Prime Minister Paul Martin suggested Friday that Britain could be held liable for the fire aboard HMCS Chicoutimi.

Martin, who is in Hungary for an international summit of left-leaning political leaders, said he raised the issue in the first meeting with Prime Minister Tony Blair since the disaster that resulted in the death of a Canadian submariner.

"I pointed out to Mr. Blair that there were costs, liabilities that obviously arise from this," Martin said after meeting with the British leader.

Prime Minister Paul Martin chats with British PM Tony Blair in Hungary. (CP Photo)
Prime Minister Paul Martin chats with British PM Tony Blair in Hungary. (CP Photo)

Martin refused to say whether Canada would press for compensation. "I just simply said there's going to be an inquiry and there are going to be results flowing from that inquiry and that we, both sides, obviously should act in accordance with the results of that inquiry," he said.

Lieut. Chris Saunders died from the effects of smoke inhalation after a fire broke out on HMCS Chicoutimi off the coast of Ireland. He was the first Canadian submariner to die on duty in nearly 50 years.

The military is holding an inquiry into how the fire started on the submarine, one of four mothballed boats bought from the British navy.

The blackened nameplate of the HMCS Chicoutimi's Commanding Officer. (Photo Courtesy DND)
The blackened nameplate of the HMCS Chicoutimi's Commanding Officer. (Photo Courtesy DND)

Martin said he also brought up comments made last week by British Defence Minister Geoff Hoon, who characterized the submarine incident as "buyer beware."

He said he told Blair "that this was not the time for intemperate or unfortunate remarks."

A British spokesman had earlier issued a statement from Blair, offering condolences to Saunders's family and a promise to "co-operate fully" with an investigation into his death.

The charred interior of the HMCS Chicoutimi. (Photo Courtesy DND)
The charred interior of the HMCS Chicoutimi. (Photo Courtesy DND)

"The prime minister expressed his condolences to the family and friends of Lieut. Saunders," Blair spokesman Ian Gleason said in a statement.

"Both leaders agreed that it's important to wait for the outcome of the board of inquiry. The prime minister said the British government would co-operate fully with the board of inquiry."

Martin is in Budapest to take part in the Progressive Governance Summit.

During his European tour, which has included stops in Moscow and Paris, the prime minister has been trying to drum up support for the creation of the G-20 – a larger version of the G-8 that includes countries such as China, South Africa, India and Brazil.

"And I think you'll find that the G-20 will ultimately become one of the truly significant institutions," Martin told reporters on a flight to Budapest.

Martin said the world needs another international forum because the United Nations suffers from bureaucratic paralysis.

He said while the G-8 is effective, it doesn't include a single nation from Africa, the Asian sub-continent or South America – areas bearing the brunt of new global challenges.