New Delhi: Air India on Thursday said it has completed interim compensation payments to the overwhelming majority of families affected by the AI-171 plane crash that took place near Ahmedabad on June 12 last year, while the process of final compensation has now begun.
According to airline sources, families of the deceased have been provided an interim relief payment of ₹25 lakh each to help meet immediate financial requirements. The airline stated that compensation has already been disbursed to families of 96 percent of those who lost their lives in the tragedy. The remaining cases are largely pending due to incomplete documentation or ongoing disputes among family members.
Air India also reported significant progress in compensating people injured on the ground during the crash. Around 94 percent of affected individuals have either received interim compensation or a one-time final settlement based on the severity of injuries and loss of livelihood. Some cases remain pending as applicants have yet to submit the required documents.
With most interim payments completed, the airline has now started discussions with families regarding final compensation. Officials emphasized that there is no deadline for families to accept settlement offers and that they are free to wait for the completion of the official crash investigation before making a decision.
In addition to statutory compensation, the Tata Group has extended financial support through the AI-171 Memorial and Welfare Trust. Tata Sons Chairman N. Chandrasekaran had earlier announced an ex-gratia payment of ₹1 crore to the families of every victim. Air India said that 91 percent of these payments have already been made, while a small number remain pending due to documentation issues or refusal by beneficiaries.
The airline also outlined efforts to return personal belongings recovered from the crash site. More than 22,000 items were catalogued and preserved. Families were informed through email and provided access to a dedicated online portal to identify belongings linked to their relatives.
According to Air India, belongings associated with 187 deceased passengers were processed, and items connected to 139 victims in India and the United Kingdom have already been returned. Several families either declined to collect the items or are yet to complete the necessary formalities. Of the 25 digital devices recovered, 16 have been returned to families, while the remaining cases are pending for similar reasons.
The airline highlighted the large-scale support operation launched after the accident. More than 500 volunteers from 17 Tata Group companies, including 130 Air India employees, were deployed to assist affected families. Dedicated caregivers were assigned to each family to provide round-the-clock support, while a single-window helpdesk in Ahmedabad helped with documentation and compensation claims for over two months.
Family members of victims continue to seek accountability. Anil Kumar Patel, who lost his son Harshit Patel and daughter-in-law Pooja Patel in the tragedy, recalled his final conversation with them moments before the flight departed. While acknowledging the support received from authorities and the airline, he urged stronger aviation safety measures and demanded justice for the victims.
The AI-171 crash remains one of India’s deadliest aviation disasters in recent years. The Boeing 787-8 aircraft crashed shortly after taking off from Ahmedabad’s Sardar Vallabhbhai Patel International Airport, claiming 260 lives, including passengers, crew members and people on the ground. Former Gujarat Chief Minister Vijay Rupani was among those killed.
Government officials have indicated that the investigation into the crash is in its final stages, with the report expected to be released soon.
