Nearly one year has passed since the Air India Mangalore crash, in which 158 lives were lost. Immediately, controversy flared up between the families of crash victims and Air India over compensations.
The insurance companies had calculated the compensation the basis of 'the loss of livelihood’, whereas the victims' families wanted it on the basis of 'the loss of life’. The victims' families claim was that according to Montreal Convention, compensation should be calculated on the basis of 'the loss of life’.
The Montreal Convention establishes compensation rules for air disasters’ victims.
Initially, Air India agreed to pay Rs. 20 Lakh compensation to each of the victims' kin. Besides this, Rs. 15 Lakh was paid by various government agencies. But the victims' families did not agree and took the case to the Kerala High Court.
On Wednesday, Kerala High Court directed Indian Flag Carrier to pay Rs. 75 Lakh each to the families of 158 passengers killed in the crash. One month time has been given to Air India to pay the compensation.
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