Hiong Guan Navegacion Japan Co. Ltd., operator of the commercial cargo ship Balsa 62, agreed Monday to plead guilty in U.S. District Court in Tampa, Fla., to conspiracy and to falsifying and failing to properly maintain oil waste records.
The government said the company pleaded guilty to falsifying the oil record book kept onboard the Balsa 62. Federal and international law requires that ships comply with pollution regulations that include the proper disposal of oily water and sludge by passing the oily water through an oily-water separator aboard the vessel or burning the sludge in the ship’s incinerator.
According to the plea agreement, from June 2007 through February 2008 the ship's chief engineer directed the crew to use a bypass or “magic pipe,” to circumvent the pollution prevention equipment onboard the ship and discharge oily water and sludge directly overboard and into the ocean about twice a month.
The maximum penalties that Hiong Guan faces include fines of $500,000 per felony count, a term of probation of five years and a special assessment of $400 per felony count. According to the plea agreement, Hiong Guan has agreed to pay a $1.75 million fine and implement a detailed environmental compliance plan, which requires monitoring of its fleet-wide operations for three years.
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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 NowThe 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 NowIndustry-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