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Gujarat Health Minister Praful Pansheriya on Tuesday said Tata Airlines has agreed to pay Rs 53.12 crore to the state Health Department as compensation for damages caused to hostel and utility buildings during the Ahmedabad plane crash incident in June 2025.
According to the minister, the Health Department had sought compensation after extensive damage was caused to the ‘Atulyam 1 to 4’ hostel blocks, along with the canteen and sub-station buildings located at the New Mental Campus near Ahmedabad Civil Hospital in the Asarwa area.
Pansheriya said the airline has responded positively to the government’s demand and agreed to pay the full compensation amount in the coming period.
Giving details about the incident, the minister said the June 12, 2025, plane crash in Meghaninagar caused severe structural damage to several Health Department-owned buildings situated close to the crash site. At the time, 92 students were residing in the hostel complex.
Following a structural audit, officials declared the affected buildings unsafe for habitation, making their demolition unavoidable.
The minister further announced that a new ultra-modern Super Specialty Married PG Hostel for doctors will be constructed at the New Mental Campus near Civil Hospital-Asarwa at an estimated cost of Rs 105 crore.
Officials said the project has been planned in view of the addition of 48 new super-specialty medical seats and is expected to accommodate around 236 married super-specialty postgraduate doctors over the next three years.
As part of the redevelopment, a new super-specialty hostel block, a modern canteen facility, and a new sub-station will be developed within the New Mental Campus-IGP Compound in Meghaninagar. The state government has already allotted land for the proposed project.
To accelerate implementation, the Gujarat government has approved a budgetary provision of ₹34.65 crore against an estimated allocation of Rs 51.84 crore in the 2026-27 state budget.
The proposed ‘Atulyam 1 to 7’ PG Hostel complex will feature a G+8 structure equipped with modern facilities. Officials said the accommodation will include studio apartment-style units with living rooms, attached kitchens, bedrooms, and toilets.
The project will also incorporate essential infrastructure such as fire-fighting systems, an RO water plant, and drainage facilities. Additional amenities planned for students include basement parking, separate accommodation for unmarried PG students, a modern mess facility, gymnasium, recreation rooms, and landscaped campus spaces.
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