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November 22, 2005: Park may sue airline for pollution

International

Park may sue airline for pollution

By Pan Haixia and Zhang Kun (China Daily)

2005-11-22

SHANGHAI: China Eastern Airlines is facing a potential lawsuit after the park, the site where one of its planes crashed last year killing 55 people, has asked for a 105 million yuan (US$13 million) compensation. The airline is being blamed for the environmental pollution that resulted from the disaster.

Nanhai Park, site of the plane crash in Baotou in North China's Inner Mongolia Autonomous Region, released a report on the aftermath of the crash on the first anniversary of the disaster yesterday.

Based on a detailed study of the environmental pollution, it asked China Eastern for a compensation of 105 million yuan (US$13 million).

The report, based on a three-month study by China Research Academy of Environmental Sciences, alleged that the crash left a large amount of petroleum residue and organic pollution in the lake water.

The air crash also destroyed the lake's ecological system, largely reducing the variety of the life forms in the lake, according to the report.

Yu Wei, director of the administrative office of the park, said if the negotiation fails, it would sue China Eastern, which would make it the first environmental compensation lawsuit caused by an air crash in the world, said business insiders.

China Eastern refused to comment on the matter.

According to Yu, the amount only covers the direct economic losses the air crash caused in the lake.

The total losses are much higher, he said.

Half of the harbour in the park was destroyed from the crash, Yu said. Most tourist boats and related facilities also burned down.

In April, China Eastern paid 2 million yuan (US$246,000) to Nanhai Park to help it resume its business, yet the amount, according to the park, is far too small.

A sticking point in compensation negotiations is that the park wants the airlines to compensate the employees for the park's dismal business after the disaster.

The park also insisted that the airlines should pay for the reconstruction of restaurants.

China Eastern does not only face the park's looming lawsuit. Twenty-one members of the victims' family from the Baotou air crash have already filed a lawsuit in California, demanding compensation from the Canadian plane maker Bombardier and the plane's engine maker, GE for product defects that they say caused the accident.

 

(China Daily 11/22/2005 page2)

http://www.chinadaily.com.cn/english/doc/2005-11/22/content_496767.htm

Topic(s): parks and wilderness news, Tourism News, Toxics and Health News, Transportation News

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