Must give ex-gratia to Covid-19 victims, says Supreme Court

Must give ex-gratia to Covid-19 victims, says Supreme Court

The Supreme Court on Wednesday directed the Union government to frame within six weeks uniform guidelines on ex-gratia payments to the families of those who have died of Covid-19, noting that the Prime Minister-headed National Disaster Management Authority (NDMA) “failed to perform its statutory duty” by not envisaging a compensation scheme.

The bench of justices Ashok Bhushan and MR Shah, however, clarified that the amount of ex-gratia cannot be fixed by the court, and that the Centre and NDMA should determine the quantum after taking into account their policies and other relief and mitigation measures already put in place.

At present, there is no scheme for payment of ex gratia for Covid-19 deaths due to absence of such provision under the “minimum standards of relief”, declared by NDMA for the pandemic. State governments have also been asked by the Centre not to use the disaster relief funds in case they wish to pay compensation to the next of kin of those who died of Covid-19. Some states, such as Bihar, Karnataka and Delhi, have been paying compensation on account of Covid-19 deaths from their chief minister relief funds.

Allowing public interest litigations by advocates Gaurav Kumar Bansal and Reepak Kansal, the bench on Wednesday held that it was a legal duty cast upon NDMA to issue uniform guidelines on ex gratia payment also because it would “avoid any heartburning and discriminatory treatment” for victims residing in different states.

“We direct NDMA to recommend guidelines for ex gratia assistance on account of loss of life to the family members of the persons who died due to Covid-19, as mandated under Section 12(iii) of Disaster Management Act (DMA), 2005 for the minimum standards of relief to be provided to the persons affected by disaster, over and above the guidelines already recommended,” ordered the bench.In April 2015, the Union government issued the norms of assistance from disaster relief funds, stipulating ₹4 lakh in ex-gratia to the families of deceased persons.

In March last year, when the Centre issued revised norms for relief in the wake of Covid-19, it initially announced that ₹4 lakh ex-gratia to the families of those who died of the disease but withdrew this decision hours later.

The court rejected the Centre’s contention that it was not bound to provide for ex-gratia payments since Covid-19 was different from “natural disasters” such as floods and earthquakes, and therefore, the Disaster Management Act will have to be interpreted as a scheme under which ex-gratia was only recommendatory and not mandatory.

The Union government’s affidavit also stated that the ex-gratia amount of ₹4 lakh cannot be paid for Covid-19 deaths as it is beyond fiscal affordability, and the finances of central and state governments are under severe strain.Finding no favour with these submissions, the bench underlined that Section 12 of the DMA has used the word “shall” twice in propounding that the guidelines have to be made “ex-gratia assistance on account of loss of life” as well as for damage to houses and for restoration of means of livelihood.

“Therefore, it is the statutory duty cast upon the national authority to recommend guidelines for the minimum standards of relief to be provided to persons affected by disaster, which shall include the reliefs, as stated hereinabove.

The language used in the provision is very plain and unambiguous,” held the bench while shooting down the Centre’s plea that the word “shall” in the provision should be read as “may”.

Emphasising that the beneficial provision of the legislation must be literally construed so as to fulfil the statutory purpose, and not to frustrate it, the bench noted that once Covid-19 had been notified as a “disaster”, it was mandatory to contemplate a scheme for ex-gratia for loss of life due to the infection.

Source – Hindustan Times

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