Full Judgment Text
IN THE SUPREME COURT OF INDIA
CIVIL APPELLATE JURISDICTION
SPECIAL LEAVE PETITION (CIVIL) NOs.288289 0F 2021
M/S ENVITECH MARINE CONSULTANTS PRIVATE
LIMITED AND OTHERS …PETITIONER (S)
VERSUS
UNION OF INDIA & ANR. ...RESPONDENT(S)
O R D E R
1. The writ petition filed by the petitioners, seeking a ‘No
Objection Certificate’ from the Ministry of Defence of the
Government of India, for the conversion of the warship INS Viraat
from scrap to preserve having been disposed of by the High Court of
Bombay, without commenting upon the merits of the claim of the
petitioners, but merely directing the Union of India to dispose of a
pending representation of the petitioners, the writ petitioners before
the High Court have come up with the above Special Leave
Petitions.
Signature Not Verified
Digitally signed by
Sanjay Kumar
Date: 2021.04.13
16:46:36 IST
Reason:
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2. We have heard Mrs. Rupali Vishnukant Sharma, petitioner
No.3 appearing in person both on her own behalf and on behalf of
petitioner Nos.1 and 2, Shri Balbir Singh, learned Additional
Solicitor General for the Union of India and Shri Rajeev Dhavan,
learned senior counsel appearing for the second respondent.
3. INS Viraat, formerly known as HMS Hermes, is the oldest
serving warship in the world. It served the British Navy from
November, 1959 to April, 1984 and after refurbishment it was
commissioned into the Indian Navy in 1987.
4. On 1.07.2019 the Parliament was informed that the
Government had taken a decision, in consultation with the Navy to
scrap INS Viraat, as the Indian Navy had been incurring
expenditure on its upkeep and no State Government was willing to
take the ship, on account of financial liability. Therefore, the sale of
the decommissioned vessel through public auction was arranged
through a Metal Scrap Trade Corporation Limited (MSTC Ltd.)
5. In December, 2019, a public auction was held, but the same
was cancelled, as the highest bid was not deemed sufficient.
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6. According to the petitioners, they wanted to preserve INS
Viraat as a memorial to promote and strengthen Indian and British
Navy traditions, history and heritage and they approached various
corporate houses to make the project a public private partnership.
7. It is the case of the petitioners that Blackstone Corporation,
Canada, issued a Letter of Interest dated 26.03.2020. Therefore,
petitioner No.3 addressed a letter dated 28.07.2020 seeking advice
on converting the warship into a Maritime Museum cum adventure
centre. Though the first respondent acknowledged receipt of the
representation of the petitioners and directed the petitioners to re
submit the proposal, subsequently the first respondent sought a
NOC from the Government of Goa. But by a reply dated
20.09.2020, the Chief Minister of Goa stated that the State
Government can issue no objection provided the Ministry of Defence
agreed to the proposal of the petitioners and no financial obligation
fell upon the State Government.
8. But in the meantime fresh tenders were opened and the
second respondent became the highest bidder. Therefore, a letter
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of acceptance was issued on 13.08.2020 by MSTC Limited, to the
second respondent. The second respondent made a total payment
of about Rs. 38.54 crores, and the second respondent was issued
with a delivery Order dated 22.10.2020.
9. In the meantime the ship was permanently beached on
30.9.2020 and the petitioners appear to have approached the
second respondent. By a mail dated 6.10.2020 the second
respondent, without giving any guarantee, advised the petitioners to
take a NOC from the Government of India with a direction to the
associated departments of the Central and State Governments for
taking the ship out of the yard and converting it into a Museum. It
was made clear by the second respondent in the said mail dated
6.10.2020 that their agreement to the proposal was subject to two
more conditions namely (i) that 100% payment should be made
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before 12 October, 2020 and that the deadline for pulling the
(ii)
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ship towards the ocean was 15 October, 2020.
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10. Obviously the petitioners could not comply with those
conditions. However, they moved the High Court of Bombay by way
of a writ petition in Writ Petition No.5412 of 2020. This writ
petition was disposed of by the High Court of Bombay by an Order
dated 3.11.2020, directing the Union of India to take a decision on
the representation of the petitioners. It was clarified by the High
Court that they have not commented on the merits of the
petitioners’ claim nor had they recognized any right in favour of the
petitioners.
11. Not satisfied with the said order, the petitioners came up with
the above special leave petitions. Considering the spirit with which
the petitioners had come to Court, notice was ordered in the special
leave petitions and an interim order to maintain status quo with
regard to dismantling/breaking of the ship was also granted.
12. Thereafter, the second respondent came up with applications
for urgent hearing and vacating the status quo order and we took
up the Special Leave Petitions for consideration.
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13. Three factual aspects clinch the issue arising for our
consideration. The first is that the second respondent was willing
to subscribe to the sentiments of the petitioners, subject to certain
conditions stipulated in the EMail dated 6.10.2020, but the
petitioners could not comply with those conditions. The second is
that subsequent to the disposal of the writ petition by Order dated
3.11.2020, the Ministry of Defence passed an Order dated
27.11.2020 rejecting the representation of the petitioners. This
order has not been challenged by petitioners. Obviously the
petitioners cannot do anything with the warship, without the NOC
from Ministry of Defence and the letter of the Ministry of Defence
dated 27.11.2020 has virtually put the lid on the aspirations of the
petitioners. Thirdly, the second respondent claims to have started
the dismantling/recycling work three months ago and according to
the certificate issued by the Marine Surveyors, about 35 to 40%
work of dismantling had already been completed. The certificate of
the surveyors shows that the vessel got severe hull damage in many
areas, during embarkation of loose parts and equipments. All
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documents and certificates as well as the operational manuals have
been removed and the navigational items and communications
devices broken and removed. According to the surveyors, the vessel
is in ‘grounded condition’ and can be called a dead structure.
14. Therefore, while appreciating the sentiments of the petitioners,
we are afraid that we cannot do anything at this stage and in these
circumstances. Hence the Special Leave Petitions are dismissed.
There will be no order as to costs.
……………………………..CJI
(S.A. BOBDE)
……………………………….J.
(A.S. BOPANNA)
………………………………..J.
(V. RAMASUBRAMANIAN)
New Delhi
April 12, 2021
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