Pacific-Gulf Marine fined $1.5 million for Maryland dumping

Pacific-Gulf Marine fined $1.5 million for Maryland dumping New Orleans shipping company Pacific-Gulf Marine Inc. was sentenced Wednesday to pay $1.5 million for deliberately discharging hundreds of thousands of gallons of oil-contaminated bilge waste in Maryland waters.
   U.S. District Judge William M. Nickerson sentenced PGM to pay a $1 million criminal fine, $500,000 for community service and serve three years of probation.
   The company admitted that its fleet of four car carriers had discharged the bilge waste without using an oily water separator, a required pollution prevention device, and instead used secret bypass pipes, sometimes referred to as a 'magic pipe.'
   The company voluntarily disclosed to prosecutors the results of its internal investigation, which revealed incriminating information and evidence of illegal conduct.
   'We will continue to prosecute companies who use our oceans as dumping grounds until those shipping companies clean up their acts,' said David M. Uhlmann, chief of the Environmental Crimes Section of the Justice Department's Environment and Natural Resources Division. 'But this case also demonstrates that companies like PGM can help right their wrongs by cooperating with criminal investigators, and we are hopeful that others will follow PGM's example by identifying misconduct within their organizations and voluntarily disclosing that information to law enforcement officials.'
   Under terms of the plea agreement, half of the $500,000 community service payment will fund environmental projects to improve, restore or study water quality in the Chesapeake Bay, while the other half will fund environmental education for mariners at U.S. maritime schools.
Upcoming FreightWaves Events
Compliance

Brokerage Compliance Symposium

The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry.

October 26, 2026
The Signal at Chattanooga Choo Choo • Chattanooga, TN
Register Now
Awards

F3 Awards Dinner

The night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.

October 26, 2026
The Signal at Chattanooga Choo Choo • Chattanooga, TN
Register Now
FreightTech

F3: Future of Freight Festival

Industry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.

October 27, 2026 – October 28, 2026
The Signal at Chattanooga Choo Choo • Chattanooga, TN
Register Now
Compliance Brokerage Compliance Symposium Oct 26 • The Signal at Chattanooga Choo Choo • Chattanooga, TN

The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry.

The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now
Awards F3 Awards Dinner Oct 26 • The Signal at Chattanooga Choo Choo • Chattanooga, TN

The night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.

The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now
FreightTech F3: Future of Freight Festival Oct 27 – Oct 28 • The Signal at Chattanooga Choo Choo • Chattanooga, TN

Industry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.

The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now