OTTAWA — The federal government will not a appeal a Federal Court of Canada ruling that rejected clawbacks from the pensions of disabled veterans.
Veterans Affairs Minister Steven Blaney and Defence Minister Peter MacKay made the announcement in Ottawa on Tuesday, saying they had sought and received a clear opinion from the court on the payments.
The ruling earlier this month was a victory for veterans five years in the making.
The class action was filed in March 2007 on behalf of Dennis Manuge and 4,500 other disabled veterans whose long-term disability benefits are reduced by the amount of the monthly Veterans Affairs disability pension they receive.
“It is clear to me, frankly, that this issue has been held up and been in the courts far too long,” MacKay said.
“There is simply no reason to delay the benefits of those who are suffering as a result of their service.”
He said it wasn’t clear how much it would cost the federal government or how far back the payments would go, adding that they would continue talking to the parties involved.
Manuge has said in the past that as much as $320 million was at stake in the court fight.
Senior defence sources say the final pay-out figure is “likely in the hundreds of millions of dollars” but that will be determined in negotiations with the plaintiffs.