(1) Where, before the fund is distributed, the ship owner or any of his servants or agents or any person providing him insurance or other financial security has as a result of an incident paid compensation for pollution damage, such person shall upto the amount he has paid, acquire by subrogation the rights which the person so compensated may have enjoyed under this Chapter.
(2) Where the ship owner or any other person establishes that he may be compelled to pay at a later date in whole or in part any such amount of compensation with regard to which such person shall have enjoyed a right of subrogation under sub-section (1) had the compensation been paid before the fund was distributed, the High Court where the fund was constituted may order that a sufficient sum be provisionally set aside to enable such person to enforce his claim against the fund at such later date.
(2) Where the ship owner or any other person establishes that he may be compelled to pay at a later date in whole or in part any such amount of compensation with regard to which such person shall have enjoyed a right of subrogation under sub-section (1) had the compensation been paid before the fund was distributed, the High Court where the fund was constituted may order that a sufficient sum be provisionally set aside to enable such person to enforce his claim against the fund at such later date.
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Section 1 · Short title and commencement.Section 2 · Application of Act.Section 3 · Definitions.Section 4 · Establishment of National Shipping Board.Section 5 · Constitution of Seafarer’s Welfare Board.Section 6 · Power to make rules.Section 7 · Director-General of Maritime Administration.Section 8 · Officers.India Code, Government of India. Text fetched 25 Oct 2026. Check the linked official text and subsequent notifications when applying a provision.