# Appendix — Smith v. Lehman

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URL: https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40385010_0096%3A2

## Record

- **Collection:** Supreme Court brief
- **Document type:** Appendix
- **Published:** January 1, 1983
- **Citation:** 459 U.S. 1173

## Text

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United States Court of Appeals

FOR THE SECOND CIRCUIT

=

No. 24—August Term, 1982

(Argued September 13, 1982
Decided September 15, 1982)

Docket No. 82-6074

—+

KENNETH G. SMITH,
Plaintiff-Appellant,
—against—
JOHN LEHMAN, SECRETARY OF THE NAvy, WASHINGTON,
D.C., and the UNITED STATES DEPARTMENT OF THE NAVY,

Defendants-Appellees.

Before:

KAUFMAN, NEWMAN and PIERCE,
Circuit Judges.

++

Appeal from a judgment entered on an order of the
United States District Court for the Eastern District of

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New York, Joseph M. McLaughlin, Judge, granting sum-
mary judgment to defendants and dismissing appellant’s
complaint which alleged unconstitutional discharge from
a civilian Navy position.

Affirmed.

--

BARBARA SIMON, Mineola, N.Y. (David S.
Heller, Glenna B. Rubin, Solerwitz, Sol-
erwitz & Leeds, Mineola, N.Y., of Coun-
sel), for Plaintiff-Appellant.

SHIRA RuskAy, Assistant United States Attor-
ney for the Eastern District of New York,
Brooklyn, New York (Edward R. Kor-
man, United States Attorney for the
Eastern District of New York and Miles
M. Tepper, Assistant United States Attor-
ney for the Eastern District of New York,
Brooklyn, New York, of Counsel), for
Defendants-Appellees.

+

KAUFMAN, Circuit Judge:

Smith appeals from Judge McLaughlin’s grant of sum-
mary judgment to defendants, John Lehman, Secretary
of the Navy and The United States Department of the
Navy, and from the dismissal of his complaint which
alleged wrongful termination of federal employment. Be-
cause we agree that appellant has failed to raise a triable
issue of material fact concerning his claim that he was

A-3

deprived unconstitutionally of liberty and property in-
terests, we affirm the judgment of the district court.

Smith was hired by the Naval Investigative Service
(“NIS”) as a special agent on October 6, 1980. Applicable
federal regulations' provided that the first year of his
employment would be a probationary period. Pursuant to
standard security clearance procedures, Smith was re-
quired to complete a written personal history statement
(Form DD-398) which he submitted to the NIS on Octo-
ber 16, 1980. There were two inaccuracies in this stale-
ment.

In response to question #18 which inquires about prior
arrests, Smith wrote the following: “08-01-80 Disorderly
conduct, Albany Police Court, Albany, New York Judge
KEEGAN presided. Case dismissed.” Smith had, in fact,
been arrested while wearing woman’s attire on August I,
1980 in Albany, New York. Although one charge against
him was dropped, Smith was convicted on his plea of
guilty to a charge of disorderly conduct pursuant to N.Y.
Penal Law § 240.20 (McKinney 1980), fined $100 and
given a suspended sentence of 15 days. Also, Smith
answered question 13 concerning his employment history
by stating that he had left his previous position with the
New York State Deputy Attorney General’s Office be-
cause it was “not a permanent agency.” In truth, Smith
was asked to resign when that office learned of his arrest.

Despite Smith’s refusa!, given upon advice of counsel,
to comply with a November 1980 request by the Defense
Investigative Service (“DIS”) for a signed waiver releasing
his records, the DIS discovered the discrepancies between
Smith’s statements in his personal history and the actual
record. On December 9, 1980 the Regional Director of

! 5 C.F.R. § 315.801 ef seq.

