Kerala Files ₹9,531 Crore Claim Over MSC ELSA 3 Sinking, Court Orders Ship Arrest
The state is claiming ₹8,626.12 crore for environmental and coastal damage, ₹378.48 crore for damage-control measures, and ₹526.51 crore for the economic hit to fishworkers (Courtesy: AP)

Kerala Seeks ₹9,531 Crore in Damages Over MSC ELSA 3 Sinking

What's the story

The Kerala government has filed a ₹9,531 crore compensation suit in the high court following the sinking of the MSC ELSA 3 vessel off the coast of Kochi on May 25. The state is holding the Mediterranean Shipping Company (MSC) accountable for environmental damage, cleanup costs, and losses suffered by the fishing community.

The case was heard on Monday. The court granted a conditional arrest of the MSC Akiteta 2, a vessel belonging to what the government says is a sister company of MSC. As of now, the ship remains docked at Vizhinjam International Seaport near Thiruvananthapuram.

According to the state’s filing, the total claim includes:

  • ₹8,626.12 crore for damage to the marine environment and coastline
  • ₹378.48 crore for response and mitigation measures
  • ₹526.51 crore for economic losses incurred by fishworkers

The amount was calculated based on guidelines set by the Central Pollution Control Board.

Justice M.A. Abdul Hakhim, who reviewed the case, concluded that the government had presented sufficient grounds to invoke admiralty jurisdiction and detain the ship. The court’s order prevents MSC Akiteta 2 from leaving the port unless MSC furnishes the ₹9,531 crore as security for the claim.

“I am satisfied that an arguable maritime claim is made out,” the judge noted in his ruling, which referenced Sections 4 and 5 of the Admiralty (Jurisdiction and Settlement of Maritime Claims) Act, 2017.

What Happened

Early on May 25, the MSC ELSA 3 sank 14.5 nautical miles off Kochi while on its way from Vizhinjam. The vessel was carrying over 640 containers. All 24 crew members were rescued by the Indian Navy and Coast Guard.

Concerns grew over the cargo after the incident. Twelve containers were confirmed to hold calcium carbide—a chemical that turns dangerous on contact with water. In the days that followed, plastic nurdles began surfacing on beaches in Thiruvananthapuram and Kollam.

Also Read: Kerala Coast Pollution Deepens After Ship Accidents, Fisherfolk Demand Accountability

There’s growing concern that sea life could swallow the nurdles, mistaking them for food — a scenario that could bring plastic closer to human dinner plates. Fuel leakage from the sunken vessel added to the environmental concerns.

Legal and Political Questions

The state was initially criticized for hesitating to register a criminal case against MSC, possibly due to the company’s ties with the Vizhinjam Port project, which has state involvement. But that changed on June 11, when the Fort Kochi Coastal Police registered an FIR against the ship’s owner, its captain, and crew members.

The charges include rash navigation and negligence involving hazardous substances.

For now, the spotlight is on whether MSC will comply with the court order. The arrest of the MSC Akiteta 2 puts pressure on the company to respond.

The key issue now is preparedness. As more vessels pass through Indian waters, both Kerala and the country at large must reckon with the rising risk—and the demand for accountability.

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