ment would be terminated as of December 27, 1972, she wrote to the Comptroller requesting "full particulars relative to disability retirement and monthly benefits I would
receive” and "any literature, forms or applications which are required by me in filing for my disability retirement”. The Comptroller, on November 8, 1972, forwarded only the forms and literature relative to
ordinary disability retirement and, by letter dated April 16, 1973, informed petitioner that her disability retirement, effective December 27, 1972, would approximate one third of her annual salary. Immediately upon receipt of that letter and on April 18, 1973, the petitioner telephoned the New York State Employees’ Retirement System (hereafter the System) and advised that an error had been made and she dispatched a letter to the Comptroller informing him, in pertinent part, as follows: "I know I should be put on Accidental Disability receiving three quarters of my pay in lieu of Ordinary Disability as stated in your letter. I was injured as a direct result of an accident which occurred while performing my duties on my job. * * * I am certain your office furnished me with the wrong application for retirement. I did not realize at that time that there were different types of applications for disability retirement.” In addition, petitioner requested that an application for accidental disability retirement be forwarded to her and she enclosed copies of the Workers’ Compensation Board accident reports. The requested form was not furnished but she was later advised that, since her application for ordinary disability retirement had been approved effective December 27, 1972, she was, as of that date, no longer a member of the System and was therefore ineligible to apply for accidental disability retirement. The petitioner, on May 15, 1973, commenced proceedings to compel the System to entertain her application for accidental disability retirement. This proceeding was apparently discontinued after a stipulation which provided that petitioner’s April 18 letter would be considered as an application for accidental disability retirement benefits and a hearing would be held upon the application. While a hearing was held on August 31, 1973, not until December 31, 1974 was a decision rendered and relief was denied for the stated reason that petitioner had previously retired on
ordinary disability retirement. Moreover, the hearing officer refused to consider the testimony adduced at the hearing. Petitioner then commenced an article 78 proceeding seeking to obtain a determination on the merits. Special Term, in a decision dated December 16, 1975, concluded that the summary rejection of the application by the Comptroller failed to satisfy the standard called for in
Matter of O’Marah v Levitt (
35 NY2d 593 , 596) and, by judgment dated June 11, 1976, provided,
inter alia, that the Comptroller’s decision dated December 31, 1974 be declared invalid, that the System send petitioner a form for accidental disability retirement, and that the System make such investigation as is necessary. Significantly, no appeal was taken from this judgment and the form was forwarded to the petitioner who promptly and properly filed it. On November 1, 1976, the application was again denied, this time upon the ground that petitioner was not a member of the retirement system when she filed the application on August 26, 1976 pursuant to the court order. On March 3, 1977, petitioner’s attorney, by notice of motion, sought to resettle the judgment, and Special Term, by order dated May 16, 1977, directed the System to make a full and fair determination on the merits. On June 13, 1977, the System filed a notice of appeal from the judgment of May 16, 1977, contending that there was no evidence that, through mistake or negligence, petitioner was not granted accidental disability retirement and that, since petitioner was no longer a member of the System after the granting of disability retirement benefits,