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Operations for the NIS attempted to interview Smith
concerning those discrepancies. But Smith, again upon
advice of counsel, refused to comment at that time.
Appellant was discharged on December 12, 1980. He
was informed in writing by the Acting Director of the NIS
that he was removed for “falsification of an official
record.” After seeking reinstatement, Smith was also
notified by the Deputy Assistant Secretary of the Navy in
a letter dated February 19, 1981 that his incorrect state-
ments on Form DD-398 were a “violation of the U.S.
Code” and “inconsistent with the high standards de-
manded of a Naval Investigative Service Special Agent.”
Smith filed suit in the United States District Court for
the Eastern District of New York on April 3, 1981 alleging
that the Navy had violated his constitutional rights and
acted arbitrarily and capriciously in violation of the
Administrative Procedure Act.’ The district court initially
found that 28 U.S.C. § 1331' gave it jurisdiction over
both of these claims.’ The court held further that only
those aspects of Smith’s claims which alleged constitu-
tional violations were not barred by the doctrine of

: See 18 U.S.C. § 1001,
3 5 U.S.C. § 701 et seq.

4 28 U.S.C. § 1331 provides: “The district courts shall have original
jurisdiction of all civil actions arising under the Constitution, laws or
treaties of the United States.”

The district court correctly found that the Administrative Procedure
Act, § U.S.C. § 701 et seq., itself could not serve as a basis for federal
jurisdiction, Califano v. Sanders, 430 U.S. 99, 106 n.6 (1977), Judge
McLaughlin also properly rejected Smith's attempts to base jurisdic-
tion on the Declaratory Judgment Act, 28 U.S.C, § 2201 and the
“Further Relief” statute, 28 U.S.C. § 2202. These statutes furnish
additional remedies but do not confer jurisdiction, See Warner Jenkin-
son Co, v. Allied Chemical Corp., 567 F.2d 184, 186 (2d Cir, 1977).
Smith's reliance for jurisdiction on the federal mandamus statute, 28
U.S.C. § 1361, is similarly inapposite.

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sovereign immunity. Judge McLaughlin then concluded
that Smith had not been deprived of a constitutionally
recognized liberty or property interest.

On appeal Smith argues that the district court erred in
rejecting his claim that the Fifth Amendment gave him
the right to a hearing before he was dismissed from his
job. We agree with Judge McLaughlin that this constitu-
tional claim is sufficiently non-frivolous to create a basis
for federal court jurisdiction pursuant to 28 U.S.C.
§ 1331. See Hagans v. Lavine, 415 U.S. 528 (1974). We
are also inclined to accept the district court’s conclusion
that Smith’s constitutional claims are not barred by the
doctrine of sovereign immunity, Larson v. Domestic &
Foreign Commerce Corp., 337 U.S. 682 (1948), even
where the success of Smith’s claims would require affirm-
ative action on the part of the government.’ This difficult
sovereign immunity question need not be decided, how-
ever, because Smith’s constitutional claims cannot suc-
ceed on the merits.

Smith contends that his Fifth Amendment rights were
violated when he was dismissed without a hearing to
determine the accuracy of his allegedly false statements or
whether these statements were made in good faith. He
argues that the Navy unconstitutionally deprived him of
both liberty and property interests. Judge McLaughlin
properly rejected these arguments.

6 Although the district court found jurisdiction, pursuant to 28
U.S.C. § 1331, for Smith’s claim based on the Administrative Proce-
dure Act, it found that claim barred by the doctrine of sovereign
immunity. Smith does not challenge this finding on appeal, and we
therefore decline to review it.

7 Judge McLaughlin's view that sovereign immunity does not apply in
cases of alleged constitutional violations even where the sovereign is
called upon to take affirmative action was proper. See Hampton v.
Mow Sun Wong, 426 U.S. 88, 93 n.5 (1975).

A-6

Smith had no property interest in continued employ-
ment. Appellant’s actions in falsifying an official record
clearly cast doubt on his fitness as a special investigative
agent; moreover, he received written notice of the reasons
for his separation. Applicable federal regulations provide
that a probationary employee may be terminated upon
notification “in writing as to why he is being separated
and the effective date of the action,” if at any time during
the trial period his “conduct. . . fails to demonstrate his
fitness ... for continued employment.” 5 C.F.R.
§ 315.804. Smith therefore had no statutorily based right
either to continued employment or to contest the Navy’s
allegations at a hearing. The law is clear that the constitu-
tionality of the regulatory scheme which denies proba-
tionary employees the right to a hearing is not subject to a
successful challenge. See Sampson v. Murray, 415 U.S. 61
(1974); Heaphy v. United States Treasury Department,
354 F. Supp. 396, 399-401 (S.D.N.Y. 1973), aff'd, 489
F.2d 735 (2d Cir. 1974). Accordingly, Smith cannot dem-
onstrate a sufficient property interest to trigger due
process protections. See Board of Regents v. Roth, 408
U.S. 564 (1972).

