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Air India crash in Ahmedabad claimed 260 lives on June 12. (Photo Courtesy: PIB)

Air India disburses ₹25 lakh interim compensation to each family of AI171 crash victims

| @indiablooms | Jul 27, 2025, at 02:12 am

Mumbai: Air India has paid interim compensation of ₹25 lakh each to the families of 147 passengers who perished in the AI171 crash, as well as 19 others who died at the accident site, media reports said. 

The airline said the payments were made to help families meet immediate financial needs.

In a statement on Saturday, the airline reiterated its commitment to supporting the families affected by the tragedy.

“Air India stands in solidarity with the families and those affected by the AI171 accident. We continue to mourn their loss and remain fully committed to providing support during this difficult time,” the statement said.

The compensation, which will be adjusted against the final settlement amount, has been released progressively over the past month.

According to the airline, documentation for 52 additional deceased passengers has been verified, and disbursal to their families will begin shortly.

Meanwhile, the Tata Group has set up ‘The AI-171 Memorial and Welfare Trust’ in memory of those who lost their lives.

The Trust has committed to providing an ex-gratia payment of ₹1 crore to the family of each deceased passenger.

It also plans to help rebuild the infrastructure of the BJ Medical College Hostel, which suffered damage in the crash.

The Trust will further support first responders, healthcare workers, disaster relief teams, social workers, and government officials who played key roles in managing the aftermath of the accident.

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