Paradip Port Authorities Detain Chinese Cargo Ship Over Monetary Dispute

The Paradip Port Authority (PPA) has detained the Chinese cargo vessel ZHE HAI 505 in response to an order from the Odisha High Court.

The detention, carried out on July 31, was an outcome of a financial disagreement between the ship’s owner and a trading company over the delivery of low-sulfur marine gas oil.

The dispute started when Sandi Trading Ltd, who delivered the low-sulfur marine gas oil, alleged that the vessel’s owner did not pay ₹99.81 lakh.

The company filed an admiralty complaint in the Orissa High Court, seeking a decree under Section 4 of the Admiralty (Jurisdiction and Settlement of Maritime Claims) Act 2017.

The court concluded that the claim was valid under admiralty jurisdiction and found enough grounds to detain the vessel.

Admiralty Judge V Narasingh issued the arrest order on July 29, 2024, appointing Civil Judge (Senior Division) Kujang as the marshal to execute the warrant within 24 hours.

The PPA, local police, and other essential officials were instructed to proceed with the arrest.

The detention took place in the presence of local police, with Babita Dehury, IIC of Marine Police Station, confirming that the vessel was held on Tuesday.

The ship will remain in Paradip Port awaiting further court orders.

Admiralty law allows a ship to be detained to enforce maritime claims of its construction, management, operation, ownership, possession, or trading.

Reference: The Hindu, New Indian Express

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