Who is a wreck receiver ? in what conditions receiver can sell off the wreck ? where does this money goes ?

4
FOLLOW

Deputy Conservator in Indian ports, also PO MMD can become the receiver of wreck. He can sell the wreck after no claim by the owner in 1 year. He can also sell if it is less than Rs.500 and also if it is no point of any advantage keeping the wreck. The money goes to GOI

45
FOLLOW

The Merchant Shipping (Wrecks and Salvage) Rules, 1974

Wreck receiver could be Deputy Conservator or Harbour Master or for minor ports the the district magistrate.

Where the estimated value of any wreck exceeds five hundred rupees, the receiver may, in addition to the notification referred not to in sub-rule (1), publicise the wreck by an advertisement in three or a consecutive issues of at least two news papers which have a wide circulation in the Mercantile Marine Department District concerned.

Sub-rule (1)-
 Every such notification shall be issued within forty eight hours of taking possession of the wreck and be displayed on the notice board in the office of the receiver for not less than fourteen days. A copy of every such notification shall be sent to the principal officer.

Any rightful owner of a wreck, who has established his title to a wreck or any part I thereof or the sale proceeds of such wreck or part thereof to the satisfaction of the receiver in accordance with the provisions of these rules, shall be under an obligation to pay to the receiver salvage charges, any other expenditure properly incurred by the receiver for     the recovery, preservation or safety of the wreck and fees payable to the receiver under rule 27.

 Receiver may sell any unclaimed wreck which attracts the provisions of section 398 of the Act in accordance with the provisions of rule 15.

        -     No wreck  which does not attract the provisions of section 398 of the Act, may be sold except under instructions in writing from the Central Government or any other officer authorised by it in this behalf. In respect of every such wreck receiver shall seek instructions from the Central Government or any other officer authorised by it in this behalf through the principal officer immediately after expiry of 12 months from the date of taking possession of the wreck.

Procedure for the sale of a wreck
(l) A receiver shall not sell any wreck otherwise than by public auction. Every such sale shall be made on as is where is basis with purchaser assuming full responsibility for any taxes payable to Government or port authorities and for encumberance on the wreck such as maritime liens.

          (2)      A notice for sale of a wreck shall be published not less than fourteen days in advance of the appointed date of sale, in three consecutive issues of at least two daily news papers having a wide circulation in the Mercantile Marine Department District concerned. Every such notice shall include

          (a)      the description of the wreck under sale, its site and other known details, if any;

          (b)      the percentage of the auction price that shall have to be paid as down-  payment immediately after the conclusion of the auction;

          (c)      the period within which the balance amount shall be payable by the   successful bidder;

          (d)      any other details as may be deemed necessary depending upon the nature of the wreck being sold and the circum stances under which it is being   sold;

          (e)      a provision reserving right in the receiver to reject highest bid or to postpone or cancel the sale without assigning any reason there for;

          (f)       a provision to the effect that amount of down-payment referred to in  clause (b) shall be liable to forefeiture, should the successful bidder fail to  effect full and final payment of the balance amount the period stipulated  in clause (c )