NCAA Explains Delay In Compensation Payment

Non-submission of letters of administration and other relevant information by relatives of victims of Dana plane crash has delayed payment of the initials 30,000 U.S dollars to about 70 of the relatives.

Dr Harold Demuren, the Director General, Nigerian Civil Aviation Authority (NCAA), who made this known at a joint press briefing in his office, said other challenges included multiple claims by some families, delay in release of DNA results and submission of incorrect documents by some families.

Demuren’s explanations came just as the Minister of Aviation, Princess Stella Oduah, granted Dana Airline the right to resume flight operations.

The NCAA boss said the aircraft and the passengers on board were insured for 350 million U.S. dollars.

He said that only 62 families had received compensations, adding that more than 20 foreign families whose relations died in the crash had instituted court cases in the U.S. the UK against the airline .

According to him, the challenges have slowed down payment of the initial 30,000.00 dollars to some of the bereaved families that lost their bread winners in the June 3 crash at Iju Isaga in Lagos State.

“We do not want the families of the deceased to undergo more trauma and agony hence NCAA has invited representatives of Dana , Lloyds (its international insurer ), its local underwriter and NICON to discuss ways of overcoming perceived challenges and fast tracking the initial payment,’’ he said .

Also speaking, Mr Ibraheem Hassan, the Deputy Commissioner, Technical, National Insurance Corporation of Nigeria (NICON), said care was being taken to avoid paying compensation to wrong claimants.

“If we pay the wrong claimant, there will be no money to be paid twice when the genuine claimant appears. We have to be very sure of the identity of the person we are paying the money to.

“That is why we are asking for letters of administration from the probate court certifying that the claimants are the deceased’s families or next-of-kin,’’ he explained.

Hassan pointed out that the airline was insured in Nigeria and abroad, adding that 30 per cent of the airline’s risks fund was domiciled with Prestige Insurance, the lead underwriter of Dana in Nigeria.

“The insurance company has been paying as nobody that has filed a claim for the initial 30,000.dollars has been denied payment,’’ he said.

He gave the assurance that the procedure for the payment of the remaining 70 per cent would start as soon as the initial payment is completed.

According to him, the process demands that there must be a letter of administration certified by the court before establishing the next of kin of the deceased.

Hassan said the 350 million dollars did not cover those who lost their lives and properties on ground that were damaged.