Thomas Cook gives £1.5m payment to charity over Corfu deaths

HOLIDAY FIRM Thomas Cook has donated a £1.5m payout it received following the deaths of two young children to Unicef and apologised to their parents “for all they have gone through”.

The company’s group chief executive Peter Fankhauser confirmed yesterday it had received the sum from the owners of the Louis Corcyra Beach Hotel on the Greek holiday island of Corfu, where Bobby and Christi Shepherd died.

Mr Fankhauser said: “I believe this is the right thing to do and I apologise to the family for all they have gone through.”

Bobby and Christi, aged six and seven, died when they were over- come by fumes from a faulty boiler as they stayed in a bungalow in the grounds of the hotel with their father, Neil Shepherd and his partner, now wife, Ruth, in October 2006.

Last week, an inquest jury concluded that Thomas Cook breached its duty of care to the family and returned verdicts of unlawful killing. Since then, Mr Shepherd and the children’s mother, Sharon Wood, have criticised Thomas Cook for failing to apologise to them.

Mr Fankhauser confirmed that his firm received the £1.5m, mainly in respect of legal fees, as part of a £3m settlement with Louis Group, the hotel owners. The other £1.5m went to Thomas Cook’s insurers. Mr Fankhauser said: “Thomas Cook has not in any way profited from our claim against the hotel owner.

“In late 2012, we brought a claim against the hotelier for breaching their contract to provide safe accommodation to our customers and to comply with all applicable laws, which was decided in our favour. Today I have made arrangements for the full amount – £1.5m – to be donated in full to Unicef.”

The move by Thomas Cook follows further criticism over the weekend. Mr Shepherd and Mrs Wood said it was “disgraceful” that a letter of apology from Mr Fankhauser was brought to their attention by journalists.

Four Greek nationals were convicted of offences relating to the deaths of the children and jailed but they were released pending appeal hearings. Two Thomas Cook employees were tried in a Greek court for manslaughter but were cleared five years ago.