Section 9 – Interim relief of status quo on transfer of shares pending Arbitration in Singapore

There was settlement agreement dated 16.9.2024 between the petitioner Alphard, respondent no.1 Samson & respondent No.2 Underwater. It is governed by the Singapore Law with venue & seat of arbitration in Singapore.

One of the conditions of the said Agreement as produced in para 5 of the Order was that Samson and Underwater have agreed not to sell the Asset to any person other than Alphard unless Alphard were to designate another person to acquire the Asset or Alphard were to refuse to execute the agreements.

On 20.2.2025, Alphard issued notice of arbitration under SCMA Rules.

Respondent no.1 has sought to transfer entire shareholding of respondent No.2 to Respondent No.3 J.M.Baxi Marine Services.

The Petitioner Alphard, therefore, filed section 9 petition for interim relief to restrain transfer of shares to Baxi, in aid of and to secure subject matter of arbitration.

HELD that the case has been made out for interim relief in maintaining status quo on the entire share capital of Underwater held by Samson and subject of an inexplicable pledge in favour of Baxi.  No further action shall be taken on the pledged shares until Arbitral Tribunal had occasion to examine next course of action.  No further third party right or interest on the shares shall be effected.

Judgment dated 2.4.2025 of the High Court of Bombay in Commercial Arbitration Petition (L) No.7499 of 2025 of Alphard Maritime Ltd  Vs.  Samson Maritime Limited and others