Kerala Seeks Compensation Worth $1.1 Billion From MSC Due To Oil Spill: All You Need To Know

The southern state of India, Kerala, has sued Swiss-based Mediterranean Shipping Company (MSC) and has south $1.1 billion in compensation, a Reuters report said.

Why Has Kerala Sought Compensation?

Kerala has sought for compensation from MSC as one of the company's container vessels sank and leaked fuel into the Arabian Sea in May.

The Kerala High Court had issued an order late on Monday and had asked port authorities to bring into effect "the arrest, seizure and detention" of another MSC ship anchored in the Vizhinjam Port in the state unless it has deposited securities for the claim amount.

What Did MSC Do?

In May, an Indian government statement said that the company has appointed a marine services company for the removal of oil and environmental clean up.

Additionally, the Liberia-flagged MSC ELSA3 ship, which was travelling from Vizhinjam on the southern tip of India to Kochi had capsized on May 25. This had further resulted in leaking fuel as well as the releasing of cargo, some of which may have contained hazardous metal.

Not only has this incident polluted Kerala's marine ecosystem, "with oil slicks and floating cargo causing serious detriment to the environment, coastal fisheries and public health," the report added.

After this incident, the state government asked the local fishermen to avoid going into the sea and distributed cash and food relief to around 105,518 families that were involved with the fishing industry.

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