VIDESH SANCHAR NIGAM LTD. versus M. V. KAPITAN KUD AND ORS.

VIDESH SANCHAR NIGAM LTD. versus M. V. KAPITAN KUD AND ORS.

Given strong evidence that the respondent vessel was within the vicinity of the damaged international cable, and the action is triable with a prima facie case, a foreign vessel may be released only upon strict conditions (deposit of Rs. 10 crores, undertakings from Ukrainian government covering balance and costs), otherwise ship remains arrested within Indian territorial waters.

Parties
Appellant: Videsh Sanchar Nigam Ltd.; Respondent: M.V. Kapitan Kud
Jurisdiction
India
Judgment Date
10 November 1995
Procedural Posture
Civil Appeal / Supreme Court on Appeal From Bombay High Court Division Bench
Outcome
Appeal allowed; notice of motion made absolute, subject to specified conditions.
Legal Topics
Ship Arrest, Damage Claims, Admiralty Jurisdiction, Release of Vessel

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Parties

Videsh Sanchar Nigam Ltd.

Appellant

M.V. Kapitan Kud

Respondent

Procedural Posture

Civil Appeal / Supreme Court on Appeal From Bombay High Court Division Bench

  1. 1 Whether the respondent vessel was probably involved in causing the cable damage
  2. 2 Whether a strong prima facie triable case exists to retain admiralty jurisdiction
  3. 3 Whether release of a foreign vessel can be conditional upon deposit and undertakings

Ratio Decidendi

Given strong evidence that the respondent vessel was within the vicinity of the damaged international cable, and the action is triable with a prima facie case, a foreign vessel may be released only upon strict conditions (deposit of Rs. 10 crores, undertakings from Ukrainian government covering balance and costs), otherwise ship remains arrested within Indian territorial waters.

Court Disposition

Appeal allowed; notice of motion made absolute, subject to specified conditions.

Orders

  • Respondent shall deposit Rs. 10 crores.
  • Ukrainian Government to give undertaking through its accredited authority (Ambassador in India) to comply with decree without reference to execution, covering balance Rs. 18 crores plus costs and other expenses at Rs. 25 crores.