IN R/ADMIRALTY SUIT NO. 12 OF 2023- GUJ HC- Patanjali Foods allege short delivery of RBD Palm Olein under Sales Agreement; Gujarat High Court directs Port Officers and Customs Authorities at Deendayal Port, Kandla to arrest merchant ship MT Syrma
Justice Nikhil S. Kariel [20-06-2023]

Read Order: Patanjali Foods Limited v MT Syrma

Simran Singh

New Delhi, June 22, 2023: The Gujarat High Court has directed the Port Officers and Customs Authorities at Deendayal Port, Kandla to arrest the merchant ship MT Syrma along with its hull, engines, gears, tackles, bunkers, machinery, apparel, plant, furniture and equipment and all appurtenances which were within the Indian territorial waters and to keep the vessel under arrest until further orders of this Court.

The Single-Judge Bench of Justice Nikhil S. Kariel further ordered the Port Officer and the Customs Officer at Deendayal Port to intimate about this order to the Master/Chief Engineer of the Defendant Vessel through her Agent and effect the warrant of arrest for the Defendant Vessel.

In the matter at hand, Patanjali Foods had alleged short delivery of the cargo of RBD Palm Olein (Edible Grade), that it had placed an order for supply of 5000 Metric Tonnes (MT) of RBD Palm Olein (Edible Grade) with MMTC Transnational Pte. Ltd under Sales Agreement dated 30.03.2023 which was supposed to be delivered at Kakinada Port.

Bhakuni Insurance Surveyors, on behalf of Patanjali, issued a Letter of Apparent discrepancy and a Letter lodging monetary claim for such shortage, to which there was no response neither by the Master nor the Owner of the Defendant Vessel. Patanjali Food then issued Legal Notice upon the Owner of the Defendant Vessel calling upon to make the payment for the loss suffered by the Patanjali Foods to which there was no response as well. Thus, Patanjali contended that they had a maritime claim falling under Section 4(1)(d) and 4(1)(f) of The Admiralty (Jurisdiction & Settlement of Maritime Claims) Act, 2017 and sought the arrest of the Defendant Vessel.

The Patanjali Foods gave an undertaking in writing to the Registrar to pay such sums by way of damages if the Court would award as compensation in the event of the defendants sustaining prejudice by this order, and accordingly, the Bench ordered the issuance of a notice returnable on 26-06-2023. Additionally, the Court directed the Registrar to issue a warrant for the arrest of the Defendant Vessel MT Syrma, presently located at Deendayal Port, Kandla within the Indian territorial waters.

To enforce the arrest, the Court instructed the Port Officer and Customs Authorities at Deendayal Port, Kandla to carry out the arrest, seizure, or detention of the Defendant Vessel. The warrant of arrest was directed to be executed at any time, day or night, including Sundays and holidays. The Court, however, said that the defendant could approach the Court prior to the returnable date, provided adequate notice was given to Patanjali Foods.