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Kerala State in India seeks compensation of $1.1 billion from MSC for oil spill

Kerala, a state in southern India, has sued the Swiss-based Mediterranean Shipping Company for $1.1 billion after one of their container ships sank in May and spilled fuel into Arabian Sea.

The High Court of Kerala issued an Order late Monday ordering port authorities to "arrest, seize and detain" another MSC Ship anchored at the Vizhinjam Harbour in the state. This will continue until the ship deposits the required security for the claim.

MSC did respond immediately to a comment request. In a May statement, the Indian government said that MSC had hired a marine service company to remove oil and clean up the environment.

The MSC ELSA3 under the Liberian flag, travelling from Vizhinjam at India's southernmost tip to Kochi, capsized on May 25. Fuel and cargo were released in the incident, including some hazardous materials.

In a court filing that was not made public, but reviewed by, the state government stated the incident had "resulted in massive pollution of Kerala’s marine ecosystem with oil slicks, and floating cargo, causing serious harm to the environment, fisheries, and public health."

After the incident in May, the state asked local fishermen not to go into the sea. It also distributed food and cash to around 105 518 families who are involved with the fishing industry. (Reporting and editing by Aditya K. Kalra, Raju Gopalakrishnan, and Arpan Chaturvedi)

(source: Reuters)