The Bombay High Court has permitted the discharge of 1,880.260 metric tonnes of Liquefied Petroleum Gas (LPG) from the arrested vessel LPG Amir Gas after directing the plaintiff to deposit AED 34,78,481 as security. The order was passed by Justice Abhay Ahuja on August 7, 2026, after the Court was informed of serious safety concerns surrounding the vessel and its cargo.
Background of the Case
The vessel had earlier been arrested by the Bombay High Court on April 29, 2026, with the port authorities directed not to permit discharge of the LPG cargo. The present application was moved by JSW Jaigarh Port Limited, which raised concerns about the condition of the vessel and the risks associated with keeping the highly inflammable cargo on board.
The Court was told that an inspection by the Directorate General of Shipping on August 5 had found several critical deficiencies. These included a non-operational LPG cargo cooling pump, non-functional sprinkler and firefighting systems, a non-operational inert gas system and expired Protection and Indemnity insurance.
Counsel for the port submitted that failure to maintain the cargo temperature could create a serious risk of fire or explosion, potentially affecting the vessel, port infrastructure, nearby property and the surrounding environment.
Court's Observation
Considering the urgent circumstances, Justice Abhay Ahuja held that any party depositing the value of the two invoices as security could be permitted to discharge the LPG cargo.
The Court specifically directed that once AED 34,78,481 was deposited with the Prothonotary & Senior Master and the deposit was confirmed, the plaintiff would be permitted to discharge the cargo. The Court also stressed that the discharge must be carried out keeping in mind the safety requirements identified in the Directorate General of Shipping's inspection report.
The Court observed that the security deposit would allow the cargo to be discharged while preserving the parties' rights in the underlying dispute.
Directions on Safety and Repairs
The plaintiff was directed to supply at least 50 MT of Marine Gas Oil and 10 kilolitres of lube oil within 24 hours and continue supplying bunkers when required. Emergency repairs identified in the inspection report were also ordered to be carried out until the entire cargo was discharged.
The vessel's owner was further directed to provide adequate food and fresh water to the crew and obtain Protection and Indemnity insurance within one week.
Decision
The Court issued urgent notice to the Directorate General of Shipping, the State and District Disaster Management Authorities and the National Disaster Management Authority to assist with the safe discharge and prepare for necessary action if the security amount was not deposited.
The Court clarified that on deposit of the security amount, the restraint on discharge would stand vacated, while the arrest of the vessel would continue.
The interim application was accordingly allowed to the above extent.
Case Details
Case Title: Jhang Union International LLC FZ v. LPG Amir Gas, IMO No. 9167409 and Others
Case Number: Interim Application (L) No. 27282 of 2026 in Commercial Admiralty Suit No. 26 of 2026
Judge: Justice Abhay Ahuja
Decision Date: August 7, 2026
