Shipping company conveys to HC inability to deposit ₹9,531 crore as damages for sunken ship

Shipping company conveys to HC inability to deposit ₹9,531 crore as damages for sunken ship

Kerala


Three days after the Kerala government moved an admiralty suit before the Kerala High Court seeking arrest of the vessel MSC Akiteta-2, owned by MSC Shipping Company, as security for a ₹9,531-crore compensation claim, the shipping company informed the court on Thursday that it would be unable to deposit this amount. The compensation was claimed for marine and coastal pollution, loss of fishers’ livelihood, and the ‘remediation’ measures due to the sinking of the company’s container vessel MSC Elsa-3 off the Alappuzha coast on May 25.

Following this, a Bench of Justice M.A. Abdul Hakhim extended the interim arrest of MSC Akiteta-2 that is berthed at the Vizhinjam port till August 6 and posted the case for hearing on the day.

Firm’s contention

The shipping company contended that there is no report so far of oil pollution after the vessel’s sinking and that the oil sheen that spread within one nautical mile off MSC Elsa 3 was completely removed by the ‘ship owner.’ It further said the claim was exaggerated for want of supporting documents.

The court directed the government to file its counter affidavit with supporting documents within two weeks, and the applicant company to file its rejoinder if any within a further period of one week, for the court to finally dispose of the application.



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