In the aftermath of the tragic Air India AI-717 plane crash in Ahmedabad on June 12, 2025, both Air India and the Tata Group have taken significant steps to support the affected families. Air India has disbursed an interim compensation of ₹25 lakh to 166 families of the victims. The Tata Group has established 'The AI-171 Memorial and Welfare Trust' to provide further assistance.
Air India has been working to provide financial assistance to the families of those who lost their lives in the crash. As of Saturday, July 26, 2025, the airline has released the interim compensation to the families of 147 of the 229 deceased passengers and to the families of the 19 individuals who died at the accident site. The airline has also verified the documents of 52 additional families, and their interim compensation will be released progressively. This interim payment is intended to help families meet their immediate financial needs and will be adjusted against any final compensation. The final compensation amount is ₹75 lakh.
The Tata Group has registered 'The AI-171 Memorial and Welfare Trust', demonstrating its commitment to supporting those affected by the accident. Tata Sons and Tata Trusts have together pledged to contribute ₹500 crores, with each committing ₹250 crores, to the Trust's philanthropic objectives. The Trust will provide immediate and continuing support to the dependents and next-of-kin of the deceased, those who were injured, and others directly or indirectly affected by the accident.
The Trust will provide an ex-gratia payment of ₹1 crore to the families of the deceased. It will also support the rebuilding of the B.J. Medical College Hostel infrastructure, which was damaged in the accident. Additionally, the Trust will offer aid and assistance to alleviate trauma or distress experienced by first responders, medical and disaster relief professionals, social workers, and government staff who provided invaluable support following the crash.
The AI-171 Memorial and Welfare Trust will be managed and administered by a five-member Board of Trustees. Mr. S. Padmanabhan, a former Tata veteran, and Mr. Sidharth Sharma, Tata Sons' General Counsel, have been appointed as the initial trustees. Additional trustees will be appointed soon. The Trust will commence its work after completing the necessary registration with tax authorities and other operational formalities.
Air India has expressed solidarity with the families affected by the AI171 accident. The airline stated that it continues to mourn their loss and remains fully committed to providing support during this difficult time.
