- (1.) This appeal is directed against the judgment and order dated 27.11.2003 passed by a Division Bench of the High Court of Madras in OSA No.175 of 1998, dismissing the appeal of the appellant, upholding inter alia the disbursements made by Single Judge of the sale proceeds received by sale of the ship in question named as motor vessel 'Eleni'.
(2.) The factual matrix of the case is that in February, 1997 Respondent No.1 filed a suit being C.S.No.97 of 1997 under the Admiralty Jurisdiction of High Court of Madras, for recovery of US$ 22,705.84 against Respondent No.3 herein along with an application praying for an order of arrest of the vessel which arrived at Port of Madras. The High Court in terms of Order dated 27.2.1997 issued arrest warrant. Whereas in the Bombay High Court, Appellant filed an admiralty suit A.S.No.27 of 1997 in March, 1997 for recovery of amount of US$ 39,712.97 i.e. the security of Appellant's suit claim. On 19.03.1997, Bombay High Court directed the order of arrest of Vessel M.V. Eleni.
(3.) Meanwhile, High Court of Madras appointed Respondent No. 2 as the Advocate Commissioner. On 25.04.1997, terms and conditions for sale were approved by the Madras High Court. Publications with respect to the sale of the said vessel were made in various newspapers. Unaware of such proceedings, Bombay High Court, on 11.09.1997, passed an ex-parte decree in the suit filed by the appellant for a sum of US$ 50,081.74 with interest, which was communicated to the Advocate Commissioner (Respondent No.2), appointed by the Madras High Court, with a request to take note of their claim against the Vessel. The Sheriff of Mumbai also communicated to Respondent No.2 on 21.10.1997 that the Vessel MV ELENI was arrested in due compliance of Warrant of Arrest dated 18.03.1997 and 21.03.1997 passed by the High Court of Bombay and requested them to take note of the arrest order passed by Bombay High Court. Before the aforesaid decree transmitted by the Bombay High Court was received by the Madras High Court on 24.1.1998, learned Single Judge of the Madras High Court confirmed the sale in favour of M/s. Jansee Steel Industry Pvt. Ltd. on 24.10.1997. In the execution petition moved by the appellant in February, 1998, Bombay High Court issued notice under Order 21 Rule 52 of the C.P.C., requesting the Madras High Court to hold the decretal sum in an aggregate amount of US$ 58,325.64 from and out of the funds deposited by M/s. Jansee Steel Industries.;