U.K. Supreme Court makes ruling over $43 million in treasure from World War II ship sunk by Japanese torpedoes

The SS Tilawa, a merchant steamer sunk in 1942 by Japanese torpedoes while carrying a £32m cargo of silver bars

South Africa has successfully claimed ownership of $43 million worth of treasure recovered from the SS Tilawa, a World War II shipwreck discovered off the country's coast by a British exploration company. The sinking of the SS Tilawa, dubbed the "Indian Titanic," resulted in the loss of 280 lives and sent over 2,000 bars of silver to the ocean floor.

Paul Marshall

The SS Tilawa was torpedoed by the Japanese in the Indian Ocean on November 23, 1942, carrying over 900 individuals and 2,364 bars of silver purchased by the Union of South Africa. The treasure remained inaccessible until 2017 when Argentum Exploration Ltd, owned by hedge fund leader Paul Marshall, retrieved it using a specialist salvage vehicle.

Passengers and crew attempting to flee the SS Tilawa, a merchant steamer sunk in 1942 by Japanese torpedoes

Argentum Exploration initially claimed ownership based on maritime law regarding salvage, arguing that they could seek payment for recovering the treasure, even though South Africa did not request its retrieval. South Africa contested the claim, asserting immunity as a foreign state. The legal battle centered on whether the silver was intended for commercial use when the ship sank during wartime.

HMS Birmingham the warship that came to the rescue of the SS Tilawa after it was hit by torpedoes

The U.K.'s Supreme Court ruled in favor of South Africa, determining that the silver was not intended for commercial purposes, despite the ship's commercial function. The court emphasized that planning to mint the silver did not constitute commercial use, as the cargo was not actively in use aboard the ship.

Ross Hyett, 70, successfully led a treasure hunting mission to recover 2,364 bars of silver from the wreck of the SS Tilawa

The SS Tilawa's sinking, known as the "Forgotten Tragedy" of World War II, claimed 280 lives out of 732 passengers, 222 crew members, and 4 gunners. While two torpedoes sank the ship, nearby vessels managed to rescue most passengers.