An Islamabad court has awarded Rs5.4 billion in AirBlue crash compensation to families of eight victims from the 2010 tragedy that killed 152 people. The ruling came on Saturday, December 20, 2025, dismissing the airline’s appeals and imposing a Rs1 million fine for delays.
The decision underscores accountability in Pakistan’s aviation sector, where families have long sought justice for losses in major incidents. It may influence similar cases across South Asia, setting standards for airline liability amid rising air travel in the region.
Islamabad Court AirBlue Ruling Details
The Additional District and Sessions Judge-III (West), Dr Rasool Bukhsh Mirjat, presided over the case in Islamabad. He ordered AirBlue to pay PKR 5,415.084 million (Rs5.4bn AirBlue compensation) to the affected families. This amount covers damages for the irreplaceable loss of lives in the crash.
AirBlue had filed appeals against earlier liability findings. The court rejected them all, upholding the airline’s responsibility. It also penalised AirBlue with Rs1 million for prolonging the proceedings, which have lasted over 15 years.
Legal experts note this AirBlue crash compensation award is among the highest in Pakistan’s history for aviation incidents. It follows persistent efforts by the families, who refused initial settlements and pursued full accountability through the courts.
Background on the 2010 AirBlue Crash Victims
The disaster involved AirBlue Flight 202, an Airbus A321-231 registered as AP-BJB. It departed Karachi for Islamabad on Wednesday, July 28, 2010. During its final approach to Benazir Bhutto International Airport, the plane crashed into the Margalla Hills.
All 152 on board perished: 146 passengers and six crew members. This remains Pakistan’s deadliest aviation accident. The crash site was 9.6 nautical miles from the airport’s runway.
An official investigation by the Pakistan Civil Aviation Authority classified the incident as a controlled flight into terrain. Key causes included pilot error, such as descending below the minimum descent altitude of 2,510 feet. The crew deviated from standard procedures during a circling approach for Runway 12.
Weather played a role, with rain, low clouds, and visibility at 3.5 kilometres. Air traffic control errors contributed to not adequately guiding the aircraft. The captain, Pervez Iqbal Chaudhary, and the first officer were qualified, but cockpit resource management failed. The captain’s decisions led to a loss of situational awareness.
The aircraft issued 21 terrain warnings via its enhanced ground proximity warning system, including 15 “pull up” alerts. These went unheeded in the final minutes before impact at 04:41 UTC.
Post-crash analysis confirmed no mechanical faults or sabotage. The plane was airworthy, with valid certificates.
Legal Journey and AirBlue Crash Compensation Claims
Families of the 2010 AirBlue crash victims faced a protracted battle. Most accepted initial payments under first-tier liability, signing release documents. Eight families rejected these and filed suits for fuller compensation.
The cases dragged on due to appeals and procedural delays. In 2018, Pakistan’s Supreme Court directed AirBlue to compensate victims, reinforcing liability. However, implementation stalled until the recent Islamabad court AirBlue ruling.
The court observed that prolonged litigation added to the families’ suffering. It emphasised the need for timely relief in such tragedies.
Impact on Aviation in South Asia
This Rs5.4bn AirBlue compensation decision could reshape how airlines handle liability in Pakistan and neighbouring countries. South Asia’s aviation industry has grown rapidly, with more flights and passengers. Incidents like this highlight gaps in safety and redress.
Pakistan’s Civil Aviation Authority has since updated protocols, including better crew training and weather monitoring. Recommendations from the 2010 probe included reviewing compensation regulations for victims’ heirs.
Similar crashes in the region, such as those in India and Nepal, have led to calls for uniform standards. This ruling may encourage stricter enforcement of international conventions like the Montreal Convention, which caps liability but allows higher awards in proven negligence.
What’s Next
AirBlue may appeal the verdict to higher courts. Families await payment, which could take months if contested. The airline has not issued a public response to the ruling. Regulators might review compensation frameworks to prevent future delays.
The Pakistan Civil Aviation Authority could incorporate lessons from this case into ongoing safety audits. Victims’ advocates hope it prompts faster resolutions in other pending aviation claims.
This AirBlue crash compensation milestone offers closure to the families after years of grief.
Published in SouthAsianDesk, December 23rd, 2025
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