The appellant also argues that he was deprived uncon-
Sstitutionally of a liberty interest." He asserts that the
Navy’s decision to terminate his employment on the
grounds that he “falsified an official record” will become
part of his permanent employment history and that this
will adversely affect his future job prospects. Smith
contends that he should have been afforded a hearing to
determine the accuracy of his statements on Form DD-

8 We note that Smith’s status as a probationary employee did not
diminish his constitutionally recognized liberty interest in protecting
his reputation against the publication of false information by the
Government. See Board of Regents v. Roth, 408 U.S. 564, 573 (1972).

A-7

398. Yet Smith’s chief contention that his false statements
were made in good faith, while relevant to a criminal
prosecution, see 18 U.S.C. § 1001, has no bearing on
whether those statements provided grounds for his ter-
mination. And an accurate reference in his employment
record to the fact of his incorrect statements concerning
his conviction does not impair his liberty interest regard-
less of his alleged good faith in making the statements.
Even if we interpret Smith’s ambiguous argument to
include a claim that the statements in his personal history
were true, that claim would be insufficient to upset Judge
McLaughlin’s grant of summary judgment to the appel-
lees. See Securities and Exchange Commission v. Re-
search Automation Corporation, 585 F.2d 31 (2d Cir.
1978). While we recognize that summary judgment is
inappropriate where a triable issue of material fact exists
concerning the interpretation and possible ambiguity of
private agreements entered into between parties, Heyman
v. Commerce and Industry Insurance Co., 524 F.2d 1317
(2d Cir. 1975), the falsehood of appellant’s statements in
this case is uncontrovertibly established by the public
record of his conviction. Smith cannot, therefore, chal-
lenge the “substantial accuracy” of the Navy’s charges
against him as he is required to do to demonstrate
damage to his reputation. Codd v. Velger, 429 U.S. 624,
628-29 (1977). Accordingly, appellant’s claim that he was
deprived unconstitutionally of a liberty interest is without
merit.
The judgment of the district court is affirmed.

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Judgment
UNITED STATES DISTRICT COURT
EASTERN DISTRICT OF NEW YORK
CV-81-1023

-
KENNETH G, SMITH,

Plaintiff,
—against—
JOHN LEHMAN, Secretary of the Navy, and THE UNITED
STATES DEPARTMENT OF THE NAVY.
Defendants.

>

A memorandum and order of Honorable Joseph M.
McLaughlin, United States District Judge, having been filed on
February 26, 1982, granting the defendants’ motion for sum-
mary judgment, it is

ORDERED and ADJUDGED that the plaintiff take nothing of
the defendants, and that summary judgment is hereby entered
in favor of the defendants.

RICHARD H. WEARE
Clerk of Court
By: RICHARD C,. HEINEMANN

Richard C, Heinemann
Chief Deputy Clerk

Dated: Brooklyn, New York
February 26, 1982

AY

Memorandum and Order
UNITED STATES DISTRICT COURT
EASTERN DISTRICT OF NEW YORK
81 Civ. 1023
(McL)
>

KENNETH G., SMITH,
Plaintiff,
—against—

JOHN LEHMAN, Secretary of the Navy, and THE UNITED
STATES DEPARTMENT OF THE NAVY,
Defendant,

>
Appearances

JACK B, SOLEWITZ, ESQ.
170 Old Country Road
Mineola, New York 11501
For Plaintiff

EDWARD R. KORMAN, United States Attorney

(Richard Dolan, Assistant United States
Attorney, Of Counsel)

225 Cadman Plaza East

Brooklyn, New York 11201

For Defendants

McLaughlin, District Judge

Plaintiff brought this action against a federal official and a
federal agency alleging wrongful dismissal from a civilian
position as a Special Agent with the Naval Investigative Service
(“NIS”).' He seeks reinstatement, money damages, and back
pay.

| The position was characterized as a “critical sensitive position. . .
with access to Top Secret material and information,”

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I], BACKGROUND

Plaintiff, who was working for the New York State Deputy
Attorney General's Office as a Special Investigator, applied for
a position with NIS as a Special Agent. He was hired by NIS
on October 6, 1980, after a successful interview and back-
ground investigation. As part of security clearance procedures,
on October 10, 1980, plaintiff completed “DD Form 398”,
which is a detailed statement of personal history. In November
1980, plaintiff was asked to sign a waiver releasing all records
to the Defense Investigative Service (“DIS”). He refused on
advice of counsel.

