OTTAWA, ON, April 18, 2000 - Mr. Peter Goldring, MP, raised the question in the House of Commons, on April 17, 2000, concerning improper handling of trust accounts by Veterans Affairs Canada.

As Secretary of the Woods Committee, which rewrote the Pension Act in 1965, I had information regarding the issue which I forwarded to the Deputy Minister of Veterans Affairs on March 29, 2000.

It was the decision of the Woods Committee that it had no authority to look into possible fraud. The committee felt, however, that the department would not be justified in paying interest. The administration of veterans Trust Funds was considered as providing a useful service to hospitalized veterans who had been medically or otherwise adjudged incapable of handling their own funds.

Veterans Affairs Minister George Baker sent a letter to MP Goldring, on April 18, 2000, explaining that recent departmental studies revealed no wrongdoing. Cliff Chadderton, Chairman of the NCVA, has reviewed the departmental reports and is satisfied that Mr. Goldring's complaints are without foundation.