Facts

The Greek national Jean C., born abroad on February 19, 1950, suffers from perinatally-induced encephalopathy with epileptic reactions. Since the 12th month of life, his intellectual development has almost completely stagnated. Jean C. requires permanent care in a closed institution.

In January 1976, Jean C.'s father registered him with the Disability Insurance for the receipt of benefits. The Compensation Fund of the Canton of Zurich then awarded him, by decisions of April 5, 1976, a full extraordinary disability pension and a helplessness allowance for severe helplessness, retroactive to September 1, 1974.

On the instructions of the Federal Social Insurance Office, the Compensation Fund suspended the payment of the IV benefits from October 1976. On the grounds that the civil law domicile in Switzerland required for the entitlement to an extraordinary pension and a helplessness allowance must be denied, and that Jean C. was also not insured for the helplessness allowance at the time of the occurrence of the insured event due to the lack of a Swiss domicile, the Compensation Fund decided on September 21, 1977 to revoke the benefits awarded on April 5, 1976, retroactive to September 1, 1974, and to recoup the pensions and helplessness allowances wrongly received.

Considerations

The Federal Insurance Court concluded that Jean C. cannot be considered "resident" in Switzerland within the meaning of Art. 39 para. 1 and Art. 42 para. 1 IVG. Although he meets the disability-related eligibility requirements and has also resided in Switzerland for at least five years without interruption, the focus of his relationships is abroad, as he is accommodated in Switzerland solely due to his disability.

Since Jean C. was not insured for the…