Liability, awards and settlements

21.9, guilty plea

US: Accord Ship Management, the India-based vessel operator of general cargo Sportsqueen (12666 gt, built 1979), and the vessel’s chief engineer pleaded guilty in connection with the illegal dumping of oily sludge, bilge wastes and oil contaminated ballast water from the vessel, on April 14. Accord Ship Management will pay a criminal fine of US$1.75mn and serve a three year term of probation during which time all of the vessels in its fleet will be banned from US waters and ports. The chief engineer pleaded guilty to obstruction of justice charges and will serve prison terms of five months. According to the plea agreements, Sportsqueen had arrived at San Juan, Puerto Rico and was boarded by the US Coast Guards who learned that the chief engineer had ordered the crew members to dump oil sludge and bilge wastes into the ocean and had falsified the vessel’s oil record book to conceal these discharges. With assistance from several lower level crew members, Coast Guard inspectors discovered and seized the bypass hose and pipes used to dump the oil sludge, bilge waste, and contaminated ballast water overboard.