Kerala High Court ordered the sister ship to be conditionally arrested

By Admin

19 Jun, 2025

In a significant maritime legal development, the Kerala High Court has ordered the conditional arrest of MSC Polo II, a sister ship of MSC ELSA 3, which tragically capsized and sank off the Kerala coast on May 25. This action follows a petition filed by Sans Cashew India Private Ltd, seeking compensation for cargo lost in the incident.

Cashew Cargo Routed via Vizhinjam Port

The petitioner, Sans Cashew India Pvt. Ltd., reported the loss of two consignments of Ghana dried raw cashew nuts (in shell) originally shipped from Tema Port, Ghana, to Tuticorin Port, India. These consignments were transhipped through the Adani Vizhinjam Port and subsequently loaded onto ELSA 3, the ill-fated vessel which later sank. The Mercantile Marine Department (MMD) and the Directorate General of Shipping confirmed that the sinking was due to technical and operational failures.

Legal Proceedings and Compensation Demand

In the petition, the company claimed a maritime claim under the Admiralty (Jurisdiction and Settlement of Maritime Claims) Act, 2017, valuing their loss at approximately Rs 73.49 lakh. The High Court, presided by Justice M A Abdul Hakhim, acknowledged the claim and ordered the conditional arrest of MSC Polo II. The vessel could be released upon the production of a demand draft for Rs 74 lakh before the Registrar General of the High Court.

Context of Previous Detentions

This is not the first instance where the Kerala HC has taken such action. In a similar case, the court had previously detained MSC MANASA F, another vessel, based on petitions filed by other companies also affected by the sinking of MSC ELSA 3. These actions underscore the judiciary’s willingness to intervene swiftly in maritime disputes involving significant cargo losses.

Jurisdictional Challenge by Vessel Owner

During the proceedings, the counsel representing the shipowner argued that the vessel was beyond 14 nautical miles from Vizhinjam Port, and therefore not under the jurisdiction of the Kerala HC. Furthermore, they stated that caveats had been filed to prevent the arrest of other vessels operated by the company in Indian waters.

However, the High Court dismissed these objections and upheld the conditional arrest, asserting its authority under maritime law. Subsequently, the shipping company complied with the order by producing the demand draft later in the day.

Next Hearing Scheduled

The matter has now been adjourned to June 23, and further proceedings are expected to delve deeper into liability and compensation.

This case brings into focus the importance of accountability in global shipping operations and the increasing role of Indian courts in ensuring justice in cross-border maritime disputes.