CAL, families clash on crash compensation

Relatives of victims yesterday rejected a China Airlines (CAL) offer of NT$12.5 million compensation for each casualty of last month's plane crash, saying it was too early to discuss compensation since the cause of the crash has not been established yet.

"Before the Aviation Safety Council has determined the cause of the crash, CAL has attempted to hold negotiations on compensation, as though a price can be put on people's lives," said Chang Li-fu (張立夫) a representative of an association consisting of over 100 families of the victims.

"Life is priceless. What we really want is the truth behind the cause of the accident," said one relative, Lee Han (李撼).

"With all the insurance payouts [CAL] will get from the insurance companies, they will not have to pay anything themselves with this offer of compensation," said a female relative, surnamed Hung.

On May 25, CAL's Boeing 747-200 passenger jet broke up in midair and crashed into the sea en route to Hong Kong, killing all 225 passengers and crew on board.

Yesterday's meeting, held at Taipei's World Trade Center, was organized by CAL yesterday to discuss compensation issues with the victims' families.

More than ten people walked out at different points during the three-hour discussion.

"With all the CAL representatives sitting high on the stage and the families of the victims sitting off the stage, I don't know exactly what kind of negotiation they expected to hold," one family member said.

CAL spokesperson Roger Han (韓梁中) said that "[yesterday's] negotiations were intended to let the families give their opinions and try to come to a consensus regarding compensation."

He said the amount of compensation proposed was based on the US$400,000 compensation Singapore Airlines paid to the victims of the SQ006 crash at CKS International Airport on Oct. 31, 2000.

Han said he regretted that the families could not accept the offer and that NT$12.5 million was a reasonable amount.

Han added that the aircraft was insured for US$20 million.

"Given the cost of insuring the aircraft and the downturn in business after the accident, CAL will not make a profit on compensation," he said.

Han said a second round of negotiations would be held as soon as possible.