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Airline officials indicated that while an Indian passenger is entitled to a compensation of up to Rs 500,000 while in the US a passenger is entitled to receive compensation of up to $500,000 in case of any eventuality.

New Delhi , Jan. 18

, The compensation that an international air traveller would receive in case of injury or death, destruction or loss of baggage and cargo as also for loss caused by delay in international carriage of passenger, baggage and cargo for flights originating from India is set to increase manifold.

This has been made possible with the Union Cabinet giving its approval to the Ministry of Civil Aviation for moving a Bill to amend sections of the Carriage by Air Act 1972 and accession to the Montreal Convention 1999. In effect this would mean that Air India, Indian, Jet Airways and Air Sahara would now be liable to pay higher compensation than at present.

Briefing newspersons after the Cabinet meeting, the Minister for Information and Broadcasting and Parliamentary Affairs, Mr Priyaranjan Dasmunsi, said that the amendment Bill would be tabled during the forthcoming Parliament session.

Non-accession to the Montreal Convention and not making changes in the Carriage by Air Act 1972 has created a situation where by at present passengers whose journey originates in the US or UK are entitled to a much higher compensation compared to what a passenger whose journey originates here is entitled to.

Besides, the Montreal Convention adds a fifth jurisdiction that would allow Indians to file their claim in India even if the journey was undertaken outside India and ticket was purchased abroad provided the airline has a presence in India.

Airline officials indicated that while an Indian passenger is entitled to a compensation of up to Rs 500,000 while in the US a passenger is entitled to receive compensation of up to $500,000 in case of any eventuality. A senior official of a European airline, however, claimed that the airline pays the same compensation to a passenger be it in India or abroad.

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