(a) Benefits payable by an operator or carrier pursuant to an
effective order issued by a district director, administrative law
judge, Benefits Review Board, or court, or by an operator that has
agreed that it is liable for the payment of benefits to a
claimant, shall be paid by the operator or carrier immediately when
they become due (see Sec. 725.502(b)). An operator that fails to pay
any benefits that are due, with interest, shall be considered in
default with respect to those benefits, and the provisions of
Sec. 725.605 of this part shall be applicable. In addition, a claimant
who does not receive any benefits within 10 days of the date they
become due is entitled to additional compensation equal to twenty
percent of those benefits (see Sec. 725.607). Arrangements for the
payment of medical costs shall be made by such operator or carrier in
accordance with the provisions of subpart J of this part.
(b) Benefit payments made by an operator or carrier shall be made
directly to the person entitled thereto or a representative payee if
authorized by the district director. The payment of a claimant's
attorney's fee, if any is awarded, shall be made directly to such
attorney. Reimbursement of the fund, including interest, shall be paid
directly to the Secretary on behalf of the fund.
