The Kathmandu District Court has ordered US-Bangla Airlines to compensate the families of 17 victims who lost their lives in a plane crash at Tribhuvan International Airport seven years ago.
The crash occurred on March 12, 2018, when a Bombardier Dash 8 Q400 aircraft operated by US-Bangla Airlines crashed while landing in Kathmandu after departing from Hazrat Shahjalal International Airport in Dhaka, Bangladesh. The aircraft was carrying 71 people, including four crew members. A total of 51 people — 47 passengers and all four crew — died in the accident.
Delivering the verdict on Sunday, a single bench of Judge Diwakar Bhatt ruled in favor of the 17 plaintiffs who had filed a lawsuit against the airline, seeking compensation. Court spokesperson Deepak Kumar Shrestha confirmed that the court ordered US-Bangla Airlines to pay compensation to the victims' families. "All 17 plaintiffs had filed the lawsuit naming US-Bangla Airlines as the defendant, and the court has decided that compensation must be paid by the airline," he said.
Compensation amounts were determined based on the age and professional background of the deceased. According to case details obtained by New Business Age, the court ordered compensation of USD 170,382 (approximately Rs 23.4 million) for each MBBS student, USD 179,418 (approx.. Rs 24.73 million) for each MBBS doctor, USD 277,548 (approx. Rs 36.74 million) for a neurosurgeon, USD 45,301 (approx Rs 6.24 million) for a senior nurse, USD 44,290 (approx. Rs 6.1 million) for an injured survivor, and USD 107,170 (approx. Rs 14.74 million) for the family of Himalaya Airlines employee Prasanna Pandey.
The court issued the decision in line with the 1929 Warsaw Convention, which outlines liability for air carriers in international travel.
Read: Draft Bill Proposes $100,000 Compensation for Deaths in Domestic Air Accidents
Most of the Nepali victims were medical students and professionals who had been studying or working in Bangladesh and were returning home. Following the crash, their families filed the compensation lawsuit in 2019, seeking accountability and justice from the airline.
Bidurman Shrestha, who lost his daughter Anjila Shrestha in the crash, expressed relief at the court’s decision, though he had yet to review the full judgment. He revealed that families had faced repeated pressure to drop the case and accept a small settlement out of court.
“We were offered USD 20,000 in insurance and funeral expenses, and later USD 50,000 as a final settlement — but only if we signed a document stating the airline was not at fault,” he said. “We refused. We were determined to fight for justice, and now the verdict is in our favor.”
Advocate Amrit Kharel, who represented many of the families, called the ruling a historic legal precedent. “This is the first time a Nepali court has ordered compensation in an international aviation disaster,” he said. “Initially, seven families filed the case. Later, 10 more joined.” He said the legal arguments were built on provisions from the Warsaw and Montreal Conventions, along with supporting domestic laws. The final phase of hearings lasted seven consecutive days.
Meanwhile, the Government of Nepal has prepared a bill titled Bill on Liability and Insurance of Domestic Airlines, which proposes mandatory compensation of up to USD 100,000 for families of victims in domestic air crashes.
Though the court has ruled in their favor, families are now waiting for the implementation of the compensation order.