Kerala HC order on Rs. 75 lakh payout for Mangalore crash victims challenged

August 12, 2011

aircrash

Mangalore, August 12: Air India on Friday filed appeal against Kerala High Court order that has directed the airlines to pay compensation of Rs 75 lakh each to the victims of last year's (2010) Mangalore crash.

The issue has been the bone of contention between Air India legal counsel and the Mangalore Air Crash Victims' Families Association, set up to fight the cause of victims of IX812 crash.

The Air India has insisted in its appeal that it was liable to pay only "proven damages".

In a landmark order last month the Kerala High Court held that the families of victims of the Air India Express crash in Mangalore were entitled to a minimum compensation of Rs 75 lakh each.

Justice P.R. Ramachandran Menon passed the order while allowing a petition filed by Abdul Salam and Ramla, parents of 24-year-old B Mohammed Rafi, who was killed in the crash.

158 passengers and crew on board the Air India aircraft from Dubai had perished in the worst air disaster in the last decade, when the plane caught fire after one of its wings hit a hillock at Kenjar in Mangalore.

The brothers and sisters of the deceased are also party to the petition. Union government and National Aviation company (erstwhile Air India) are the respondents in the case.

There were 166 persons on board the flight IX-892, piloted by a Serbian national. Operating the Boeing 737-800, the pilot had first tried to land and later attempted to gain altitude.

The court held that the carrier was liable to pay no fault liability of one lakh SDR (Special Drawing Rights equal to Rs 75 lakh) to the petitioner. The SDR is a special currency issued by IMF. This is apart from whatever other compensation the petitioners are entitled to.

The petitioners prayed for a direction to settle the entire statutory claims made under the provision of the Air Act 1972 from the respondents on the death of Rafi. They had sought Rs 1.5 crore as compensation.

Noting that India was a signatory to the Montreal Convention, the court said, "It is clear that the intention of lawmakers was to bring about a parity in the matter of payment of compensation to the passengers, irrespective of class of travel, while providing for a 'two tier system' of compensation as adopted in Montreal convention."

The "first limb" of compensation as stipulated under Rule 21(1) of the Third schedule was with the said intent to provide the same as the "minimum compensation" payable in respect of death or the bodily injuries subject to the satisfaction of extent of damage, the court said.

"Since the extent of damage to any injury cannot be anything more than death", no further proof is necessary to have sanctioned the minimum compensation of "Rs one lakh SDR" in the case of death and this is the mandate of the Statute, it held.

The court said it was of the "firm belief" that Mohammed Rafi, who lost his life like the several others, was not liable to be discriminated by the respondents, restricting the compensation with reference to his age, income or the dependency of the members of the family.

The petitioners were entitled to have a "minimum of one lakh SDR" as compensation payable under the Statute based on the Montreal Convention treating the matter as "no fault liability" which can in no case be "absolved or limited by the carrier under any circumstances", it said.

About Rs 20 lakh has already been paid to the petitioners and the rest should be paid in a month's time, it added.

The petitioners said the deceased, working in UAE was returning home to Kumbala in Kasaragod in the ill-fated flight.

They said that the National Aviation Company Ltd, put forth an "unconscionable" demand, allegedly at the instance of their insurers, to come to a settlement for a total sum of Rs 35 lakh in full and final settlement.

Against this, the petitioners approached the high court seeking a declaration and enforcement of their rights, referring to the mandate of the Montreal Convention.

The air crash was solely on account of lapse on the part of the pilot and in turn the sheer negligence of the National Aviation Company, they said.

The company filed a counter stating that the matter has to be dealt with as per the provision of the Carriage by Air Act 1972, as amended by Montreal Convention of 1999 to the exclusion of all other laws in force in India.

Referring to the fact that the deceased was aged 24 and was "employed as salesman in a supermarket, earning a salary of 2000 AED (RS 25,000 per month)", the maximum compensation was contended as much below Rs 35 lakh and accordingly the amount was offered as compensation payable in "full and final settlement", which was unacceptable to the petitioners.

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News Network
April 21,2020

Bengaluru: Seven fresh Covid 19 positive cases are reported in 24 hours which includes one death from Kalburgi. Of the 7 cases, Kalburgi and Vijayapura share 3 cases each and one case is from Dakshin Kannada, as per the Tuesday mid day health bulletin issued by the Department of Health and Family Welfare.

The deceased has been identified as a 80 year male from Kalburgi. He was bedridden from the past 3 years and was suffering from Parkinson’s Disease since 4 years. Health officials said that he came with the complaint of Severe Acute Respiratory Infection (SARI) and expired on Monday night.

Along with his death, the total death tally now stands at 17 and the total positive cases in the state is 415.

