Until September 28, 1998, the Canadian Red Cross was responsible for all blood services in Canada. On the recommendation of the Krever Commission, the organization was removed from this position and replaced by the Canadian Blood Services because of the nation-wide controversy when it was revealed that between 1986 and 1990 it had irresponsibly,[3], and knowingly [4] supplied tainted blood to patients. In 1994, an investigation found that 95 percent of hemophiliacs who used blood products supplied by the Canadian Red Cross before 1990 had contracted Hepatitis C.[5] According to the Krever Commission, approximately 85 percent of those infections could have been avoided.
More than 1000 Canadians were infected with HIV and 20,000 contracted Hepatitis C from blood transfusions given by the Red Cross during that period.[6]
The Canadian Red Cross was fined $5,000 for its role in the tainted blood scandal and agreed to plead guilty to distributing a contaminated drug. It agreed to give 1.5 million dollars to the University of Ottawa for a research endowment fund as well as a scholarship for family members of those affected. In exchange, six criminal charges against the Red Cross were dropped.[5]
The then-director of the Red Cross, Dr. Roger Perrault, was on trial for his role in the scandal. The first trial resulted in the Ontario Superior Court of Justice acquitting him on charges of criminal negligence causing bodily harm and six criminal nuisance charges were dropped in January 2008 when "there no longer remains a reasonable prospect of conviction in this case".[7]