For the Sake of Fairness
The Case of Squadron Leader (Retired) Clifton Wenzel

November 8, 2005

Appendix B: Canadian Forces Superannuation Act, S.C. 1959

The Canadian Forces Superannuation Act, S.C. 1959, 7-8 Eliz. II, c.-21

10.(6) A contributor who, not having reached retirement age, retires voluntarily from the forces is entitled to a benefit determined as follows:

(a)if, in the case of an officer, he has served in the forces for less than twenty five years or in the case of a contributor other than an officer, he has served for less than twenty years, he is entitled to

(i) a return of contributions, or
(ii) in the discretion of the Treasury Board, if he has served in the forces for ten or more years, an annuity, reduced by five percent for each full year by which his age at the time of his retirement is less than the retirement age applicable to his rank:

(…)

10.(10) Notwithstanding anything in this section,
(…)

(c) a contributor who, not having reached retirement age, retires voluntarily from the forces is entitled to an annuity determined under subparagraph (ii) of paragraph (a) of subsection (6) only if a recommendation has been made by the Minister that his retirement from the forces was in the public interest and that it is in the public interest that he be paid that annuity.

Service Pension Board

20.(1) The Minister shall appoint a board, to be known as the Service Pension Board, consisting of a chairman, one member from each of the Services and a member to represent the Minister.

(2) It shall be the duty to the Service Pension Board to determine, in the case of any contributor who is retired from the forces, the reason for his retirement from the forces, and the Board shall on the making of any such determination, certify in writing the reason fro such retirement as determined by the Board.

(3) No payment shall be made of any annuity or other benefit under this Act to a contributor who is retired from the forces except upon certification in writing by the Service Pension Board of the reason for such retirement as determined by the Board, and upon the certification thereof, the contributor shall be presumed, prima facie, to have been retired from the forces for than reason.

(4) Subsections (2) and (3) do not apply, in any case or class of cases specified by the Treasury Board, to or in respect of any contributor who has served in the forces for less then ten years.

Appendix C: Letter to the Minister of National Defence

October 6, 2005

The Honourable William Graham, P.C., M.P.
Minister of National Defence
National Defence Headquarters
Major-General George R. Pearkes Building
13th floor, North Tower
101 Colonel By Drive
Ottawa, Ontario
K1A 0K2

Dear Minister Graham:

Please find enclosed 6 copies of my Special Report entitled: For the Sake of Fairness: The Case of Squadron Leader (Retired) Clifton Wenzel. This report concerns the complaint of Mr. Clifton Wenzel, who retired from the Royal Canadian Air Force in 1961, and did not receive a discretionary reduced annuity as was permitted by the Canadian Forces Superannuation Act as it read at that time.

On May 5, 2005, you referred this complaint to our office for investigation pursuant to paragraph 4(a) of the Ministerial Directives governing the Office of the Ombudsman. You asked this Office to investigate Mr. Wenzel’s case, in order to determine whether or not he had been treated fairly by DND/CF when he was denied a reduced annuity at the time of his retirement.

This Special Report is submitted to you, pursuant to paragraph 38(1)(b) of the Ministerial Directives for my Office. As per established practice, a copy of my report and recommendations is being provided to the complainant, Mr. Wenzel, on an undertaking that he will not disclose the contents of the report before its publication.

Pursuant to paragraph 38(2)(b) of the Ministerial Directives, and in light of the public interest in this matter, I intend to publish the report on the expiration of 28 days from the date of this letter, on or after November 3, 2005.

Please note that the final published version of the report may be edited for style purposes. However, this will not affect the findings and recommendations in the attached version.

I look forward to receiving your response to my recommendations in this case. Should you wish to discuss with me please do not hesitate to contact me directly.

Yours truly,

Yves Côté, Q.C.
Ombudsman