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Surf City officials sue ex-employee they mistakenly overpaid
City's suit says Nilda Brooks of Lake Forest owes more than $85,000 in overpaid retirement benefits.
HUNTINGTON BEACH City officials are suing a former employee, hoping to collect thousands after they mistakenly overpaid the Lake Forest woman more than $85,000 in retirement benefits.
At Monday's council meeting, City Attorney Jennifer McGrath is scheduled to report the mix up and the lawsuit filed against Nilda Brooks, who worked at the counter of the city's building department before she retired in June 2000.
Brooks could not be reached for comment.
Brooks owes the city $85,302 in overpaid retirement benefits, according to the lawsuit filed in Orange County Superior Court on Dec. 22.
City officials are also hoping to collect interest on the payment and costs incurred during the lawsuit, the court documents said.
"Brooks was unjustly enriched by the overpayment of supplemental retirement benefits," the lawsuit states.
McGrath said cost of the lawsuit is "not significant" but did not give a specific number for incurred costs for recovery of payment. It's also unclear how much the city is spending in filing this lawsuit.
Brooks is the only person the city mistakenly overpaid and is now suing, McGrath said.
"The city has not sued other employees for overpayment of retirement benefits in my tenure as City Attorney," she said.
The mix up started when city officials incorrectly underpaid Brooks less money than she was due for more than a year. To correct their mistake, city officials cut her a check for $1,548. From then on the city was supposed to pay her $171.84 per month.
City officials ended up paying Brooks $1,548 per month instead of the $171.84 until the error was caught in Feb. 2007. Officials claim they have demanded that Brooks repay them on two occasions -- June 26 and Oct. 16, according to court documents. They said they have not received payment.
Contact the writer: 714-445-6688 or ccarcamo@ocregister.com
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