SCANDIA SHIPBROKERING AND AGENCY LTD Vs. MMTC LIMITED

JUDGEMENT

(1.) Umpire Capt.D.K. Verma filed his Award dated 17th August, 1995, for making it a Rule of the Court. Notice of filing of the award was served upon both the parties. Defendant MMTC Limited filed its objections to the award. These objections have been controverted by the claimant/plaintiff with the prayer to make the award a Rule of the Court.

(2.) In brief, the facts of this case are that on 18th July, 1990, defendant MMTC Limited entered into a Charter Party Contract with the plaintiff as owners of the Motor Vessel Kopalnia Szombierki (hereinafter referred to as the 'Vessel') for carrying a cargo of Rock Sulphate in bulk from the Port of Aqaba (Jordan) to the Port of Haldia (Calcutta). Vessel arrived at Aqaba for loading of cargo on 22nd July, 1990 and loading of cargo was completed on 24th July, 1990. Vessel arrived at Sandheads on 9th August, 1990. The Vessel waited at Sandheads from 9th August, 1990 to 27th August, 1990, on account of congestion at Haldia Port and no berth being available. It tendered a Notice of Readiness. The Pilot was granted free pratique and the Vessel berthed at Haldia Port on 27th August, 1990. Since total time allowed for discharge expired, the Vessel was on demurrage since after 7th September, 1990. Discharge was completed on 23rd September, 1990. Plaintiff claimed demurrage for 385 hours aggregating to US$ 72,187.50; balance freight and demurrage claim of US$ 94,548.67 was sent by the defendant to the plaintiff on 26th December, 1990. Defendant claimed dispatch at the Port of loading and accepted demurrage at discharge Port only for 1 day 2 hours 27 minutes and made payment of US$ 26,827.06 towards balance freight.

(3.) Consequently, a dispute arose inter se the parties within the meaning of Arbitration Clause 46 in the Charter Party Contract. Plaintiff appointed Capt.S.M.Beri as its Arbitrator on 13th May, 1993. Respondent appointed Mr. Suraj Prakash as its Arbitrator on 20th August, 1993. On 9th November, 1994, both the Arbitrators appointed Capt.D.K.Verma as an Umpire. Arbitrators entered into reference and adjudicated upon the claim of the plaintiff. Arbitrator Capt.S.M.Beri made his award on 6th April, 1995, whereas Arbitrator Mr.Suraj Prakash made his award on 29th April, 1995. Since both the Arbitrators disagreed and made their separate Awards, Arbitrator S.M.Beri wrote a letter dated 26th April, 1995 to the Umpire, Capt.Verma, informing him that he should enter into reference as the Arbitrators had disagreed. As requested by the Umpire, defendant deposited Rs.20,000/- towards Umpire's fees and expenses on 14th June, 1995 and plaintiff deposited has shared fees and expenses on 23rd June, 1995. Umpire gave notices to the parties on 27th June, 1995, that he had received the deposited amount and had entered upon the reference as an Umpire on 23rd June, 1995 and would make his award within two months. Umpire published his award on 17th August, 1995 directing the defendant to pay the plaintiff a sum of US$ 62,971.51 together with interest @ 12% per annum from 25th April, 1991, on account of demurrage at the Port of discharge after allowing a set-off in the sum of US$ 8,718.25 towards dispatch at the Port of Haldia. Capt.D.K.Verma filed his award in the Court on 1st November, 1995 to make it a Rule of the Court.