The DIS investigation revealed what appear to be misleading
or false statements on two distinct parts of DD Form 398.
Plaintiff was told by his supervisor that NIS would undertake
an independent investigation and that plaintiff would be re-
quested to furnish a sworn statement. On December 9, 1980,
the Regional Director of Operations attempted to interview the
plaintiff. Before the Director was able to read plaintiff his
rights, however, plaintiff interjected that, upon advice of
counsel, he would make no statements at that time,

Plaintiff was fired on December 12, 1980. The letter from
the Acting Director of NIS notifying plaintiff of his dismissal
states that he was removed for “falsification of an official
record.”’ On the effective date of termination, plaintiff al-

2 In response to item 18, which inquires into prior arrests, plaintiff
wrote “08-01-80 Disorderly Conduct, Albany Police Court, Albany,
New York Judge KEEGAN presided, Case dismissed.” In fact, plain-
tiff had been arrested on a charge of criminal impersonation, had pled
guilty to the reduced charge of disorderly conduct, was fined, and
given a suspended sentence.

In response to item 13, concerning why he left his job with the New
York State Deputy Attorney General's Office, plaintiff wrote: “Not a
permanent agency.” The Deputy Attorney General's Office, however,
had asked him to resign the day it learned of his arrest.

3 See 18 U.S.C. § 1001, NIS forwarded its file to the United States
Attorney's Office in Philadelphia for its prosecutorial opinion. No
charges were filed.

A-ll

legedly expressed a desire to hold a meeting between the parties
and their attorneys. The request was denied. In January, 1981,
plaintiff wrote Edward J. Hidalgo, who was then Secretary of
the Navy, requesting that he be reinstated. The request was
denied with the further finding that the plaintiff's false state-
ment is “inconsistent with the high standards demanded” of
NIS Special Agents. Plaintiff has not been employed since his
discharge from the Navy.

Plaintiff alleges that the information supplied on DD Form
398 was “honest and true” and claims that defendants’ actions
were arbitrary and capricious, were not in accord with unspeci-
fied applicable law and regulations, and deprived him of his
Fifth Amendment right to a hearing. He has not invoked any
specific statutes or regulations in support of his claims. As the
bases for this Court’s jurisdiction, plaintiff alleges that the
action arises under the Constitution and the laws of the United
States and cites the federal question statute (28 U.S.C. § 1331),
the mandamus statute (28 U.S.C. § 1361), the Declaratory
Judgment Act (28 U.S.C. §2201), the “Further Relief” statute
(28 U.S.C. § 2202), and Title 7 of the Administrative Proce-
dure Act (5 U.S.C. § 701, et seqg.). The matter in controversy is
alleged to exceed the sum of $10,000, exclusive of interest and
costs.

The defendants now move for a dismissal of the action, or in
the alternative for summary judgment, on the ground that
because there has been no waiver of sovereign immunity, this
Court lacks subject matter jurisdiction. Plaintiff has failed to
respond directly to the Government’s sovereign immunity de-
fense, arguing only that jurisdiction is established pursuant to
28 U.S.C. § 1331 because plaintiff is entitled to procedural due
process under the Fifth Amendment.

Il. JURISDICTION

Of the five jurisdictional bases alleged by plaintiff, only one,
28 U.S.C. §1331, vests this Court with jurisdiction. The Ad-
ministrative Procedure Act, 5 U.S.C. §§ 701, ef seq., is not
jurisdictional and “does not afford an implied grant of subject

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matter jurisdiction permitting federal judicial review of agency
action.” Califano v. Sanders, 430 U.S. 99, 107 (1977). See
Estate of Watson vy, Blumenthal, 586 F.2d 925, 932 (2d Cir.
1978),

