Sinking of MSC Elsa 3: Kerala government files admiralty suit, seeks Rs 9,531 crore damages
The bench of Justice M A Abdul Hakhim, which considered the petition, ordered the interim arrest of MSC Akiteta II until July 10. The petition was brought before the court for consideration around 5.30pm as an urgent matter, given the likelihood that the vessel could depart from Vizhinjam Port by Tuesday morning.
This marks the first instance in the state's history where a claim seeking compensation of such a magnitude was filed.
No court fees were required to be deposited as the petitioner was the state govt. The state has also sought interest at the rate of 6% per annum from the date of the suit until the date of judgment, and 12% per annum thereafter until the realisation of the amount.
MSC Elsa 3, a Liberian-flagged vessel, capsized 13 nautical miles off the Thottappally spillway in Alappuzha, while en route from Vizhinjam Port to Kochi Port. The petition was filed by Seeram Sambasiva Rao, special secretary of the environment department, who was designated as the principal impact assessment officer by the department of disaster management.
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Citing scientific assessments and departmental reports, the petition quantified the maritime claims as follows: Rs 8,626.12 crore towards pollution damage; Rs 378.48 crore for environmental restoration and preventive measures; and Rs 526.51 crore for economic loss suffered by the local fishing community, aggregating to a total claim of Rs 9,531 crore.
The state further submitted that MSC Elsa 3 and MSC Akiteta II are "sister vessels" under the common commercial, financial, and technical control of the Mediterranean Shipping Company (MSC) of Geneva, despite their formal registration under separate shell companies.
The petition alleged that various vessels, such as MSC Manasa F, MSC Melissa, MSC Flora, etc., follow a similar pattern of registration, while sharing the same operational address and control, indicating a deliberate corporate structure intended to frustrate or evade maritime claim enforcement.
The govt contended that such structuring amounts to a fraudulent device to defeat genuine claims. It further asserted that even if MSC were to be treated as a demise charterer, the high court is empowered under Section 5 of the Admiralty (Jurisdiction and Settlement of Maritime Claims) Act, 2017, to arrest the vessel in question.
Advocate general K Gopalakrishna Kurup, assisted by govt pleader Parvathy Kottol, represented the State of Kerala.
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