Survivors of Canada’s ‘Indian Hospitals’ eligible for up to $200K under proposed settlement

The federal government settles the ‘Indian Hospitals’ class action suit as abuse survivors are eligible for up to $200,000. Kamil Karamali reports.

Survivors of so-called “Indian Hospitals,” where Indigenous patients suffered torment and abuse, could soon receive up to $200,000 each in compensation from the federal government.

On Thursday, the federal government announced a proposed settlement agreement to a class-action lawsuit over the treatment of patients in these medical facilities.

“I believe the resolution to this class action is a very important starting point for Canada to move forward, but also for survivors to recognize that their country acknowledges what happened,” Crown-Indigenous Relations Minister Gary Anandasangaree said in an interview with CTV News.

“We’re hopeful that this will allow us to start a new chapter on our journey of reconciliation.”

These facilities—33 across Canada, including six here in Manitoba—were launched in the 1930s to deal with high rates of tuberculosis (TB) among Indigenous people. Anandasangaree called these hospitals a form of segregation.

“At the core of it, there’s documented evidence from so many different sources that indicate that people were held against their will for prolonged periods of time,” he said. “There were also, in many cases, abuse—either physically or sexually.”

An estimated 126,611 survivors who were taken to these facilities between 1936 and 1981 are included in the class action.

The $1.1 billion class action was launched back in 2018 by representative plaintiff Ann Hardy, alleging “widespread and common sexual abuse” by hospital staff at these facilities. She had been taken to the Charles Camsell Hospital in Edmonton, Alta., when she contracted TB in 1969.

Hardy previously told CTV News she was sexually abused by hospital staff and witnessed other patients being abused as well.

READ MORE: Class-action lawsuit alleges ‘widespread’ sexual, physical abuse of Indigenous patients at tuberculosis hospitals

“I did not start this class action to get paid. I started it because I needed Canada to acknowledge what it did to us. I’m so glad that has now happened,” Hardy said in a news release.

“Because these hospitals caused so much trauma, it was extremely important to me that the compensation process had to be trauma-informed.”

Under the proposed settlement, Anandasangaree said anyone who was at a hospital will be able to apply for a $10,000 compensation. Anyone who suffered abuse—be it physical or sexual—or other harms will be eligible for an additional payment up to $200,000.

Family members of survivors who passed away before 2016 are eligible for compensation.

The total dollar amount of the proposed settlement is unknown at this point, as the federal government doesn’t have an exact number of people who will be coming forward with a claim.

Along with the compensation, the federal government is also putting $150 million towards a healing fund, another $150 million towards mental health supports for class members, and $235.5 million towards research, education, commemoration, and other ceremonial pieces.

Funds will also support the preservation of the hospitals’ history, including locating burial sites connected to them.

The settlement still requires court approval, with a hearing set for June. However, Anandasangaree said the federal government hopes to see the funds flowing to survivors as quickly as possible.

“One of the things I realize is many of them are in their 60s or 70s, or even their 80s,” he told CTV News. “So it’s important that we have a conclusion of this matter before many, many survivors are no longer able to benefit from the compensation as well as recognition of what happened to them.”