Reference: http://www.alfawzan.af.org.sa/node/15735
Question: When there are numerous dead bodies [to be buried], is it permissible to dig one huge grave – big enough for twenty or thirty bodies, and bury them all in this grave, then cover it up with soil?
Response: If there is a [genuine] need to do that, then there is no harm [in doing so] due to the large number of dead [bodies].