Landmark Ruling: Gujarat High Court Orders Arrest of MT Syrma Merchant Ship Following Patanjali’s Appeal

Justice Nikhil S. Kariel issued an order to detain the ship, MT Syrma, after receiving two separate lawsuits from Patanjali Foods and Auriga Shipping Management. The Gujarat High Court directed the authorities at Kandla’s Deendayal Port, including the port and customs authorities, to seize the vessel.

Patanjali Foods filed a lawsuit alleging that they did not receive the full amount of 5000 metric tonnes (MT) of RBD Palm Olein (Edible Grade) at Kakinada Port. They claimed to have only received 4,930.080 MT, resulting in a shortfall of 68.734 MT (1.37%). Despite sending letters and a legal notice to the ship’s Master regarding the discrepancy and seeking compensation, there was no response. Patanjali argued that their claim fell under Sections 4(1)(d) and 4(1)(f) of The Admiralty (Jurisdiction & Settlement of Maritime Claims) Act and requested the ship’s arrest.

Auriga Shipping Management also filed a lawsuit, stating that they had entered into a ship management agreement with the owner of the vessel, but the owner had not paid the annual management fee as required. Auriga claimed their maritime claim fell under Sections 4(1)(o) and 4(1)(p) of The Admiralty (Jurisdiction & Settlement of Maritime Claims) Act and requested the ship’s capture.

In response to the plaintiffs’ assurance to pay any damages awarded by the court, a notice was issued by the court, scheduled for June 26. The court instructed the Registrar to issue an arrest warrant for the ship at Deendayal Port and directed the port and customs authorities to arrest, seize, or detain the ship within Indian territorial waters.

The court made it clear that the arrest warrant would not be executed if the claimed amounts, along with legal fees and interest, were deposited with the Court.

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