Cargo Ship Arrested At India’s Paradip Port After Failing To Clear ₹42.7 Lakh Dues

A foreign cargo ship was detained at Paradip Port after the Orissa High Court ordered its arrest for failing to clear maintenance dues amounting to ₹42.72 lakh. The arrest took place late Tuesday night and was carried out on Wednesday at the Paradip International Cargo Terminal (PICT) berth.

The order came from Justice V. Narasingh of the High Court’s admiralty jurisdiction, based on a petition filed by an international shipping services agency. The petition alleged that the vessel operator had defaulted on payments for services rendered and sought urgent intervention as the ship was preparing to depart.

The Kujang court executed the order with help from an executive magistrate and police officials. Additional SP Smruti Ranjan Kar confirmed that the ship was detained in the harbour area and said security arrangements at the port had been tightened following the action.

The agency is seeking $48,399.82 (₹42,72,420) plus 18% annual interest. The High Court, satisfied with the maintainability of the claim, ruled that not detaining the vessel would undermine the case. The next court hearing is set for October 10.

The detained bulk carrier is a 15-year-old vessel flying the Malta flag, measuring 189.9 metres long and 32.26 metres wide. It had berthed at PICT to load iron plates when it was detained.

The arrest was made under the Admiralty (Jurisdiction and Settlement of Maritime Claims) Act, 2017, which allows Indian High Courts to handle maritime disputes, following international norms.

Over the past year, more than four vessels have been detained over similar commercial disputes at the Paradip Port. While three were released after settlements were reached through court mediation, the release of the detained vessel will depend on the outcome of the upcoming hearing.

The shipping services agency behind the petition, established in Cyprus in 2014, operates at major ports across the world, including India.

Reference: TOI

Source: Maritime Shipping News