ECONOMYNEXT – Sri Lanka has filed a damages claim against Express Pearl marine disaster Singapore but will also fight the case in the UK after insurers and owners went to Admiralty Courts seeking to limit compensation to 19.8 sterling pounds, Justice Minister Wijedasa Rajapaksa said.
Sri Lanka has filed a case in Singapore on April 25, seeking damages from which was to be heard in June but has been brought forward to this week. Sri Lanka’s lawyers will seek more time, Rajapsaksa said.
According to the expert committee appointed has estimated the total damage to 6.4 billion US dollars.
India has sought 495.3 million Indian rupees from Sri Lanka as the cost for firefighting operations, which was 1941.5 million in Sri Lankan rupees.
Sri Lanka has hired Dentons Rodyk and Davidson LLP legal firm in Singapre and Sparke Helmore of Australia to argue its case.
Vessel owners and Insures have gone to Admiralty Court in UK seeking to cap damages to the ship and environment at 19.2 sterling pounds, Rajapaksa said.
Kings Counsel Peter MacDonald from DAC Beachcroft firm has been hired to represent Sri Lanka in seeking a removal of the cap on damages, he said.
Meanwhile, for the MT New Diamond, another shipping accident happened in September 202, Sri Lanka has sought 22.1 million US dollar in damages for the marine environment, 75.64 million USD for the National Aquatic Resources Research and Development Agency and 273.014 million US dollars for damage caused for the fishermen, Rajapasksa told parliament.
The case have been filed in the Colombo Magistrate court, however, Rajapaksa said summons have been issued to the owner and the Insurer of the New Diamond, however no one representing the ship showed up so far. (Colombo/May09/2023 – corrected)
This is the world’s largest maritime disaster impacting the environment severely. Given its complexity, legal and otherwise glad that the GOSL decided to file the case in Singapore. Sad that many harp on taking legal action in Sri Lanka, which lacks expertise, competence, efficacy and regrettably credibility in reaching a mutually acceptable resolution. Singapore in such sense is most suited, it has everything stated above and cost efficiency too. The impact is enormous, so are the claims, and the Owners as well as P&O Clubs (Insurers) will fight hard to minimise the claim. So, in the context, we should stop expressing various views as to how much we should claim, and where we should file the case, but agree to disagree on an amicable resolution. Corruption allegations must be investigated at depth and put a stop, by all means – no point merely accusing this or that person under Parliamentary privileges.