore recommended that amendment of the act of May 22, 1928, be secured to permit the Secretary of the Navy to determine the fact of dependency in all cases of dependent relatives, whether designated or not, other than widows and children, for whom, under the law, no establishment of dependency is necessary.

The only cost involved in thie legislation is that caused by the payment of claims which might be denied by the Comptroller General, but might be granted by the Secretary of the Navy. The amount of such cost is necessarily indeterminate, but is small.

The proposed legislation was sent to the Speaker of the House of Representatives under date of December 14, 1929, introduced as H. R. 7639, in the Seventyfirst Congress, and referred to the House Committee on Naval Affairs. The bill H. R. 7639 passed the House June 25, 1930, and passed the Senate February 23,

1931. The bill H. R. 7639 was later returned to the Senate at the request of Senator McMaster who proposed an amendment, but no further action was taken during the Seventy-first Congress.

In view of the foregoing, the Navy Department recommends that this proposed legislation be enacted.

This proposed legislation has been referred to the Secretary of the Treasury and meets with his approval.

Sincerely yours,

C. F. ADAMS, Secretary of the Navy.

O