Singapore-based X-Press Feeders has refused to pay US$1 billion in damages ordered by Sri Lanka’s Supreme Court for the 2021 MV X-Press Pearl sinking. The incident is considered the country’s worst environmental disaster.
The vessel caught fire off Colombo Port after a leak of nitric acid. It burned for nearly two weeks while carrying 81 containers of hazardous chemicals and hundreds of tonnes of plastic pellets. The spill polluted an 80-kilometre stretch of coast, devastated fisheries, and forced a months-long fishing ban.
In July, the Supreme Court ordered an “initial” US$1 billion in damages. The first US$250 million was due immediately, with further payments to follow. CEO Shmuel Yoskovitz rejected the ruling, calling it a “hanging guillotine” that threatens global shipping norms. He said the company has already spent US$170 million on cleanup, wreck removal, and compensation, and is willing to pay more under international maritime conventions.
Sri Lanka’s government has pledged to enforce the judgment, with legal guidance from the Attorney General. The UN welcomed the ruling as a step toward justice under the “polluter pays” principle. Experts warn that despite cleanup efforts, damage to the marine ecosystem could last for years.
Legal disputes are ongoing. Sri Lanka has filed a case in Singapore, while a London court ruling that capped the firm’s liability at £19 million (US$25 million) is under challenge.
Source: Maritime Insight
