The Madras High Court has paved the way for immediate disbursal of ₹141 crore to fishermen who lost their livelihood due to the oil spill caused by the collision of two vessels at the Kamarajar Port in Ennore here on January 28, 2017. The dispute over the remaining ₹99 crore claimed by the Department of Fisheries shall be determined later since the insurers of the two vessels had agreed to give a bank guarantee for the amount.
Disposing of a writ appeal preferred by the Indian Ocean Shipping, which owns MT Dawn Kanchipuram, one of the two vessels involved in the collision, a Division Bench of Justices M. Venugopal and S. Vaidyanathan recorded a submission made on behalf of the State government that it was willing to accept initial payment of ₹141 crore without prejudice to its total claim for ₹240 crore in order to compensate as many as 1.15 lakh fishermen.
As per a compromise reached between the parties, the insurers of the two vessels would also furnish a bank guarantee for the disputed quantum of ₹ 99 crore after deducting ₹15 crore, which had already been paid.
Permission for repairs
The bank guarantee would remain in force until the dispute regarding the quantum of compensation was resolved. On completion of the formalities, MT Dawn Kanchipuram would be permitted to sail to Visakhaptnam for repairs.
The other vessel involved in the collision, BW Maple, had sailed out last year pursuant to another Division Bench’s refusal to interfere with the ‘no objection’ certificate issued by the Director General of Shipping after furnishing of sufficient bank guarantee. Then, the Ennore police told the court that they did not require the detention of the vessel since investigation into a case registered in connection with the collision was in the final stage.
