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This is an archive article published on April 24, 2012

SC refuses to stay HC order to release Cyprus ship

The government’s plan to eventually auction a Cyprus ship to recover the over Rs 1,000-crore loss it caused by a collision with an Indian war vessel ship did not pass muster with the Supreme Court

The government’s plan to eventually auction a Cyprus ship to recover the over Rs 1,000-crore loss it caused by a collision with an Indian war vessel ship did not pass muster with the Supreme Court on Monday.

The government had on Saturday urgently moved the Supreme Court after a Bombay High Court order to release it.

A Bench of Justices H L Dattu and C K Prasad had,however,criticised the government for waking up at the last minute,and posted the case for hearing on Monday.

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Refusing to buy the government’s plan to recover the loss,the court said “we wonder how vigilant you are that your naval ship has been hit by a merchant ship”.

Additional Solicitor General Indira Jaising argued that the loss to the Indian government was phenomenal and the lost naval ship was “one of its kind” in the Navy.

“And so we have lost even that one ship,” the Bench replied,declining to intervene in the HC order.

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