Bypass Equipment News

Princess Cruise Lines Ltd. was sentenced to pay a $40 million penalty – the largest-ever for crimes involving deliberate vessel pollution – related to illegal dumping overboard of oil contaminated waste and falsification of official logs in order to conceal the discharges. The sentence was announced by Acting Assistant Attorney General Jeffrey H. Wood for the Department of Justice’s Environment and Natural Resources Division, and Acting U.S. Attorney Benjamin G. Greenberg for the Southern District of Florida in Miami. The sentence was imposed by U.S. District Judge Patricia A.

Carnival Corp's Princess Cruise Lines will plead guilty to seven felony charges for polluting the seas and deliberate acts to cover it up, and pay a record $40 million criminal penalty, the U.S. Justice Department said on Thursday. Shares of Carnival, the world's largest cruise operator, were down more than 2 percent at $50.29 in midday trading on the New York Stock Exchange after the announcement. The Caribbean Princess had been making illegal discharges since 2005 using bypass equipment - including a so-called "magic pipe" - to circumvent pollution-prevention equipment that separates oil and monitors oil levels in the ship's water, the department said.

On June 30, 2008, in the case of United States v. Jho, the United States Court of Appeals for the Fifth Circuit reversed a ruling of the US District Court for the Eastern District of Texas and held that it was not a violation of international law for the federal government to prosecute an owner of a foreign ship and a chief engineer for violation of the Act to Prevent Pollution from Ships (APPS) by failing to correctly maintain the ship's oil record book (ORB). The court went further and ruled that each time the ship called on a US port with the falsely maintained ORB constituted a separate offense. The sentencing aspects of those separate violations were remanded to the district court for consideration. The implications of that decision are only beginning to be understood.

The United States Attorneys from five judicial districts with major ports today announced criminal charges against Evergreen International, S.A. (Evergreen), one of many Evergreen-related companies involved in the container ship business. Under the terms of a plea agreement, Evergreen will pay $25 million, the largest-ever amount for a case involving deliberate vessel pollution, and plead guilty to felony charges brought in Los Angeles; Newark, NJ; Portland, OR; Seattle; and Charleston, SC. Evergreen pleaded guilty today to 24 felony counts and one misdemeanor - five counts from each federal district involved in the case - for concealing the deliberate, illegal discharge of waste oil and for a negligent discharge in the Columbia River.

The Chief Engineer of a Panamanian registered container ship was sentenced today in federal court to charges of conspiracy, obstruction, destruction of evidence, false statements and violation of the Act to Prevent Pollution from Ships in connection with the use of a secretly concealed "magic pipe" used to deliberately discharge tons of sludge and oil contaminated waste overboard. Michael J. Sullivan, the U.S. Attorney for the District of Massachusetts; Sue Ellen Wooldridge, Assistant Attorney General of the Department of Justice's Environment and Natural Resources Division; Rear Admiral David P. Pekoske, Commander, First Coast Guard District; and William Schenkelberg, Special Agent in Charge of the Northeast Region of the U.S.

MSC Ship Management (Hong Kong) Limited—a Hong Kong-based container ship company—has agreed to plead guilty to charges that it engaged in conspiracy, obstruction of justice, destruction of evidence, false statements and violated the Act to Prevent Pollution from Ships, the Department of Justice announced today. Per the terms of a plea agreement that must be approved by the court, MSC Ship Management will pay $10.5 million in penalties. This is the largest fine in which a single vessel has been charged with deliberate pollution and the largest criminal fine paid by a defendant in an environmental case in Massachusetts history. According to the plea agreement…

An Indian national working as the Chief Engineer on the container ship M/V MSC Elena was indicted late yesterday by a federal Grand Jury and charged with conspiracy, obstruction, destruction of evidence, false statements and violation of the Act to Prevent Pollution from Ships in connection with the use of a secretly concealed "magic pipe" used to discharge sludge and oil contaminated waste overboard. Michael J. Sullivan, the U.S. Attorney for the District of Massachusetts; Kelly A. Johnson, Acting Assistant Attorney General of the Department of Justice's Environment and Natural Resources Division; and William Schenkelberg, Special Agent in Charge of the Northeast Region of the U.S. Coast Guard Investigative Service, announced the Grand Jury's Indictment of MANI SINGH, age 57, of India.