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Government Mistakenly Withheld $2.4M in Disability From Vets

By Gregg Zoroya, USA Today: The federal government accidentally withheld $2.4 million out of September disability compensation checks for 12,000 veterans owed the money for service-related physical or emotional disabilities, according to the Department of Veterans.

The VA, which apologized for the mistake Wednesday, says it has worked with the U.S. Department of Treasury to pay back all the money either by direct deposit or with checks sent by mail.

The “withholding error” occurred in cases where veterans were participating in repayment plans where a portion of their disability check was to be withheld to cover a VA healthcare debt owed to the agency by the veteran, according to the Department of Veterans Affairs.

But rather than withhold the payment and send through the balance of the monthly compensation check, the compensation check was withheld and the repayment sum was sent to the veteran, the VA says.  To read full article, click here:  http://www.usatoday.com/story/news/nation/2014/09/03/va-veterans-compensation-24-million-processing-error/15041665/