2000 Supreme(Guj) 792
Gujarat High Court
Judgename :K.M.MEHTA
SHIPBUILDING AND GENERAL REPAIRS COMPANY VESTALCO LIMITED - Appellant
Versus
M.V.RIVER EX-MV SMART 1 EX-MV GLOBAL SKY EX-ALEKSANDR - Respondent
A.S.12 of 2000
Decided On : 09/26/2000
Headnote:
Letters Patent - Clause 32 - Suit Decree - Plaintiff is carrying on business of ship building and general repairs - It was stated in the plaint that the plaintiff carried out repairs - Defendant vessel at Piraeus during the period - For the said repairs the plaintiff raised an invoice in the sum of US dollars - AS defendants failed to make payment of the said amount and therefore the plaintiff was entitled to recover the said amount being the cost of repairs and overhaul - Plaintiff stated in or around that the defendant vessel arrived - At that time, the plaintiff through their power of attorney moved the President of Court of first instance for preventive attachment/arrest of the vessel M. V. Global Sky flying the flag of and Grenadines and lying in the port and harbor of Suez for security in being the cost of repairs - Held, Considering the rival submissions of plaintiff and the defendant at length and the authorities which have been cited by both the sides, in my view, the suit filed by the plaintiff regarding repairs is prima facie time barred suit - As regards, plaintiffs claim which is based on foreign judgement, the defendant has made submissions at length and therefore also the plaintiff has failed to make out a prima facie case in this behalf - Defendant has also been able to prove that the defendant has purchased the vessel without any incumbrance and therefore the ship cannot be arrested when the defendant has purchased the ship without any liability - Therefore, the defendant has been able to make out a prima facie case in this behalf as regards balance of convenience is concerned, if the ship is arrested during the pendency of the suit, the defendant will suffer irreparable loss, injuries and hardship which cannot be compensated in terms of money - After pronouncement of the judgement learned advocate for the plaintiff has prayed that this order may be stayed and arrest order of the ship may be continued for some time - (Judgement not mentioned). (Para 9)
( 1 ) SHIP Building and General Repairs Co. , Vestalco Ltd.-plaintiff having its office and works at Piraeus in Greece, has filed this Admiralty Suit under clause 32 of the Letters Patent for obtaining decree in the sum of US Dollar 6,84,653 equivalent to Rs. 2,94,39,000/- in favour of the plaintiff and against the defendant and also arrest of MV RIVER EX-MV SMART 1 EX MV GLOBAL SKY EX-ALEKSANDR defendants vessel together with her engines, machineries, boats and others for the due satisfaction of the decree passed under the suit. The plaintiff has also filed Miscellaneous Civil Application No. 35 of 2000 for interim orders. In support of the contentions, the plaintiff has also filed written submissions. FACTS: 1. The plaintiff is carrying on business of ship building and general repairs. It was stated in the plaint that the plaintiff carried out repairs of MV River ex-MV Smart ex-MV Global Sky ex-Aleksandr Ognivtsev Ex-Athina K.- defendant vessel at Piraeus during the period 28. 5. 1994 to 5. 7. 1994. For the said repairs the plaintiff raised an invoice in the sum of US $ 6,17,750.
( 2 ) AS defendants failed to make payment of the said amount and therefore the plaintiff was entitled to recover the said amount being the cost of repairs and overhaul. The plaintiff stated in or around May, 1998 that the defendant vessel arrived at Port of Suez, Egypt. At that time, the plaintiff through their power of attorney moved the President of Suez Court of first instance for preventive attachment/arrest of the vessel M. V. Global Sky flying the flag of St. Vincent and Grenadines and lying in the port and harbour of Suez for security in the sum of US $ 6,17,750 being the cost of repairs. The President of the Court of first instance imposed a preventive attachment / arrest on the defendant vessel on 24. 5. 1998 vide Preventive Attachment Order No. 45 for security in the sum of US $ 6,17,750 for the maritime debt of the plaintiff. The said order validly served on 26. 5. 2000.
( 3 ) THEREAFTER the plaintiff on 1. 6. 1998 within eight days of the attachment / arrest being served on the captain filed an action being law Suit No. 36 of 1998 in the court of first instance for recovery of their claim of US $ 6,17,750 (Six lakh seventeen thousand seven hundred and fifty) with interest. The plaintiff sought confirmation of the order of attachment / arrest passed earlier and for sale of the vessel by public auction fixing the conditions for such sale in view of the aforesaid order dated 24. 5. 1998 continued to operate pursuant to the filing of the suit. On 10. 5. 2000 the competent judicial court at Suez passed judgement in law Suit No. 36 of 1998 holding that the preventive attachment / arrest ordered on 24. 5. 1998 being No. 45 of 1998 on the Vessel MV Global Sky was correct and further holding that the first and second defendant to pay to the US $ 6,17,750 plus legal interest from the date of the suit, i. e. 1. 6. 1998.
( 4 ) IT was further stated that during the pendency of the aforesaid proceedings on 22. 12. 1999 the Red Sea Port Authorities have administratively sold the vessel in the sum of LE 1,04,000 (One lakh four thousand ). It was stated that the defendant applied to the court for permission to carry out sea trial of the defendant vessel. The said permission was granted by the court and during that period defendant vessel escaped from the Egyptian territorial sea waters on 1. 4. 2000.
( 5 ) IT was stated that in the plaint and ultimately at the time of hearing that the defendant vessel has arrived at the port of Alang ship breaking yard (Dist. Bhavnagar) and is lying in the territorial waters of India near the Alang Ship breaking yard. Therefore, the plaintiff filed the present suit for recovery of US$ 684653 equal to Rs. 2,94,39,000. 00 as well as the arrest of the ship. When the matter came up for hearing before this court on 5. 7. 2000, this court passed an order of arrest of the ship. Thereafter, the defendants have ap