Carrier, NVO pay penalties to FMC

Carrier, NVO pay penalties to FMC
   The U.S. Federal Maritime Commission said Tuesday that China Shipping Container Line and three intermediaries have agreed to pay a total of $625,000 in civil penalties for alleged violations of the Shipping Act of 1984.
   The FMC said under a compromise agreement the parties settled and paid penalties, but did not admit to violations of the act or FMC regulations.
   China Shipping agreed to pay $440,000 to settle alleged violations that involved more than 1,000 shipments over four years. The alleged violations included: providing transportation services to intermediaries that did not have tariffs, licenses, or bonds as required by the statute; misdescribing cargo shipped; allowing use of service contracts by persons who were not parties to those contracts; and providing transportation that was not in accordance with the rates and charges set forth in published tariffs. China Shipping provided the FMC with information regarding the activities, terminated those activities, and agreed to cooperate fully with any further investigation regarding those activities, the FMC said.
   ' ATI USA Inc., a New Jersey-based non-vessel-operating common carrier, paid $115,000. The FMC alleged ATI obtained transportation services at less than applicable rates and charges for ocean common carriers, and charged rates that did not comply with its published tariffs. Specifically, the commission alleged ATI misdeclared the measurements of certain shipments of motor vehicles and permitted use of service contracts by persons who were neither signatories nor affiliates to those contracts.
   ' MT Global Freight Solutions Inc., a Texas-based NVO, paid $35,000. The FMC said MT Global allegedly obtained transportation services at less than applicable rates and charges by unlawfully accessing service contracts to which it was not a signatory or affiliate, and provided ocean transportation services at other than the rates or charges provided in its published tariffs.
   ' Cosa Freight Inc., a California-based NVO, paid $35,000. The FMC alleged Cosa Freight obtained and allowed others to obtain ocean transportation for property at less than the rates and charges that would otherwise be applicable by improperly accessing and allowing others to access service contracts to which Cosa Freight was not a signatory, and misdescribed commodities that were shipped.
   “These penalties should serve as a reminder to any carriers or intermediaries who may be tempted to disregard the commission’s rules against unfair or deceptive practices,” said FMC Chairman Richard A. Lidinsky Jr.
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