PANJIM, AUG 5
The Bombay High Court at Goa today cleared a major hurdle for removing River Princess.
Quashing and setting aside the South Goa District Court order, a Division Bench comprising Justice A S Oka and F M Reis said that the State government was free to remove the vessel.
The court on July 26 had heard the final argument over the appeal by the State government against Jaisu Shipping’s application filed in the District Court under the Arbitration and Conciliation Act, wherein they had objected to the State government act of tendering the work to M/s Titan Salvage.
The District Court in its order had restrained the company from interfering with towing away of the vessel by Jaisu Shipping Pvt Ltd.
A dispute arose between Jaisu Shipping, which was awarded the tender to tow away the vessel, and the government after the former failed to complete the awarded work within stipulated period of 180 days and the later encashed the bank guarantee of Rs 5 crore.
During the final argument, senior counsel Suresh Lotlikar appearing on behalf of the company, had pointed out that the government has failed in giving specific reason for the termination of the contract.
