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Air India announces interim insurance payout of Rs10 lakh

The money will be paid to families of all passengers older than 12 who were killed in the crash, pending final settlement. The injured will get Rs2 lakh.

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Air India today announced an interim compensation for the victims of the Mangalore air crash, including Rs10 lakh for the families of those above 12 years of age, even as it handed over 128 bodies to the next of kin.

Addressing a press conference here a day after the tragedy that claimed 158 lives, Air India chairman and managing director Arvind Jadhav said the airline is in talks with insurance companies, including Reliance Insurance and General Insurance Corporation, to pay compensation.

"We are announcing an interim compensation. We will give them money immediately," he said.

Rs10 lakh will be paid to the next of kin of the dead who were older than 12 years and Rs5 lakh to the families of those who were aged less than 12. For the injured, Air India will pay Rs2 lakh as interim compensation.

"This is over and above the compensation announced by the prime minister [Manmohan Singh] and the [Karnakata] state government," Jadhav said.

He said 128 bodies had been identified and handed over to relatives. "Eighteen more bodies have been identified and the post-mortems are in progress. Twelve bodies have not been identified as yet," Jadhav said.

Asked about the black box (digital flight data recorder) and cockpit voice recorder, he said his information was that the black box had not been recovered.

Urging people and the media not to speculate on the reasons for the crash, Jadhav said speculation would harm the interests of the victims.

"It was an international flight. It has international ramifications," he said. "Speculation will will hurt the interests of the passengers," Jadhav said.

Jadhav said the operations of Air India were normal to the extent of 90%. "Only 12% operations have been affected. On Air India Express, 90% of operations are on," he said.

Jadhav also said counselling sessions had been organised for the Air India cabin crew in various cities, including New Delhi, Kochi, and Mangalore, as many of them were in a "state of trauma" after the incident.

"We are overwhelmed by the response of local villagers who reached the spot and helped in rescue operations," Jadhav said. "Without them, even the eight persons who survived may not have made it."

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