GOA NIGHTCLUB FIRE COMPENSATION ROW: HIGH COURT ORDERS OWNERS TO DEPOSIT ₹40 LAKH AS VICTIMS’ FAMILIES SEEK GREATER RELIEF
October 12, 2026
The Bombay High Court has directed the owners of a nightclub in Goa where a devastating fire killed 25 people last December to deposit interim compensation of ₹20 lakh each, as negotiations continue over financial relief for the victims’ families. The order concerns Saurabh Luthra and Gaurav Luthra, owners of Birch by Romeo Lane in Arpora, North Goa, where the deadly blaze also left 50 people injured.
A division bench comprising Justices Valmiki Menezes and Amit Jamsandekar issued the direction on Monday while hearing a petition seeking compensation for those affected by the December 6, 2025, fire. The judges clarified that the proposed deposits would remain subject to the final arguments in the principal case, meaning the interim arrangement would not determine the ultimate liability or compensation payable.
The dispute centres on the amount of compensation being sought by the victims’ families. Advocate Prachi Sawant, appearing for the families, told the court that they had requested ₹50 lakh for each victim’s family, substantially above the ₹25 lakh offered by the nightclub owners. She informed the bench that the families wanted an amount closer to ₹50 lakh each.
The court suggested that the owners deposit ₹20 lakh each as interim compensation without prejudice to their arguments in the main matter. The judges made clear that the parties’ wider legal dispute would continue even if the proposed deposits were made. They asked the parties to discuss the arrangement and report the outcome at the next hearing.
Sawant also informed the bench that the families of four tourists who died in the fire had initiated proceedings before a consumer court in Haryana. She said she had not yet received responses from all the victims’ families regarding the proposed interim compensation.
Recognising the need to clarify the various proceedings arising from the disaster, the High Court asked the amicus curiae appointed in the matter to prepare a detailed list of the cases pending in connection with the incident. The bench directed the parties to work out the proposed compensation arrangement and inform it of their decision by October 21, when the matter is scheduled to be heard again.
The fire broke out at Birch by Romeo Lane on December 6, 2025, while the nightclub was hosting a dance party. Twenty-five people died and 50 others were injured in the incident, making it a major tragedy that prompted legal proceedings over compensation and accountability.
The Luthra brothers fled to Thailand after the fire and were deported to India on December 17. They are currently lodged in Colvale Central Jail in North Goa.
The High Court’s latest direction seeks to move the compensation process forward without prejudging the main dispute. The proposed interim deposit of ₹20 lakh from each owner would provide a preliminary financial arrangement while the families continue to pursue their claims for larger amounts.
For the victims’ families, the next stage will depend on the discussions directed by the court and the position adopted by the nightclub owners before the October 21 hearing. The broader question of compensation remains open, with the families seeking ₹50 lakh each and the court ensuring that any interim payment does not prejudice the parties’ arguments in the principal case.
