Lanka may withdraw $5 million SCI suit

Sri Lanka Telecom will shortly withdraw its $5 million suit filed against Shipping Corp. of India Ltd (SCI) for allegedly damaging the island's main submarine telecommunications cable, Sudhir S Rangnekar, director, liner, SCI, said on Friday.

"We have proved to Sri Lanka Telecom with enough documentary evidence that our ship did not damage their cable. They will withdraw the suit against us shortly," Rangnekar said from Delhi.

Sri Lanka Telecom has not only claimed damages from SCI but also obtained arrest warrant against SCI's ship, State of Nagaland, for damaging its cable.

"The arrest warrant could not be served on us as we were in international waters. We stayed back to clarify our position. Our ship should sail from Sri Lank today or on Saturday," Rangnekar said.

State of Nagaland is a 20,500 dead weight tonnage general cargo ship of SCI. The vessel was awaiting docking nearly 9.5 nautical miles away from the dock since August 20 when the cable damage was noticed by Sri Lanka Telecom.

According to Rangnekar, blaming SCI was an illogical step and this has been realised by the Sri Lanka Telecom. "We have conclusively proven our stand," he said.

Although the culprit has not been nailed, there are five ships currently docked at Sri Lanka that are suspected to have caused the submarine cable damage.

SCI shares ended today at Rs 116.20 on the National Stock Exchange, up 1.13 per cent over Thursday.