SC directs Centre to frame guidelines for compensation to families of COVID-19 deceased

In a bid to provide relief to the families of persons who succumbed to COVID-19, the Supreme Court on June 30 ordered the National Disaster Management Authority (NDMA) to formulate guidelines for payment of ex-gratia compensation. The plea also mentions cases wherein a person died due to post-COVID-19 complications including mucormycosis (Black, White and Yellow fungus). 

A Bench of Justices Ashok Bhushan and MR Shah pronounced their judgement on the plea that sought Central and State governments to tender ex-gratia compensation of Rs 4 lakh to the aforementioned affected families. The court left it at the discretion of NDMA to deliberate on the amount. 

"We direct the National Disaster Management Authority 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 DMA 2005 for the minimum standards of relief to be provided to the persons affected by disaster," the order read. 

Provisions in law affirming SC's order

It is to be noted, the aforementioned provision in DMA 2005 basis which NDMA would recommend their guidelines include "minimum standard relief including ex gratia assistance on account of loss of life and for restoration of means of livelihood".

"We direct NDMA to form guidelines for ex gratia compensation for family members of persons who succumbed to COVID as per minimum standards of relief. The reasonable amount to be provided is left to wisdom of national authority," the order further read.

While the Union of India and other respondents to the matter have been directed to reply to the petition filed by Lawyer Reepak Kansal, the NDMA has been asked to prepare guidelines within 6 months. Most importantly, the court also held that minimum standards of relief including payment of ex gratia assistance as provided under Section 12 of the Disaster Management Act, is mandatory and not at the discretion of a court. 

Certain factors need to be kept in mind before NDMA formulates guidelines, as per the court's orders; and the appropriate authority is directed to issue Death Certificates and official documents stating the exact cause of death i.e., “Death due to COVID-19”.

Previous SC hearing on compensation for COVID-19-related deaths

The Apex Court on June 21 asked the Centre whether NDMA, headed by PM Modi, had taken any decision to not to pay Rs 4 lakh ex gratia to families of victims of COVID-19, The same Division Bench had observed “to avoid heartburn” among beneficiaries, framing of a uniform compensation scheme would be considered.

The Centre, in its affidavit before SC, said that paying ex-gratia compensation was beyond the fiscal affordability and the finances of Central and State governments as they were under severe strain. The top court however said that it was not case of  Government(s) that “it does not have money".

“Our case is that we are utilising the funds available for other things such as to build health infrastructure, ensure food to all, vaccinate the entire population and providing financial stimulus to boost the economy," UOI maintained.

Other COVID-19 reliefs by Centre

PM Modi earlier announced to initiate fixed deposits in the names of nearly 1700 children who lost both parents due to COVID-19 through the PM-CARES fund, creating a corpus of Rs 10 lakh for each of them when he or she reaches 18 years of age. Moreover, the Centre is set provide admission to children under 10 years to their nearest Kendriya Vidyalaya or in a private school as a day scholar as per the Right to Education Act. Similarly, for higher studies, students would be aided to obtain education loans for professional degrees / higher education in India as per the existing education loan norms.