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1955 Supreme(Cal) 60

HIGH COURT OF CALCUTTA
Bose
INDIAN NATIONAL STEAMSHIP CO. LTD. - Appellant
Versus
MAUX FAULBAUM - Respondent
Suit 3248  Of  1953
Decided On : APRIL 22, 1955

Advocates Appeared:
B.DAS, D.R.DAS, S.Ghosh

A foreign sovereign state that submits to the jurisdiction of a court waives its immunity from the legal processes of that court.

Headnote:

IMMUNITY - FOREIGN SOVEREIGN STATE - REPUBLIC OF INDONESIA - ACT SECTION LIST - [SOVEREIGNTY OF THE REPUBLIC OF INDONESIA ACT, 1949] - SUMMARY: The Republic of Indonesia, a sovereign state, sought to remove 51 reels of cable from India despite the appointment of a Receiver by the Calcutta High Court. The Court held that the Republic had waived its immunity by submitting to the Court's jurisdiction in earlier proceedings and could not now claim immunity to nullify the inquiry proceedings.

Fact of the Case:

The Republic of Indonesia, a sovereign state, purchased 51 reels of cable from Germany and shipped them to Indonesia under a Bill of Lading. The vessel carrying the goods was diverted to Calcutta, where the Indian National Steamship Co. filed a suit against the charterer of the vessel, claiming a lien on all goods on board, including the cable reels. The High Court appointed a Receiver for the entire cargo, including the cable reels.

Finding of the Court:

The Court found that the Republic of Indonesia had submitted to the jurisdiction of the Court by applying for leave to be examined pro interesse suo, and by taking other steps in connection with that application. The Court held that the Republic had thereby waived its immunity from the legal processes of the Court.

Issues: 1. Whether the Republic of Indonesia had submitted to the jurisdiction of the Court by making the application for leave to be examined pro interesse suo and obtaining an order thereon. 2. Whether the Republic of Indonesia could claim immunity from the legal processes of the Court without proving by proper evidence that it had a prima facie title to the 51 Reels of Cable.

Ratio Decidendi: The Court held that the Republic of Indonesia had waived its immunity by submitting to the jurisdiction of the Court. The Court reasoned that the Republic had applied for leave to be examined pro interesse suo, and had taken other steps in connection with that application, thereby submitting to the Court's jurisdiction. The Court further held that the Republic could not claim immunity without proving by proper evidence that it had a prima facie title to the 51 Reels of Cable.

Final Decision: The Court dismissed the Republic of Indonesia's application to remove the 51 reels of cable from India.

BOSE, J.

( 1 ) THIS is an application by the Republic of Indonesia for an order granting the petitioner leave to take actual possession of and remove 51 reels of cable notwithstanding the appointment of a Receiver by this Court in respect thereof, (in the present suit in which this application is made) and in the alternative for an order vacating the order for the appointment of a Receiver and directing the Receiver to release the said goods, and to give delivery thereof, to the petitioner. The petitioner also seeks to be added as a defendant in the suit for the limited purpose of making and being heard on the present application.

( 2 ) THE case of the petitioner is that it is a sovereign independent State and the Indonesian Purchasing Commission which is a department of the Defence Ministry of the Government of Indonesia purchased 51 reels of cable from Alfred Lohse, Exporters, Hamburg, for the price of 94058 Deutsche Marks which is equivalent to Rs. 1,07,444/- approximately and shipped the said goods on board the vessel S. S. "shiva Ranjita" for carriage from Hamburg to Djakarta under a Bill of Lading dated 19-12-1952. The freight in respect of the goods was prepaid before the issue of the said Bill of Lading, a copy of which is annexed to the petition and marked A. The said goods were consigned in favour of staff A of the headquarters of the Air Force to the Republic of Indonesia, which is a department of the Ministry of Defence of the said Republic. The petitioner claims to be the endorsee and/or the consignee of the said Bill of Lading and in any event the owner of the goods covered by the said Bill of Lading. The Petitioner further claims to be in constructive possession of the goods and as being entitled to immediate actual possession of the said goods. It appears that the vessel Shiva Ranjita altered its course and at the direction of the Indian National Steamship Company Ltd. who are the owners of the said vessel, she proceeded to Calcutta and there unloaded the entire cargo which was on board the vessel. The Indian National Steamship Co. thereafter on 8-9-1953 tiled a suit in this Court against Maux Faulbaum the charterer of the said vessel being suit No. 3248 of 1953 (in which this application is being made) claiming certain sums alleged to be due to it on account of the arrears of hire of the said vessel and claiming a lien on all goods on board the said vessel including goods which are the subject-matter of this application. On 25-9-1953, Mr. S. Shiha, an advocate of this High Court, was appointed Receiver of the entire cargo of the said vessel by an order of this Court made in the said suit. On 3-2-1954 the petitioner claiming a title paramount to that of the Receiver made an application to this Court in the said Suit No. 3248 of 1953 for leave to be examined pro interesse suo, and for an order directing an enquiry to be made as to whether the petitioner had any and what interest in the said 51 reels of cable and also for direction upon the Receiver to release and give delivery of the said reels of cable. In paragraph 15 of the said petition it was asserted that the petitioner is a sovereign State recognised by the Government of the Union of India, and this fact was admitted in the affidavit in opposition filed on behalf of the Indian National Steamship Co. , Ltd. On 1-4-1954 this Court acceded to that application of the petitioner and directed an enquiry into the interest of the petitioner in the said 51 reels of cable. The enquiry was directed to be held on 25-5-1954. The Court also gave directions for discovery of documents by letter. It appears that pursuant to the said order the solicitor for the petitioner on 3-5-1954 disclosed certain documents and on 14-6-1954 offered inspection thereof to the solicitors for the plaintiff. Further, on 6-7-1954 an application was made by the petitioner for issue of letters of requests for examination of witnesses in Holland, to prove the title of the petitioner to the sa






























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