Citation Nr: 21074446 Decision Date: 12/15/21 Archive Date: 12/15/21 DOCKET NO. 19-36 588 DATE: December 15, 2021 REMANDED Entitlement to a waiver of recovery of an overpayment of Department of Veterans Affairs (VA) compensation benefits in the amount of $22,130.32 is remanded. REASONS FOR REMAND In a March 2018 letter, the Veteran was notified that the Regional Office (RO) was retroactively reducing his VA compensation to the 10 percent rate as of May 15, 2016 because the RO received information that he was incarcerated following a felony conviction on March 15, 2016. The retroactive reduction resulted in the creation of a debt in the amount of $22,130.32. In a July 2018 decision, the Committee on Waivers and Compromises (Committee) denied a waiver of the recovery of the debt. The Veteran submitted a notice of disagreement in which he very clearly disagreed with the denial of the waiver, citing to elements of equity and good conscience; however, when he was issued a statement of the case in October 2019, it addressed the creation issue and not the waiver appeal. As such, a statement of the case must be issued on the waiver matter. The failure to issue a statement of the case is a procedural defect requiring a remand. Manlincon v. West 12 Vet. App. 238 (1999). The matters are REMANDED for the following action: The Veteran should be sent a statement of the case as to the issue of entitlement to a waiver of recovery of an overpayment of VA compensation benefits in the amount of $22,130.32 in accordance with 38 U.S.C. § 7105 and 38 C.F.R. §§ 19.29, 19.30. Katherine Kiemle Buckley Acting Veterans Law Judge Board of Veterans' Appeals Attorney for the Board J. Connolly The Board's decision in this case is binding only with respect to the instant matter decided. This decision is not precedential and does not establish VA policies or interpretations of general applicability. 38 C.F.R. § 20.1303.