CFOSnafu.com » Crash victims denied ticket refunds

Crash victims denied ticket refunds

February 6, 2009 by Shane Borer
Posted in: "Would you want this person in Finance?", In this week's e-newsletter, Insurance, Latest news & views

Many companies are forced to make cutbacks, but one rail line has refused to give a refund to passengers involved in a horrific crash — because they’d already enjoyed most of their ride. 

When Australia’s Queensland Rail Number 81 tilt train collided with a truck and derailed last November, two drivers of the high-speed train were killed, and nine passengers were injured. On its way to Brisbane from Cairns, the train was relatively close (within 50 miles) to its destination before their accident occurred.

Because the train derailed so late in the trip, Queensland Rail offered no refunds — even to those passengers injured — of the $310.20 ticket cost.

The incident came under further fire after another fatal crash on the train line happened on New Year’s Day. However, the 116 people on the second crash were offered refunds or a free trip, regardless of whether or not they were injured.

According to a spokesperson for the train line, the decision was made because the train involved in the second crash had only started its journey, so it made financial sense to compensate the passengers for their losses.

“Each situation gets treated on its own merits,” said a company spokesperson.

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