OTTAWA, ON, October 16, 2000 - The Federal Government must appeal a ruling of the Provincial Court in Windsor, Ontario, which, as a class action, would fail to benefit disabled war veterans but would represent a windfall for distant relatives who left the handling of the finances of their veterans to officials of the Department of Veterans Affairs. Under the class action proceedings, the court decision could also represent a financial bonanza for lawyers involved in the case.

These statements were made today by Cliff Chadderton, Chairman of the National Council of Veteran Associations. He stated that he and his colleagues, representing some 38 veterans organizations, were asking the Federal Government to appeal the ruling. "Presumably, the settlements - - said to amount to some $1.3 billion - - would be of little or no financial benefit to the disabled veterans," he said.

"Meanwhile," Chadderton stated, "the Government is unable to find monies for hospital beds, Merchant Seamen who served in dangerous waters, Ferry Command Pilots and other civilians who can establish needs directly related to their service in the war effort."

"Show me ten cases where a legitimate combat veteran will benefit personally from the class action and we will support the class action," Chadderton stated.

The veterans would have to be hospitalized and in receipt of long-term medical care. Also, pension and allowances arising from his disability would have to have been administered on his behalf by Veterans Affairs staff before January 1, 1990 - - the date upon which the Department began to pay interest on such "trust" accounts.

"The point which the public and some of the media have missed is that the class action court case has no relevance to the purpose of the veterans disability pension legislation, which is to compensate for loss of ability to compete in the unskilled labour market and/or for the maintenance of his immediate dependents," Chadderton said. "The beneficiaries of the class action would probably be members of the veteran's extended family, most of whom, by definition, would not have been providing him with care - - hence his funds had to be administered by DVA."

The average age of World War I veterans exceeds 100 years, while World War II veterans are in their 80's. They received full pensions, allowances and medical treatment at a cost of about $4,000 a month. If they were institutionalized after January 1, 1990, interest would be credited to their accounts.

Chadderton stated that the 38-member associations of the National Council had screened their files and had been unable to find one member who is in need and would benefit.