A crowd of around 300 people was watching Ravan effigies being burnt when the passenger train hit the people standing on the track, about 200 feet away, said senior police officer Lakhbir Singh.Railway Board chairman Ashwani Lohani rushed to the spot while the state government announced an ex-gratia payment of Rs 5 lakh as compensation to the next of kin of those who were killed. Prime Minister Narendra Modi, on the other hand, announced a compensation of Rs 2 lakh for the family of the dead and Rs 50,000 for the injured. He also directed officials to provide immediate assistance.The state government has also declared Saturday a day of mourning in the state. Offices and educational institutions will remain shut. Chief Minister Amarinder Singh, who was scheduled to visit Israel, will fly to Amritsar on Saturday.The Punjab government has announced Rs. 5 lakh compensation for the families of the accident victims. The railways has issued helpline numbers, which are 0183-2223171, 0183-2564485. People who want to donate blood should go to the Amritsar Civil Hospital and Guru Nanak Hospital. The Punjab government has ordered a probe into the accident.Prime Minister Narendra Modi, President Ram Nath Kovind and Congress President Rahul Gandhi have expressed their anguish at the accident.This can be called one of the worst train disaters as 58 people, all in a celebrative mood, watching the burning of a Ravan effigy from a railway track were crushed to death by a speeding train here in Punjab on Friday. This has resulted in big anger in the area and nationwide outrage. More than 72 others were injured, many of them seriously. And the counting is still on.A large number of some 700 people were watching the huge Ravan effigy in flames amid exploding crackers while on the tracks at Joda Phatak near Dhobi Ghat within the city when the Jalandhar-Amritsar DMU passenger train coming to Amritsar from Hoshiarpur came hurtling down around 7 p.m.It took just about 10-15 seconds for the train to pass -- and leave behind a heap of crushed and dismembered bodies. Eight trains have been cancelled and 5 trains diverted today between Jalandhar and Amritsar after a train mowed down 61 people near Amritsar on Friday, ANI reports.Ten other trains have been short-terminated while 5 trains short-originated.