The Declaratory Judgment Act, 28 U.S.C. § 2201, the
“Further Relief” statute, 28 U.S.C. §§ 2202, and the manda-
mus statute, 28 U.S.C, § 1361, do not confer jurisdiction but
merely provide additional remedies where jurisdiction already
exists. See, e.g., Estate of Watson v. Blumenthal, supra, 586
F.2d at 934-35; Warner-Jenkinson Co, vy, Allied Chemical
Corp., 567 F.2d 184, 186 (2d Cir. 1977); Lam Tat Sin vy,
Esperdy, 227 F. Supp. 482 (S.D.N.Y. 1963), aff'd, 334 F.2d 999
(2d Cir.), cert. denied, 379 U.S. 901 (1964). However, because
plaintiff has alleged that defendant’s actions (1) were arbitrary
anc capricious, in violation of the Administrative Prodcedure
Act, and (2) deprived him of his procedural due process rights
under the Fifth Amendment of the Constitution, the Federal
Question statute, 28 U.S.C. § 1331, does conter jurisdiction in
this case. Califano v. Sanders, 430 U.S. at 106-8; Doe v.
United States Civil Service Comm’n, 483 F. Supp. 539, 558
(S.D.N.Y. 1980). At the same time, because the remedies of
reinstatement and damages requested by plaintiff would re-
quire expenditures from the public treasury, (and v. Dollar,
330 U.S. 731, 738 (1947)), and would compel the Government
to act, (Larson v. Domestic & Foreign Commerce Corp., 337
U.S. 682, 704 (1948)), we are faced with the “Procrustean
task” of reconciling myriad sovereign immunity decisions.
Malone v. Bowdoin, 369 U.S. 643, 646 (1962).

Ill. SOVEREIGN IMMUNITY

It is elementary that the United States may not be sued
without its consent. United States v. Mitchell, 445 U.S. 535,
538 (1980); Affiliated Ute Citizens v. United States, 406 U.S.
128, 141 (1972). Consent usually takes the form of an “un-
equivocally expressed” waiver by Congress. United States v.
Mitchell, supra, quoting United States v. King, 395 U.S. 1, 4
(1969). See United States v. Kubrick, 444 U.S. 111 (1979),
Plaintiff, regrettably, has not cited any specific statute that

A-13

waives sovereign immunity. However, there are at teast two

waiver statutes that arguably might apply in this case: Section

702 of the APA and the Federal Question statute itself,

Section 702 provides:

An action in a court of the United States seeking relief
other than money damages and stating a claim that an
agency or an officer or employee thereof acted or failed to
act in an official capacity or under color of legal authority
shall not be dismissed nor relief therein be denied on the
ground that it is against the United States or that the
United States is an indispensable party.

Section 1331 provides:

The district courts shall have original jurisdiction of all
civil actions wherein the matter in controversy exceeds the
sum or value of $10,000, exclusive of interest and costs,
and arises under the Constitution, laws, or treaties of the
United States except that no such sum or value shall be
required in any such action brought against the United
States, any agency thereof, or any officer or employee
thereof in his official capacity.

With respect to claims under the APA for equitable relief,’
the Second Circuit, considered these sections but stated in no
uncertain terms that, althouth there is federal question juris-
diction, the Government may nevertheless invoke the defense
of sovereign immunity. Estate of Watson v. Blumenthal, supra,
586 F.2d at 932; Doe v. Civiletti, 635 F.2d 88, 94 (2nd Cir.
1980); Doe v. United States Civil Service Comm'n, 483 F.
Supp. 539, 560 (S.D.N.Y. 1980). But see Jaffe v. United States,
592 F.2d 712, 718-19 (3d Cir. 1979); Neal v. Secretary of the
Navy, 472 F. Supp. 763, 770-71 (E.D. Pa. 1979), The defen-
dants in this case have invoked the sovereign immunity defense
as to the plaintiff’s claims under the Administrative Produce-
dure Act. This Court, accordingly, must recognize the defense.

4 Under the terms of section 702, claims for money damages under the
APA are expressly barred by the doctrine of sovereign immunity.

