High-speed Craft Operator Fined in NZ

Press Release
Wednesday, May 09, 2012

A New Zealand high-speed craft passenger vessel operator has been fined heavily for failure to deal with cases of passenger injuries

A high speed vessel operator's failure to investigate and address the causes of a series of serious back injuries to passengers has earned it a conviction, fines and reparation totalling $270,000, following a prosecution by Maritime New Zealand (MNZ).

Intercity Group (NZ) Limited, owners of the Paihia-based high speed vessel Excitor III, was today sentenced in the Auckland District Court after earlier admitting two separate but identical charges under the Health and Safety in Employment Act (HSEA), relating to incidents in the Bay of Islands on 12 January and 22 March 2011 respectively.

The two charges, both under sections 15 and 50 of the HSEA of “failing to take all practicable steps to ensure no action or inaction of any employee at work harmed any other person” were brought by MNZ after an investigation into the two separate incidents, in which passengers suffered serious spinal fractures during trips to the Hole in the Rock.

In the 12 January incident, two female passengers at the rear of the vessel suffered fractured vertebrae after hitting large waves, while another female passenger suffered a fractured vertebra in similar circumstances on 22 March.

Intercity Group was today convicted and fined $50,000 for the first charge, and $70,000 for the second charge. Two of the victims were awarded $45,000 in reparation each, while the third, who suffered the most serious injuries, was awarded $60,000.

MNZ Maritime Investigator Bruce McLaren said the most serious aspect of the offending in both cases was the company’s failure to react to concerns raised by passengers and staff, and to stop its operation in order to fully investigate the causes of the injuries.

“Despite at least four similar incidents between January and March 2011, including the two serious injury incidents investigated by MNZ, the company did not stop its operation to investigate what might be causing people to get hurt. “In addition, even though the Excitor III was a new vessel, the company did not respond to concerns raised by passengers and one of its own skippers about the movement of the vessel. And, despite having clear knowledge of the kind of forces the vessel would be subject to, it did not take adequate steps to ensure its drivers were aware of driving the vessel appropriately to these conditions.”

MNZ subsequently suspended the vessel from operating following the 22 March incident.

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