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Nearly a year after the AI171 disaster in Ahmedabad that killed 260 people, Air India says 96 per cent of victims’ families have received interim compensation, while final settlements, return of personal belongings and support efforts continue as the crash investigation remains underway
Nearly a year after the Air India AI171 crash in Ahmedabad that killed 260 people, the airline said that compensation has reached most affected families, with the process of final settlements now underway even as investigators continue to probe the cause of one of India’s deadliest aviation disasters.
Air India said it has disbursed interim compensation of Rs 25 lakh each to the families of 96 per cent of those who lost their lives in the June 12, 2025 crash. The remaining cases are largely pending due to incomplete documentation or ongoing family-related legal disputes.
The Tata Group-owned carrier said families are under no obligation to accept compensation within a fixed timeframe and that discussions on final compensation are continuing on a case-by-case basis.
The London Gatwick-bound Boeing 787 Dreamliner crashed moments after taking off from Ahmedabad, killing 241 passengers and crew members on board and 19 people on the ground. The accident was the first fatal crash involving Boeing’s 787 Dreamliner since the aircraft entered commercial service and sent shockwaves through the global aviation industry.
Support for victims and injured
Air India said compensation efforts have also covered those injured on the ground. According to the airline, 94 per cent of affected individuals have either received full and final compensation or interim financial assistance, depending on the severity of injuries and any resulting loss of livelihood.
A small number of claims remain unresolved as the required forms and supporting documents have not yet been submitted.
In addition to statutory compensation, the Tata Group’s AI171 Memorial and Welfare Trust has disbursed the Rs 1 crore ex-gratia assistance announced by Tata Sons Chairman N Chandrasekaran to 91 per cent of the families of the deceased.
The company said pending cases are primarily linked to incomplete paperwork or situations where families have chosen not to accept the payment.
Return of personal belongings
Air India said it has undertaken an extensive exercise to recover, preserve and return personal belongings recovered from the crash site.
More than 22,000 items were catalogued and documented with the assistance of an external specialist agency. Families were informed about recoverable belongings through email and a dedicated online platform designed to facilitate identification and return.
According to the airline, belongings associated with 139 of the 187 deceased individuals have already been returned to families in India and the UK.
For another 60 of 77 cases involving items that could not be definitively linked to a specific individual, families were given access to an interactive portal to identify belongings before they were handed over.
Air India said 15 families declined to receive the recovered items.
The airline also provided an update on electronic devices recovered from the wreckage. Of the 25 digital devices retrieved, 16 have been returned to families after undergoing mandatory examination by Indian authorities. The remaining cases are pending due to documentation requirements or because families chose not to claim them.
Investigation continues
While compensation and rehabilitation efforts have advanced significantly, the investigation into the crash remains ongoing.
The Aircraft Accident Investigation Bureau (AAIB) continues to analyse cockpit voice recordings, flight data and aircraft systems as part of its inquiry. Although a preliminary report has been released, investigators are yet to publish their final findings on what caused the Boeing 787 Dreamliner to crash shortly after take-off.
First Published:
June 12, 2026, 06:19 IST
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