ibnlive » India

Aug 25, 2011 at 06:00pm IST

HC sets aside Mangalore crash compensation order against AI

New Delhi: A division bench of Kerala High Court on Thursday set aside the verdict of single-judge bench of the same court asking Air India to pay over Rs 75 lakh compensation to families of each of 158 victims of May 2010 Mangalore air crash.

Air India on August 12 filed an appeal before the division bench challenging the the July 20 order holding Air India's 'no fault liability' at one lakh Special Drawing Rights (SDR).

The court has also asked the court to settle the issue amicably through negotiations.

Mangalore crash compensation order set aside

The Kerala HC sets aside the order awarding Rs 75 lakh compensation each to families of Mangalore air crash victims.

Counsel for victims say they will go for appeal at a higher court.

An Air India Express Boeing 737-800 airliner from Dubai carrying 166 people crashed outside Bajpe Airport in Mangalore, Karnataka on May 22, 2010 and burst into flames after overshooting a table-top runway and plunging into forest below.

Air India Express is the budget arm of the loss-ridden state-run carrier Air India, which has been fending off growing competition from private airlines.