OTTAWA, ON, August 14, 2000 - The 38-member National Council of Veteran Associations released a statement today, saying that the Government should make immediate payments to Canada's Merchant Seamen whose status is not in doubt, and deal later with claims for the Merchant Navy Veterans Benefit Payout schemes where the qualifications will require further investigation.

According to Cliff Chadderton, Chairman of the National Council, Veterans Affairs Canada created an "administrative nightmare" by announcing back in February that grants ranging between $5,000 and $20,000 would be paid to Merchant Navy Personnel. The Government notice failed to explain the categories which could not qualify. "This has resulted in applications from a largely-inflated number of Merchant Seamen who did not sail in dangerous waters which resulted in the payment of a war-risk bonus," Chadderton said.

According to figures developed by Chadderton's organization, approximately 5,000 Merchant Seamen or widows would receive the tax-free payment based on the length of service and payment of a "war-risk bonus" as the Seaman sailed in dangerous waters.

The Merchant Navy Coalition for Equality met with Larry Murray, Deputy Minister of Veterans Affairs in Toronto earlier today, and Aurele Ferlatte, President of the other group representing Merchant Seamen -- that is the Canadian Merchant Navy Veterans Association -- met with Government officials in Ottawa later today.

Both organizations have registered complaints that the Government plan does not go far enough. Chadderton's National Council took the stand that his group did not need further meetings but submitted a written brief to the Government.

The NCVA proposal was that there were two flaws in the Government plan which should be rectified.

The first concerned Dual-Service, where a man served in both the Merchant Navy and one of the Military forces. The present Government plan is to withhold the Merchant Navy payment (as much as $20,000) if the applicant had even one month's service in the Military which would have resulted in clothing and gratuity payments of approximately $125.

The second short-coming was that the Canadian Government was refusing to pay the special grant unless the Merchant Seaman had domicile in Canada before the war. "This has successfully disqualified many Merchant Seamen who joined the Canadian and Mercantile fleet, while residents of other countries, but who served full time in the Canadian vessels and then established domicile in Canada after the war," Chadderton said.

"The only procedure that makes any sense," he continued, "is for the Government to deal with the so-called 'known-cases' of about 2,500 and then leave all other cases, such as those with short service in 'home-trade' waters, to be decided on appeal."