Can’t pay ₹4 lakh compensation for Covid victims, will exhaust funds: Centre tells SC

June 20: Centre has told the Supreme Court that Covid-19 victims’ families cannot be paid Rs 4 lakh compensation as it would exhaust disaster relief funds. The Centre’s affidavit came in response to a PIL seeking ‘minimum standards of relief’ and ex-gratia payment to Covid-19 deceased. The Centre filed a 183-page affidavit on Saturday night in response to PIL seeking “minimum standards of relief” and ex-gratia payment for COVID-19 deceased. The court will be hearing the case on Monday.

“If the entire SDRF funds get consumed on ex-gratia for Covid-19 victims, the States may not have sufficient funds for organizing Covid-19 response, for provision of various essential medical and other supplies, or to take care of other disasters like cyclones, floods, etc. Hence, the prayer of the petitioner for payment of ex-gratia to all deceased persons due to Covid-19, is beyond the fiscal affordability of the State governments,” the Centre reportedly added. The centre also said due to increased health expenses and low tax revenue it is beyond states’ budget to pay compensation for lakhs of Covid victims.

The petition was filed by advocates Gaurav Kumar Bansal and Reepal Kansal had refrred to Section 12 of the Disaster Management Act 2005, according to which, the national authority shall recommend guidelines for the minimum standards of relief to be provided to persons affected by disaster, which shall include ex-gratia assistance