NEW DELHI: As the cash payment of Rs 10 lakh in ex gratia each to the families of New Delhi railway station stampede victims raised eyebrows on Monday, the Ministry of Railways defended the practice saying compensation had been paid through this medium in the past as well and was permissible under the law.
“We were given Rs 10 lakh in cash immediately after the body was handed over to us at the hospital on Sunday morning. We were asked to show our Aadhaar card and the amount was disbursed. A railway security personnel even accompanied us home, considering the large amount we were carrying,” Bipin Jha, husband of Mamta Jha (40) who died in the stampede, told The Tribune. Pappu Gupta, a relative of Poonam Gupta, another victim of the tragedy, also confirmed that the ex gratia was paid in cash.
Shatrunjay Kumar, Additional Director (PIB) attached to the Railways, acknowledged that the compensation to the 18 killed and those injured was disbursed in cash. A total of approximately Rs 2 crore was distributed in cash after the incident on Saturday.
The concern over cash payments stems from guidelines issued by the Executive Director (Public Grievances), Railway Board, on September 18, 2023. The guidelines define the ex gratia to be paid to the dependents of the deceased and injured in train accidents and other untoward incidents under Section 123 (read with Section 124 and 124-A) of the Railways Act, 1989.
“Up to Rs 50,000 per person to be paid in cash as an immediate relief for taking care of initial expenses. The remaining amount to be paid through account payee cheque, RTGS, NEFT or any other payment mode,” the guidelines say.
Meanwhile, Railway Minister Ashwini Vaishnaw justified the disbursement of ex gratia in cash to family members of the deceased and injured saying that it is according to practice.