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2026 DIGILAW 182 (GUJ)

Horizon Express Shipping Co. v. MV Elvita R. (IMO 9395264)

2026-03-13

MAUNA M.BHATT

body2026
ORDER : MAUNA M. BHATT, J. 1. Learned Advocate Mr. Manav Mehta mentioned this matter for urgent circulation today and considering the urgency involved , the present matter is taken up for hearing today. 2. Heard Learned Advocate Mr. Manav Mehta assisted by Mr. Darshankumar Kabra for the Plaintiff. 3. Ld. Advocate for the Plaintiff has placed reliance on the averments made in the plaint and submitted that Plaintiff and one Elvita Ride Shipping INC (“Elvita”) negotiated terms for transfer of 50% shares in the Defendant Vessel from Elvita to the Plaintiff and the Defendant Vessel at the time was 100% owned by Elvita and was valued at USD 16,250,000. Ld. Advocate for the Plaintiff further submitted that Plaintiff made a payment of USD 8,125,000 to Elvita to acquire 50% ownership interest in the Defendant Vessel and the Plaintiff entered into a Share Transfer Agreement with Elvita for purchase of 50% interest/shares in the Defendant Vessel on 20 th May 2024. Ld. Advocate further submitted that the said Share Transfer Agreement records that the Plaintiff has already made payment towards their 50% interest in the Defendant Vessel and Elvita admitted & acknowledged that payment towards the transferred shares (50%) has been fully settled, satisfied and discharged by the Plaintiff and confirmed that no payment or financial obligation was due in relation to sale and transfer of the transferred shares. 4. Ld. Advocate further submitted that pursuant to the Share Transfer Agreement, Elvita on 28 th May 2024 issued a Bill of Sale for transfer of 50% interest in the Defendant Vessel to the Plaintiff for a consideration of USD 8,125,000. Ld. Advocate further submitted that Plaintiff purchased 50% shares in the Defendant Vessel which was free and clear from any encumbrances, liens, or claims and the Plaintiff and Elvita were to share the costs and expenses relating to the operation of the vessel in proportion of their ownership interest i.e. 50% by Elvita and 50% by the Plaintiff. 5. Ld. Advocate further submitted that Elvita is not giving the Plaintiff access to the Defendant Vessel and due to their mismanagement, the Plaintiff never had any information regarding vessel’s earnings. Ld. 5. Ld. Advocate further submitted that Elvita is not giving the Plaintiff access to the Defendant Vessel and due to their mismanagement, the Plaintiff never had any information regarding vessel’s earnings. Ld. Advocate further submitted that the Plaintiff issued notice to Elvita stating that Elvita has no legal or financial right to dispose of or exercise any form of control over the vessels and that Elvita was obligated to return the Defendant Vessel. Ld. Advocate further submitted that Plaintiff reminded Elvita that according to the mutual agreement between the parties, the management of the vessels must be conducted jointly by both partners and Plaintiff also put Elvita to notice that they have undertaken legal and financial actions regarding the vessels without Plaintiff’s knowledge or consent, which constitutes a breach of trust. Ld. Advocate further submitted that the Plaintiff put Elvita to notice and reserved their right to pursue legal and criminal action and the Plaintiff lacked access to the Defendant Vessel and put Elvita to notice that they shall be responsible for all operating costs, Plaintiff’s rightful share of the income, and any loss arising from any mismanagement. 6. Ld. Advocate further submitted that Plaintiff has learnt that Elvita trying to employ the vessel and not disclose earnings of the Defendant Vessel to the Plaintiff and the Plaintiff is owner of the Defendant Vessel and in breach of the Share Transfer Agreement, the Plaintiff has not been informed of the vessel’s earnings and employment. Ld. Advocate further submitted that the Plaintiff as co-owner of the Defendant Vessel is entitled to know the earnings and employments of the Defendant Vessel, however, Elvita has deliberately failed to do so. 7. Ld. Advocate for the Plaintiff further submitted that Plaintiff is entitled to possession of the Defendant Vessel and in any event, in these circumstances, the Plaintiff is entitled to payment of the purchase consideration of USD 8,125,000 paid by them to acquire 50% interest and share in the Defendant Vessel along with interest, and legal cost of USD 20,000 aggregating to USD 8,145,000 as per particulars of claim and for security of the said claim. Ld. Advocate further submitted that the Plaintiff’s claim is a recognised maritime claim under Section 4 (1)(a) and (b) of the Admiralty Act, 2017 and the Plaintiff is entitled to arrest the Defendant Vessel under Section 5(1) (d) of the Admiralty Act, 2017. 