Yes, that is correct. They came forward and applied, so presumably could demonstrate in some sense that they had a connection to show, whereas for persons who never came forward, we don't know whether they were in a position to demonstrate a connection test.
If you follow that through to its logical conclusion, the bill as drafted—extending citizenship and a remedy automatically to those who never applied—may be benefiting persons who may or may not have had a connection but excluding, we would suggest, perhaps unintentionally, those who could demonstrate some form of connection but were unsuccessful with their original application.