The "Pontianak Caraka Jaya Niaga III-34"

• Jurisdiction: Singapore
• Judge: Tan Lee Meng J
• Judgment Date: 19 October 2010
• Neutral Citation: [2010] SGHC 307
• Court: High Court (Singapore)
• Docket Number: Admiralty in Rem No 181 of 2009 (Registrar’s Appeal No 13 of 2010)
• Published date: 21 October 2010
• Year: 2010
• Hearing Date: 20 August 2010,18 May 2010,19 May 2010,21 May 2010,24 February 2010,20 May 2010,11 August 2010
• Plaintiff Counsel: Toh Kian Sing SC, Leong Kah Wah and Koh See Bin (Rajah & Tann LLP)
• Defendant Counsel: Gan Seng Chee and Leong Kai Yuan (Ang & Partners)
• Subject Matter: Admiralty and Shipping
• Citation: [2010] SGHC 307

Tan Lee Meng J:

The appellant, ANL Singapore Ltd (“ANL”), who instituted Admiralty in Rem No 181 of 2009 (“Adm No 181”) against the owners of the “Pontianak Caraka Jaya Niaga III-34” (the “Pontianak”), and arrested the said vessel, appealed against the Assistant Registrar’s decision to set aside the arrest, release the vessel and stay further proceedings in favour of foreign arbitration. The respondent intervener, PT Djakarta Lloyd (Persero) (“PTDL”) is an Indonesian State-owned company, in whose name the vessel was registered.

Background

On 19 May 2009, ANL filed Adm No 181, claiming that the owners of the Pontianak owed it the sum of US$575,074.20 for slot fees earned pursuant to a slot charterparty entitled “AAX Main Agreement” dated 23 November 2001, read with an Addendum dated 7 September 2004 and Memorandum of Understanding dated 17 March 2006 (the “Main Agreement”).

On 11 June 2009, ANL arrested the Pontianak as security for its claim in Adm No 181.

PTDL intervened in the action and asserted that although it is the registered owner of the Pontianak, the vessel is in fact owned by the State and that it is merely the State-appointed operator of the said vessel.

After intervening in the action, on 24 September 2009, PTDL filed SUM 5042/2009 and applied for, inter alia, the following orders: (i) That the Pontianak be released and the arrest set aside; and (ii) That ANL’s application for default judgment and sale of the vessel and further proceedings be stayed in favour of foreign arbitration.

On 15 January 2010, the Assistant Registrar heard PTDL’s application. After hearing the parties, he set aside the arrest of the Pontianak and ordered her to be released on the ground that the requirements under s 4 (4) of the High Court (Admiralty Jurisdiction) Act (Cap 123, 2001 Rev Ed) had not been satisfied. He also ordered that ANL’s application for default judgment and sale of the vessel and all further proceedings be stayed in favour of foreign arbitration.

By way of RA No 13/2010, ANL appealed against the Assistant Registrar’s decisions.

The appeal

In the present appeal, there are two issues. The first is whether the Pontianak is beneficially owned by PTDL. If the said vessel is not beneficially owned by PTDL, the Assistant Registrar was correct in setting aside her arrest and ordering her release. The second issue is whether the proceedings should be stayed in favour of foreign arbitration in accordance with...