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2003 Supreme(Bom) 390

IN THE HIGH COURT OF BOMBAY
Dr. Chandrachud D.Y., J.
Fujairah National Shipping Agency .... Plaintiff.
Versus
m.v. Sagar Shakti (Ex. Al Karim).... Defendant.
Admiralty Suit No. 95 of 1997, decided on 27-3-2003.
Advocates appeared :
G.A. Rebello with Munaj Khatri, for plaintiff.
V.K. Ramabhadran with M. Madhu, for defendant.

Headnote:Admiralty Suit - Unless the owner or their authorised agents ordered for the necessities, claim therefor is not admissible.

JUDGMENT - Dr. CHANDRACHUD D.Y., J.:---The plaintiff sues for the recovery of an amount of US$ 45,229/- on a claim for the supply of necessaries to the defendant vessel, M.V. Sagar Shakti previously known as Al-Karim. The claim in the suit comprises of a principal sum of US$ 40,426.30 and interest of $4802.72. The supplies are alleged to have been effected on 2nd March, 1997. The erstwhile owner of the vessel was a company known by the name of Al-Karim Shipping Company Ltd. On 9th April, 1997, the ownership of the vessel was stated to be transferred to the present owners, Rank Resources Ltd.

2. The vessel was arrested by an order dated 30th September, 1997 passed by this Court. On 3rd October, 1997, an order for the release of the vessel was passed subject to the condition that a Bank Guarantee be furnished in the amount of US$ 45,229.02 and to cover, in addition, the claim for interest at the rate of 18% p.a. from the date of the institution of the suit, the Sheriff's poundage and an amount of Rs. 25,000/- towards costs. The ship has since been released from arrest upon the bank guarantee being furnished.

3. From the averments in the plaint, the case of the plaintiff is that a supply of bunkers to the vessel took place in pursuance of a communication received from one "Delta International Shipping". In paragraph 2 of the plaint, the plaintiff avers that in pursuance of a communication received from Delta International Shipping, the plaintiff confirmed by its telex dated 25th February, 1997 that it would be making supplies. According to the plaintiff, its telex provided the master of the vessel with instructions regarding prior notice to the plaintiff so that it could organise the supply of bunkers. In paragraph 3, it has been averred that the master confirmed the estimated time of arrival of the vessel at the nominated site so that the supply of bunkers could be facilitated and the Chief Engineer of the Vessel acknowledged the receipt of bunkers without any qualification. The plaintiff avers in paragraph 4 that it drew an invoice dated 2nd March, 1997. According to the plaintiff, on 21st April, 1997, it called upon the defendant through its representative. Mr. M. Fouad and followed this up by facsimile communications dated 23rd April, 1997 and 15th May, 1997. To this, there was a reply dated 19th May, 1997 in which it was stated that the order for the supply of bunkers had been placed by Delta International Shipping and it is to them that the plaintiff should look for the receipt of payment. The case of the plaintiff is that the supply of bunkers is in the nature of necessaries without which the vessel would not be in a position to sail and this constitutes a maritime claim entitling the plaintiff to proceed against the defendant vessel in rem in order to secure the claim by the arrest, sequestration, condemnation and sale of the vessel. According to the plaintiff, the vessel was named m.v. AL KARIM at the time when supplies were effected and that subsequently, the name has been changed to m.v. SAGAR SHAKTI. The plaintiff avers that though this change is reflected in Lloyds Shipping Index, the registry of the vessel has remained unchanged. The plaintiff has averred that it verily believes that the alleged sale is only a device or strategem on the part of the owners/managers/beneficial interests concerned in the vessel with the intent of defrauding her creditors. The plaintiff has further averred that in any event, the supply of necessaries "constitutes a maritime lien which lien travels with the res and survives change in ownership." The jurisdiction of the Court is invoked in paragraph 11 of the plaint on the basis that the vessel "is presently in port and harbour Mumbai and within the jurisdiction of this Court".

4. The written statement on behalf of the defendant has been filed by Bank Resources Limited, a company which claims to have purchased the vessel on 9th April, 1997. The defendant contends that this Court has no juris




































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