Manufacturing Industry

Libya ends negotiations without reaching a compensation deal with families of UTA bombing victims

Airline Industry Information, Oct 15, 2003

AIRLINE INDUSTRY INFORMATION-(C)1997-2003 M2 COMMUNICATIONS LTD

Libya has reportedly ended negotiations over compensation for the 170 people killed in the 1989 bombing of a French UTA aircraft.

The UTA aircraft exploded over the Sahara Desert in 1989, killing all 170 people on board. In a 1999 settlement for the victims of the disaster Libya agreed to pay USD33m in compensation. However, France is now demanding further compensation following a USD2.7bn compensation deal for the bombing of a Pan Am flight in 1988.

Libya recently resumed efforts to reach an agreement after the French President, Jacques Chirac, warned that Libya's ties with France would suffer of it does not conclude a deal. Libya is said to have offered an additional USD1m for each family of the 170 victims, but the offer has been declined.

However, the Gaddafi Foundation has apparently stopped the negotiations for reasons independent from the negotiations themselves, according to Reuters.

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