Sinking of MSC Elsa-3: Kerala files admiralty suit seeking ₹9,531-crore compensation for marine pollution, economic loss to fishers

The Hindu

07-07-2025

The Kerala government on Monday moved an admiralty suit in the High Court against the vessel MSC Akiteta-2, which is owned by MSC Shipping Company, as security for a ₹9,531-crore compensation claim for marine and coastal pollution , the subsequent loss of livelihood caused to fishers, and the 'remediation' measures following the sinking of the company's container vessel MSC Elsa-3 off the Alappuzha coast on May 25.
Following this, the court ordered interim arrest of MSC Akiteta-2, currently berthed at the Vizhinjam port, till July 10. The admiralty suit was filed before the Bench of Justice M.A. Abdul Hakim by Advocate General K. Gopalakrishna Kurup who was assisted by government pleader Parvathy Kottol, citing the grave environmental, ecological, and economic damage due to the sinking of the vessel. The maritime compensation has been sought under the Admiralty (Jurisdiction and Settlement of Maritime Claims) Act, 2017.
Harmful nurdles
Among others, the vessel was carrying over 643 containers, which included hazardous cargo and plastic pellets known as 'nurdles'. The subsequent oil slick and floating cargo is a serious threat to not only coastal fisheries but to public health. As on June 30, a total of 61 containers washed ashore and about 60 tonnes of plastic nurdles were collected as part of the clean-up operations by over 600 government personnel and 300 volunteers.
Fisheries sector hit
The fisheries market has suffered a severe crash due to the fear of contamination, while six carcasses, including of dolphins and a whale that are suspected to have died due to exposure to microplastics and toxic substances from the vessel, were found washed ashore. This has in turn affected the coastal economy and public confidence, says the admiralty suit, while claiming ₹8,626.12 crore for the damage due to pollution, ₹378.48 crore to restore the environment and ₹526.51 crore for economic loss to fishers.
The government further submitted that the sunken ship and MSC Akiteta-2 are sister ships under a common operator, despite their registration under different shell companies. This shows a pattern of deliberate corporate structuring to defeat potential claims and this structure is a fraudulent device to frustrate maritime claim enforcement.