Kalburgi which recorded the first death for Covid 19 in India has so far reported 4 deaths including the above one. The first slot for recording more deaths in the state is now shared by Bangalore urban district and Kalburgi district with each recording 4 deaths each.

Kalburgi district now has 24 active cases.

All the three cases are females, reported from Vijayapura were the primary contacts of a Corona positive patient (P306), who inturn got infected from a patient with history of SARI.

Apart from the deceased male who tested positive, the other cases from Kalburgi is of 29 year old male with influenza like illness and other case is of a 61 year old male whose source of infection is yet to be traced by the health department.

The case from Dakshin Kannada district is from Bantwala region and the positive patient is a 67 year old female with history of SARI. She is getting treated at designated hospital at Dakshin Kannada.

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News Network
May 6,2020

Bengaluru, May 6: The second day of liquor sales in Karnataka on Tuesday after easing of lockdown curbs saw a nearly five-fold jump in earnings, with Rs 197 crore worth spirits being sold.

According to top Excise Department officials, 4.21 lakh cases of Indian-made liquor, comprising 36.37 lakh litres, worth Rs 182 crore and 7.02 lakh litres of beer in 0.90 lakh cases worth Rs 15 crore was sold on Tuesday.

On Monday, when sales resumed in the state, Rs 45 crore worth liquor was sold.

"We had never expected such a record sale. It's unprecedented," an Excise official who did not wish to be named said.

Liquor sales had resumed in Karnataka on Monday after a 41 day gap following the lockdown due to the COVID-19 pandemic.

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News Network
May 11,2020

May 11: The Karnataka government appears set to roll out red carpet welcome to foreign companies seeking to move out of China.

The State's Large and Medium Scale Industries Minister Jagadish Shettar said the Government plans to constitute a task force, under the Chairmanship of the Chief Secretary T M Vijay Bhaskar, to spearhead the drive to attract such investment. A proposal to this effect has been sent to the Chief Minister B S Yediyurappa for approval, the Minister told PTI in an interview.

This panel would take feedback and suggestions from a consultative committee to be formed with prominent industrialists from the State and representatives of various countries located here, Shettar said.

In recent days, the Minister held consultations with industrialists such as co-founder and Non-Executive Chairman of Infosys Ltd, Nandan M Nilekani, Executive Chairperson of Biocon Ltd, Kiran Mazumdar-Shaw and Chairman of early-stage startup accelerator and venture fund Axilor Ventures Senapathy (Kris) Gopalakrishnan to fine-tune the States outreach push.

Shettar also held interactions with industry bodies, including Confederation of Indian Industry (CII), the Federation of Karnataka Chambers of Commerce and Industry (FKCCI), Bangalore Chamber of Industry and Commerce (BCIC) and Karnataka Small Scale Industries Association (KASSIA).

Industrialists who took part in the deliberations suggested to the government to focus on ease of doing business and improving the single window clearance system for approvals, as the Minister spelt out government's intent of further improving the investment climate to attract industries to Karnataka.

To boost the industry sentiment in the State, they also stressed the need on easing land acquisition regulations, and leveraging the knowledge base of Bengaluru to promote technology-based manufacturing.

"Given the interest shown by some companies in moving their manufacturing bases out of China, the industry leaders recommended that the State government identify a target list of 100 firms to reach out to for attracting to the State, and work out a strategy to bring them to Karnataka," an Industry department official said.

The industry leaders assured cooperation from the private sector in reaching out to and facilitating interactions with CEOs of these companies.

Shettar said restrictions on acquisition of agriculture land for starting industries have now been relaxed with the passage of an amendment to the land reforms act in the recent Legislature session.

This would facilitate immediate land allotment to industries, he added.

The Minister has also submitted a proposal to the Chief Minister on relaxing labour laws.

Secretary General of industry body ASSOCHAM, Deepak Sood, told news agency recently that there is a broader consensus that the global manufacturing supply chain would be more spread than concentrated in major economies like China.

"If India comes out of the present crisis with minimum of impact, we can be the destination of choice for the global manufacturing giants in different sectors like electronics, computer hardware, pharmaceuticals, including medical devices, automobile, including components and other engineering products," Sood had said.

Gopalakrishnan, also co-founder of Infosys and former CII President, said India has to target companies which have operations in China, reach out to them, understand what their needs are and hold discussions with them.

"We have to make sure that their requirements are addressed, be it with regard to land, office space, faster approvals, and some concessions on local taxes. It depends on the businesses that the companies are in, and if we are able to respond to those requests, I think we will be able to attract them", he told news agency.

"All states will compete for this business (foreign investment)," Gopalakrishnan added.

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