Mary L. FAGNER, Plaintiff-Appellant, v. Margaret M. HECKLER, Secretary of Health & Human Services, Defendant-Appellee

Mary Fagner (claimant) appeals from the district court’s decison granting summary judgment to Margaret Heckler, Secretary of Health & Human Services (Secretary) based on an administrative decision which held that Section 1127 of the Social Security Act, 42 U.S.C. § 1320a-6, applied to claimant. Claimant alleges that the Secretary erroneously used Section 1127 to deny her the full extent of retroactive payments of disability insurance. We agree with claimant and reverse the district court.

BACKGROUND

Claimant filed applications for insurance benefits and Supplemental Security Income (SSI). An administrative decision rendered June 25, 1981 found that claimant was entitled to a period of disability commencing February 8, 1980 and to both disability insurance benefits and SSI disability benefits. Following further required administrative processing, an SSI award certificate was issued on August 6,1981 and a disability insurance benefit award certificate was issued on September 21, 1981. Claimant was told both the amount and the beginning date of her disability insurance benefits. However, she was also informed that her benefits for August 1980 through July 1981 would be withheld and…