IN THE HIGH COURT OF MADRAS
K. Ravichandrabaabu, J.
Samson Maritime Limited – Appellant
Vs.
Hardy Exploration & Production (India) Inc. – Respondents
Application Nos. 8191 to 8193 of 2015
Decided On : 23-03-2016
Arbitration and Conciliation Act, 1996 - Sections 9 and 33 – Termination from service - Applications seeking for interim protection - Applicant is engaged in business of providing marine services and supply vessels to Indian Oil and Gas Offshore Sector - Respondent is an entity incorporated under laws of State of USA and it is a foreign company and it is wholly owned subsidiary of M/s. Hardy Oil and Gas PLC, UK - Applicant was owner of Vessel MV Jade an Indian flag vessel - Respondent chartered the said vessel from the applicant by entering into a Time Charter party hereinafter called as contract - Firm period of charter party was upto and respondent had option to extend period by two times one year each - Rate of Hire was amount per day and days of hire was payable in case of early termination - Charter Party was extended for two further periods – Held, No doubt in counter affidavit filed by respondent though it is stated that respondent has Offshore Oil and Gas assets appears to be within this country and sought to give some details of same value of those Offshore Oil and Gas assets with clear cut details and description has not been given especially when it is contended by applicant that they are not aware of details of such assets - Therefore it is necessary for respondents to furnish those details - Learned counsel appearing for respondent made an attempt to contend that application seeking for furnishing of details of assets cannot be construed as an interim measure or interim relief contemplated under section 9 of said Act - Court am not convinced to accept said contention for reason that those details are sought for by applicant only to seek for consequential or follow up relief in event of respondents failure to furnish securities - Applications are Allowe
K. Ravichandrabaabu, J.
1. (i) Application No. 8191 of 2015 is filed seeking for the following relief:
"To pass an order, directing the respondent herein, to disclose the details of fixed assets and bank accounts (along with the credit balance in the same) held by them in India?"
(ii) Application No. 8192 of 2015 is filed seeking for the following relief:
"To pass an order, directing the respondent herein to furnish security to a sum of Us$ 3,087,432.36/- as on 19.12.2015 as per award dated 25.08.2015 and additional award 25.10.2015, within such time as may be directed by this Hon'ble Court, failing which this Hon'ble Court may be pleased to issue an order of attachment of the bank account of the respondent in ING Vysya Bank, Mount Road, Branch, vide Current Account number CA A/c. No. 407011007792 (Amended as per order dated 29.02.2016 in Appln. No. 991 of 2016.
(iii) Application No. 8193 of 2015 is filed seeking for the following relief:
"To pass an order directing the respondent herein an order directing the respondent to furnish security to a sum of US$. 1,582,789.19/- as on 19.12.2015, within such time as may be directed by this Hon'ble Court, failing which this Hon'ble Court may be pleased to issue an order of attachment of the bank account of the respondent in ING Vysya Bank, Mount Road Branch, vide current Account number C. A/c No. 407011007792' (Amended as per order dated 29.02.2016 in Appln. No. 992 of 2016).
All these applications are filed under Section 9 of the Arbitration and Conciliation Act, 1996.
2. The case of the applicant is as follows:
(i) The applicant is engaged in the business of providing marine services and supply vessels to the Indian Oil and Gas Offshore Sector. The respondent is an entity incorporated under the laws of the State of Delaware, USA and it is a foreign company and it is the wholly owned subsidiary of M/s. Hardy Oil and Gas PLC, UK. The applicant was the owner of the Vessel MV Jade, an Indian flag vessel. The respondent chartered the said vessel from the applicant by entering into a Time Charter party dated 26.07.2007, hereinafter called as 'the contract'. The firm period of the charter party was upto 31.07.2010 and the respondent had the option to extend the period by two times, one year each. The rate of Hire was US$ 3,584.00 per day and 90 days of hire was payable, in case of early termination. The Charter Party was extended for two further periods. The respondent availed the applicant's Vessel acting on behalf of ONGC, HOEC and TPL and therefore, the respondent is liable to pay the charter hire for the Vessel. However, the respondent did not pay the charter higher and hence, dispute arose between the parties and as per the Arbitration clause contained in the Contract, the dispute was referred to the Arbitral Tribunal.
(ii) The Arbitral proceedings was conducted before the Honourable Arbitral Tribunal consisting of three Arbitrators. The respondent participated in the Arbitration and filed their statement of defence. On 25.02.2015, the Arbitral Tribunal passed the award. Certain inadvertent errors in the award passed were pointed out vide Application under Section 33 of the Arbitration and Conciliation Act, 1996, before the Tribunal and the same was allowed and necessary corrections were effected and the additional award dated 29.10.2015 was passed in furtherance to the award already made on 25.02.2015. Thus, it was held by the Tribunal that the respondent herein is liable to pay the applicant a sum of UDS 1,332,875.12/- within interest at the rate of 5% per annum from 19.03.2012 on USD 1,332,875.12/- until payment or recovery.
(iii) The applicant issued a notice of demand dated 17.11.2015 to the respondent to pay the award amount. Till date, no payment has been made. Hence, in order to protect the interest of the applicant and to secure the award amount, the applicant has filed the present applications seeking for interim protection.
(iv) The respondent is a foreign company and the applic
C.S.S. Corp Pvt. Ltd. v. Space Matrix Design Consultants Pvt. Ltd.
Essar Oil limited v. United India Insurance Company Limited
Kris Heavy Engineering v. PNHB LANCO KHEQ
National Aluminum Co. Ltd. v. Prasateel & Fabrications (P) Ltd
National Shipping Company of Saudi Arabia v. Sentrans Industries Limited
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.