Tata to pay ₹53.12 crore compensation for damage caused in Ahmedabad plane crash: Gujarat minister

Gujarat Health Minister Praful Pansheriya on Tuesday said Tata Airlines has agreed to pay ₹53.12 crore to the state Health Department towards damages caused to hostel and utility buildings during the Ahmedabad plane crash incident of June 2025.

The minister said the compensation amount was sought by the Health Department following extensive damage to the ‘Atulyam 1 to 4’ hostel blocks, canteen and sub-station buildings located at the New Mental Campus near Ahmedabad Civil Hospital in the Asarwa area.

According to Pansheriya, the airline has responded positively and agreed to pay the entire compensation amount in the coming period.

Providing details, the minister said the June 12, 2025, plane crash in Meghaninagar had caused severe structural damage to Health Department-owned buildings situated near the crash site.

At the time of the incident, 92 students were residing in the hostel complex.

Following a structural audit, the buildings were declared unsafe for habitation, making demolition unavoidable, officials said.

The minister announced that a new ultra-modern Super Specialty Married PG Hostel for doctors would be constructed at the New Mental Campus near Civil Hospital-Asarwa at an estimated cost of ₹105 crore.

The proposed project has been planned keeping in view the addition of 48 new super-specialty medical seats and is expected to accommodate a total of 236 married super-specialty postgraduate doctors over the next three years.

Under the project, a new super-speciality hostel block, a modern canteen block and a new sub-station will be developed at the New Mental Campus-IGP Compound in Meghani Nagar.

The government has already allocated land for the project, officials said.

To speed up implementation, the state government has approved a budgetary provision of ₹34.65 crore against an estimated allocation of ₹51.84 crore in the 2026-27 financial year budget.

The proposed ‘Atulyam 1 to 7’ PG Hostel complex will feature a G+8 structure equipped with modern amenities.

Officials said the facility would include studio apartment-style accommodation with living rooms, attached kitchens, bedrooms and toilets.

The project will also include infrastructure such as fire-fighting systems, an RO plant and drainage facilities.

Additional amenities planned for students include basement parking, separate accommodation for unmarried PG students, a modern mess, gymnasium, recreation rooms and landscaped campus areas.