8. Ld. Advocate further submitted that the Plaintiff’s claim is a recognised maritime claim under Section 4 (1)(a) and (b) of the Admiralty Act, 2017 and the Plaintiff is entitled to arrest the Defendant Vessel under Section 5(1) (d) of the Admiralty Act, 2017. 8. Heard Learned Advocate Mr. Manav Mehta assisted by Mr. Darshankumar Kabra for the Plaintiff and also considered the averments made in the plaint herein declared at Ahmedabad on 09.05.2025 filed by the advocate for the Plaintiff herein and the affidavit of Mr. Ashok Prajapati, the Authorized Representative of the Plaintiff above named affirmed on 09.05.2025 in support of the arrest. On a reading of the plaint and annexures thereto, prima facie it appears that the Plaintiff’s claim in the Plaint is in the nature of a maritime claim. 9. Upon hearing Learned Advocate Mr. Manav Mehta and upon the Plaintiff giving an undertaking in writing to pay such sums by way of damages as this Court may award as compensation in the event of the Defendant Vessel sustaining any prejudice by this order, I do order that the Registrar of this Court do issue a warrant for the arrest of the Defendant vessel MV ELVITA R (IMO : 9395264) along with her hull, engines, gears, tackles, bunkers, machinery, apparel, plant, furniture, equipment and all appurtenances, at present lying at Port and harbour of Bedi Port, Jamnagar within the Indian territorial waters 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 Bedi Port do effect the arrest, seizure or detention of the Defendant Vessel at present lying at Bedi Port or within the Indian territorial waters 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 Defendants and / or those interested in her depositing in this Court for securing and / or satisfying the Plaintiff’s claim of US Dollars 8,145,000 and further interest at the rate of 18% per annum on principal claim from suit date till payment and /or realization, the said Warrant of Arrest would not be executed against the Defendant Vessel at present lying at Bedi Port, within the Indian territorial waters. 10. 10. The Port Officer and the Customs Authorities at Alang Port, Bhavnagar are directed to arrest the Defendant Vessel i.e. MV ELVITA R (IMO : 9395264) at present lying at Bedi Port, within the Indian territorial waters and to keep the Defendant Vessel under arrest until further orders of this Court. It is further ordered that the Port Officer and the Customs Officer at Bedi Port, Jamnagar shall also intimate about this order to the Master / Chief Engineer of the Defendant Vessel and effect the warrant of arrest for the Defendant Vessel through email. 11. The Registry is directed to send this order to Port and Customs at Bedi Port, Jamnagar at following addresses : a) INBED1@icegate.gov.in ; b) raj.chandan67@gov.in ; c) mahesh.irs10@gov.in ; d) customokha@gmail.com ; e) chsikka2012@yahoo.com ; f) cusdiv-jmr@nic.in ; g) customsporbandar@yahoo.com ; h) pojam.gmb@gmail.com ; i) sikkavtms@gmail.com ; j) rozivtms@gmail.com ; k) chairman-gmb@gujarat.gov.in ; l) vc-gmb@gujarat.gov.in ; m) shankkhesh.m@gov.in ; n) ccoahm-guj@nic.in ; o) ajay.kumar1964@gov.in ; p) cusjam@gmail.com ; q) ch-jamnagar@gov.in ; r) pogmb-bedi-jam@gujarat.gov.in ; s) jamnagarmmd@gmail.com ; t) mrcc-west@indiancoastguard.nic.in ; u) cgsvadinar@yahoo.co.in ; v) comdis1_ad1@sancharnet.in ; w) rhq-west@indiancoastguard.nic.in ; x) prodifencemumbai@gmail.com . 12. It is further directed that Authorities at Bedi Port, Jamnagar shall act on Email copy of the order and take the Defendant Vessel i.e. MV ELVITA R (IMO : 9395264) under arrest immediately. 13. Issue Notice to the Defendants returnable on 25.07.2025 . The Plaintiff is permitted to serve to the Defendant Vessel through her Owner or interested person through email. 14. It is also open for the Plaintiff to communicate the above order by Email to the Port and Customs authorities at Bedi Port, Jamnagar and the Authorities at Bedi Port are directed to act on Email message with an ordinary copy of this order. 15. It is made clear that it will be open for the Defendants to approach this Court even prior to the returnable date with adequate notice to the Plaintiff. Direct Service TODAY is permitted.