YES BANK LIMITED Vs. NAND ANANYA

JUDGEMENT

(1.) Learned Counsel Mr. Prathamesh Kamat along with Learned Advocate Mr. Shashvata Shukla mentioned this matter on 31.5.2021 for urgent circulation. Permission for urgent circulation of the matter was granted for today. Accordingly, the suit is taken up for hearing for urgent interim orders.

(2.) The Ld. Counsel for the Plaintiff submitted that in February 2018, the Plaintiff had sanctioned two Term Loans aggregating to Rs. 160 crores to one Simcement Private Limited for inter alia purchase of 8 Mini-bulk carriers, including Defendant Nos. 1 and 2 vessels. Simcement Private Limited continues to be the registered owner of Defendant Nos. 1 and 2 vessels from July 2018. As security to the aforesaid Term Loans sanctioned by the Plaintiff to Simcement Private Limited, Defendant Nos. 1 and 2 vessels were mortgaged in favour of the Plaintiff. To that effect, mortgage certificates dated 12.7.2018 were issued by the Mercantile Marine Department and letters dated 13.8.2018 and 30.8.2018 were issued by the Mercantile Marine Department, noting the mortgages on Defendant Nos. 1 and 2 vessels. The said Simcement Private Limited defaulted on the loan disbursed to them and hence the Plaintiff was constrained to declare the account as NPA and also recalled the loan in December 2018. Subsequently, despite repeated reminders, Simcement Private Limted failed to pay the outstanding sums. The outstanding principal sum as in March 2020, stood at Rs. 1,28,03,91,606.70. The Plaintiff, therefore, has a maritime claim under Section 4(1)(c) of the Admiralty (Jurisdiction and Settlement of Maritime Claims)Act 2017, against Defendant Nos. 1 and 2 vessels in the form of registered mortgages on the said vessels, which the Plaintiff is entitled to enforce on account of the failure of their registered owner, i.e. Simcement Private Limited to pay its outstanding dues to the Plaintiff. The Plaintiff has therefore filed the present Suit inter alia seeking an action in rem by arrest, sequestration, condemnation and sale of Defendant Nos. 1 and 2 vessels for the recovery of the Plaintiff's total claim for a sum of Rs. 1,28,03,91,606.70 along with interest at the rate of 12.75% from the date the sum became due, i.e. 30th October 2018 till payment / realization plus a default interest at the rate of 2%p.a. from the date the sum became due, i.e. 30th October 2018 till payment and/or realisation plus legal costs of Rs. 10,00,000, as per the Particulars of Claim.

(3.) Upon hearing Mr. Prathamesh Kamat, Learned Counsel along with Mr. Shashvata Shukla, Ld. Advocate for the Plaintiff and upon reading the Plaint herein declared at Mumbai on 26.5.2021, filed by the Advocate for the Plaintiff herein and the affidavit of Mr. Parthiv Trivedi, Constituted Attorney of the Plaintiff above named upon the Plaintiff giving an undertaking in writing to the Registrar of this Court to pay such sums by way of damages as this Court may award as compensation in the event of the defendants sustaining prejudice by this order, I do order that the Registrar of this Court do issue a warrant for the arrest of Defendant Nos. 1 and 2 vessels, NAND ANANYA (IMO No. 9082063) and NAND HAZIRA (IMO No. 8845456) along with their hull, engines, gears, tackles, bunkers, machinery, apparel, plant, furnitures, equipments and all appurtenances, at present lying at the Port of Hazira and that the Warrant of Arrest be executed at any time of the day or night or on Sundays or holidays and I do further order that the Port Officer and the Customs Authorities at Hazira do effect the arrest, seizure or detention of Defendant Nos. 1 and 2 vessels, NAND ANANYA (IMO No. 9082063) and NAND HAZIRA (IMO No. 8845456) at the Port of Hazira or such other place wherever she may be within the territorial waters of India and I do further order that in the event of the defendant and/ or those interested in her depositing in this Court a sum of Rs. 1,28,03,91,606.70 along with interest at the rate of 12.75% from the date the sum became due, i.e. 30th October 2018 till payment / realization plus a default interest at the rate of 2%p.a. from the date the sum became due, i.e. 30th October 2018 till payment and/or realisation plus legal costs of Rs. 10,00,000 as per Particulars of Claim, the said Warrant(s) of Arrest shall not be executed against Defendant Nos. 1 and 2 vessels NAND ANANYA (IMO No. 9082063) and NAND HAZIRA (IMO No. 8845456).