A-14

Sovereign immunity, however, is not a defense to plaintiff's
constitutional claims that the Navy violated his right to proce-
dural due process. In Larson v. Domestic & Foreign Com-
merce Corp., supra, 337 U.S. at 689-91, the Supreme Court
carved out an amorphous exception to the severeign immunity
doctrine, stating that it does not bar suits, like this one, against
government officials where “power has been conferred in form
but the grant is lacking in substance because of constitutional
invalidity.’ Id. See Berk v, Laird, 429 F.2d 420, 306 (2d Cir.
1970), cert. denied sub nom, Orlando v, Laird, 404 U.S. 869
(1971); Cortright v, Resor, 325 F. Supp. 797, 813 (E.D.N.Y.),
rev'd on other grounds, 447 F.2d 245 (2d Cir. 1971), cert.
denied sub nom, Cortright v. Froehlke, 405 U.S, 965 (1972),
Thus, sovereign immunity is not a bar to suits against defen-
dants charged with violating the Constitution; and this Court
has jurisdiction under Section 1331 to review the constitu-
tionality of defendants’ conduct. See Hampton v. Mow Sun
Wong, 426 U.S. at 93 n.5; Doe v. United States Civil Service
Comm'n, 483 F. Supp. 539 (S.D.N.Y 1980).

IV. PROCEDURAL DUE PROCESS

Although this Court has jurisdiction to review plaintiff's
procedural due process claims, summary judgment must be

5 Not surprisingly, the Larson opinion has sparked considerable con-
troversy. The Court in footnote 11 complicated the exception by stating
that the “suit may fail” if the relief requested requires affirmative
action by the sovereign, as is the case here. Although the Second
Circuit suggested in 1971 that footnote 11 may describe the current
state of the law, Knight v, New York, 443 F.2d 415, 421 (2d Cir, 1971),
the Supreme Court has applied the exception without reference to the
footnote. See Malone v. Bowdoin, 369 U.S, 643, 648 (1963); Dugan v.
Rank, 372 U.S. 609, 620 (1962). Moreover, in 1975, the Court ex-
pressly approved and affirmed a district court ruling that soverign
immunity was not a defense to an action challenging an allegedly
unconstitutional civil service regulation. Hampton v, Mow Sun Wong,
426 U.S, 88, 93 n.5 (1975).

A-15

granted to the defendants because neither a property interest
nor a liberty interest is implicated in this case.

A. Property Interest

It is axiomatic that an individual has no property interest in
federal employment unless he has a specific entitlement to that
position. Board of Regents v. Roth, 408 U.S. 564, 577 (1972).
Subject to narrow due process limitations, the federal govern-
ment has the right to summarily discharge its employees. See
Cafeteria & Restaurant Workers Union v. McElroy, 367 U.S.
886 (1961). Indeed, “[dJismissal from federal employment is
largely a matter of executive agency discretion. Particularly is
this true during the probationary period.” Toohey v. Nitze, 429
F.2d 1332, 1334 (9th Cir. 1970).

Accordingly, a probationary employee, like the plaintiff, has
no entitlement to continued employment. Procedurally, all a
probationary employee is entitled to is a right to be notified
prior to his termination “in writing as to why he is being
separated and the effective date of the action.” 5 C.F.R.
§ 315.804 (1981).° See Perlongo vy. United States, 566 F.2d 1192
(Ct. Cl. 1977), cert. denied, 435 U.S. 944 (1978). The only
right of appeal is to the Merit Systems Protection Board
(“MSPB”); and this lies only in cases where the probationer

6 There can be no dispute that this regulatory scheme is constitutional,
See Sampson v. Murray, 415 U.S. 61, 80-81 (1979); Jaeger v. Freeman,
410 F.2d 528, 531 (Sth Cir. 1969): Jenkins v. United States Post Office,
475 F.2d 1256, 1257 (9th Cir. 1973); Heaphy v. United States Treasury
Dept., 345 F. Supp. 396, 399-401 (S.D.N.Y. 1973); Christian v. New
York State Dept. of Labor, 347 F. Supp. 1158, 1161 (S.D.N.Y. 1972)
(“Certainly Congress intended that Federal employers should have an
unfetterd right to terminate probationary employees. No termination
hearing is prescribed or required nor should it be.”); Beefson vy.
Hudson, 630 F.2d 622, 626 (8th Cir. 1980) (a probationary employee
“can be dismissed at the virtually unreviewable discretion of his
employee agency for unsatisfactory performance or conduct during the
probationary period”),

A-16

alleges discrimination or that his discharge was not in accord
with proper procedure.’ 5 C.F.R. § 315.806 (1981).

