The failure of the port authority to act timely in recovering dues led to a constructive waiver of charges, reinforcing equitable considerations in maritime claims.

JUDGMENT :

R.N. MANJULA, J.

The suit has been filed for recovery of a sum of Rs.1,08,84,931/- (Rupees One Crore Eight Lakhs, Eighty Four Thousand Nine Hundred and Thirty One only) from the defendant together with interest at the rate of 15% per annum from the date of plaint till the date of realisation and costs of the suit.

2. The facts pleaded in the plaint filed by the plaintiff in brief:

The vessel "M.V.Island Pride" arrived on 01.11.1999 and berthed at Coast Guard Berth on "Cold Move" under the Steamer Agency of M/s. Hauers Lines Pvt. Ltd. On 10.04.2000 M/s. Hauers Lines Pvt. Ltd. sold the vessel "M.V.Island Pride" to the defendant. On 03.12.1999, M/s. Hauers Lines Pvt. Ltd. approached the Chairman, Chennai Port Trust to waive the berth hire charges upto 10.04.2000 i.e. upto the date of disposal of the vessel to the defendant on the ground that the vessel has been regularly calling at Chennai Port and has provided a life line service to the Andaman and Nicobar Islands, over the years and was carrying defence cargo to Port Blair in Andaman. At the end of October, 1999, the main engine was broken down near Chennai Port. On the frequent request of M/s. Hauers Lines Pvt. Ltd., the plaintiff Board had held a detailed discussion and resolved in Board Resolution No.88 dated 31.08.2000 to allow the waiver of 80% of Port Charges on the Vessel "M.V.Island Pride" from 01.11.1999 to 31.03.2000 and to collect 100% charges from 01.04.2000 onwards. In accordance with the Board Resolution No.88 dated 31.08.2000 necessary marine services bill was made up to 10.04.2000 on M/s. Hauers Lines Pvt. Ltd. and agents have paid their dues.

2.1. The defendant who has purchased the vessel had appointed M/S.AKP Shipping and Chartering Pvt. Ltd., as their Steamer Agent to clear the above vessel after paying Port Related Charges. The Steamer Agent of the defendant has not paid even pre-payment of Port charges as per the practice in vogue. In the mean time, the defendant vide letter dated 30.09.2000 requested the plaintiff, Port Trust to waive the charges, as how it was given to the previous owners. A suitable reply has been given by the plaintiff through his counsel on 30.01.2001.

2.2. The Marine Services Bill made towards the vessel related charges from 10.04.2000 has been sent to M/s.AKP Shipping & Chartering Pvt. Ltd., and the same has been returned as the above agent was not available in the given address. So, the defendant who is the owner of the vessel has to indicate the present address of his agent, but there was no reply. Since neither the Agent nor the owner of the vessel has come forward to settle the dues of the Port Trust, the plaintiff had no other alternate except to invoke Section 64 of the Major Port Trust's Act 1963 and Regulation 4(5) of Madras Port Trust (Distraint / Arrest & Sale of Vessel) Regulations to sell the vessel and recover the charges from the sale proceeds of the vessel. The proposal has been approved by the Chennai Port Trust Board vide its Resolution No:11 dated 21.06.2002. The resolution was also communicated to the defendant on 31.01.2003 in writing and that has been acknowledged. The action for disposal of the vessel through tender was also undertaken by the Controller of Stores functioning under the plaintiff.

2.3. There was a tender floated and at the time of finalizing / getting competent sanction for accepting the highest bid for vessel "M.V. Island Pride”, the defendant filed a writ petition in W.P.No.14568 of 2003 challenging the letter of the plaintiff dated 31.01.2003 and obtained a stay subject to a condition o