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American Morning

Four Senate Democrats Ask Justice Department to Change Proposed Rules Governing Distribution of Funds to 9-11 Victims

Aired January 18, 2002 - 09:42   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
ANDERSON COOPER, CNN ANCHOR: Four Senate Democrats joined in asking the Justice Department to change the proposed rules governing the distribution of compensation funds to victims of 9-11.

Last night, hundreds of families of the victims gathered in New York to voice their protest, saying the fund is far too stingy.

CNN's Hillary Lane was there, and has this report.

(BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALE: And each week her paycheck was less, before she decided to have insurance.

UNIDENTIFIED MALE: Did she buy insurance to bailout the airlines, or did she buy insurance to protect herself and her family?

UNIDENTIFIED FEMALE: No, to protect her herself, and her family.

HILLARY LANE, CNN CORRESPONDENT (voice-over): Their anger is unmistakable, growing and shared by the hundreds of people who united Thursday night. Their target: the man most believed could make things at least a little bit better for the families of the September 11th victims. But hasn't. Some of New York's top politicians on their side.

GOV. GEORGE PATAKI, NEW YORK: I deeply believe that the draft regulations Mr. Feinberg put out are terrible and do not do justice for the people and the families of those who have suffered so much.

LANE: Nor for the memory of those now thought of as heroes.

ELIOT SPITZER, N.Y. ATTORNEY GENERAL: Congress understood that when they passed bill that was designed to give you full, complete, total compensation. Ken Feinberg did not understand that when he wrote his rules.

LANE: Family members signed petitions. Urging Feinberg, the appointed special master of the government's victim compensation fund, to make changes, to raise the $250,000 set to cover pain and suffering, to recalculate compensation based on the victims' earnings potential, to give each family its own hearing.

UNIDENTIFIED MALE: Who is going to care of my mother.

LANE: As the anger grew, Feinberg was just a mile away, giving a lecture. He addressed the concern that the federal fund is so limiting, it will leave some families with nothing.

KENNETH FEINBERG, SPECIAL MASTER, VICTIMS' FUND: We are contemplating a series of changes, dealing with the computation formula, dealing with eligibility criteria, dealing with the hearing process.

LANE: But trust is running out, and so is time for changes to be made.

DENISE MATUZA, WTC WIDOW: Everything we wanted to hear was said, so there was not much for us to come here to argue for. Now we just have to pray and hope that it gets done.

LANE: Families have two years to decide whether to take the government's eventual offer. If they decline and decide to sue instead, they face a potentially huge backup in the courts fighting again an adversary whose liability has already been severely limited.

Hillary Lane, CNN, New York.

(END VIDEOTAPE)

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