It is mentioned in the digest compiled by the War Amputations of Canada, "Hanging a Legend" that
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Originally Posted by Hanging A Legend
Information was given that balloonists saw the raid. The NFB Response dismisses the possibility of a balloonist seeing the raid because "heavy clouds hung at 500 feet..."
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On a quick perusal of the book, I can not find anymore details on the balloon reports. Perhaps when I get time later, I'll look and see what else is in there on that subject.
I recall that the Late Phil Markham looked into this claim. I seem to recall he refuted it. I don't recall why. One has to wonder what did happen to the reports, if we assume anything was filed.