In this case, although he alleges that his answers were honest
and true, .iue plaintiff made statements on his DD Form 398
(while he was a probationary employee) that are contradicted
by publicly available documents and by facts uncovered in the
DIS investigation. This conduct obviously does not accord
with the high standards expected of NIS agents. Moreover,
when provided with an opportunity to explain his answers, he
refused, on advice of counsel.

I find, therefore, that plaintiff was notified and dismissed in
accordance with the procedures required by § 315.804. He was
entitled to no more.

B. Liberty Interest

The Fifth Amendment’s due process clause protects a “lib-
erty interest”; and this encompasses an “individual’s freedom
to work and earn a living.” Bollow v, Federal Reserve Bank of
San Francisco, 650 F.2d 1973, 1100-01 (9th Cir, 1981). How-
ever, an opportunity to be heard is essential only where “a
person’s good name, reputation, honor, or integrity is at stake
becattse of what the government is doing to him.” Board of
Regen's v. Roth, supra, 408 U.S. at 573 quoting Wisconsin v.
Cons’ .atineau, 400 U.S. 433, 437 (1971). In such a case due
nrocess required “an opportunity to refute the charges,” Jd. at
2707, and the purpose is to “provide the person an opportunity
to clear his name.” /d. at 2707 n. 12. See Wisconsin vy.
Constantineau, supra; Codd v, Velger, 429 U.S. 624 (1977).

When a plaintiff’s claim involves “stigmatization” resulting
from termination, a Court will intervene only if the stigmatiz-
ing information is false, (Codd v. Velger, supra, 429 U.S. at

7 Plaintiff has alleged neither ground in this case; and even if he had,
his suit would be dismissed for failure to exhaust his administrative
remedy of appeal to the MSPB.

A-17

627-28), or has been made public by the governmental agency
involved. Bishop v. Wood, 426 U.S. 341, 348 (1970). See
Gentile v. Wallen, 562 F.2d 193, 197 2d Cir. 1977).

There is no claim in this case that the stigmatizing informa-
tion was made public. For that reason alone, plaintiff's action
must be dismissed. Moreover, despite what plaintiff alleges,
there can be no dispute that what he wrote on his DD Form
398, i.e., that his case in Albany had been dismissed (when in
fact he had been fined and given a suspended sentence) was
false. “[I]f the hearing mandated by the Due Process Clause is
to serve any useful purpose, there must be some factual dispute
between an employer and a discharged employee which has
some significant bearing on the employee's reputation.” Codd
v. Velger, 429 U.S. at 627. Wehner vy. Levi, 562 F.2d 1276
(D.D.C, 1977).

In this case, the plaintiff cannot “challenge the substantial
truth” of the NIS charge that he filed a false statement. Thus,
a hearing in this case could only serve to let plaintiff try to
explain away why he wrote the answers he did. Although
plaintiff might demonstrate that it “ ‘might have been all a
mistake . . .” [that] is not enough to raise an issue about the
substantial accuracy of the report.” Codd v. Velger, 429 U.S. at
628 (quoting plaintiff’s excuse in that case).

Whether or not plaintiff receives a hearing, the fact of his
arrest and its disposition will remain publicly available in the
Clerk’s Office in Albany, New York, and in direct contradic-
tion to plaintiff's answer on DD Form 398. In addition, it
bears emphasis that before he was terminated plaintiff was
provided with an opportunity to explain his answers on the DD
Form 398. On advice of counsel, however, he waived that
opportunity. Plaintiff cannot now be heard to demand a
hearing in this Court.

A-18

In sum, the Court finds that no property or liberty interests
are involved in this case and that plaintiff has suffered no due
process deprivation. See Stewart v. Civil Service Comm'n of
the City of New York, N.Y.L.J., February 5, 1982, at 28, col.
1. For all the foregoing reasons, the defendants’ motion for
summary judgment is granted.

SO ORDERED.

Dated: Brooklyn, New York
February 19, 1982

JOSEPH M. McLAUGHLIN
Joseph M. McLaughlin, U.S.D.J.

The Clerk shall make copies of this Order and shall serve
them upon the parties.

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Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40385010_0096%3A2. Public record. Not legal advice.
