EC closes parcel tanker investigation

EC closes parcel tanker investigation The European Commission’s Competition Directorate has closed its investigation into possible collusive behavior in the maritime transport of bulk liquids on deep sea routes.
   The big three parcel tanker operators — Stolt-Nielsen S.A., Jo Tankers and Odfjell SE — issued statements applauding the decision.
   “We are pleased that the European Commission has closed its investigation and that they will not impose any penalties on the Company,” said Niels G. Stolt-Nielsen, chief executive officer of Stolt-Nielsen S.A.
   Stolt said in February 2003 it entered into the conditional leniency program of the European Commission with respect to potential infringements of European competition rules regarding the maritime transport of bulk liquids on deep sea routes. Stolt said it cooperated with the EC throughout its five-year investigation.
   The tanker Odfjell SE said it was informed that the commission had “closed the file in the chemical parcel tanker case, and no fines will therefore be issued against Odfjell SE by the European Commission.”
   “The commission has not given any reason for its decision but Odfjell has reason to believe that the Commission has concluded that it lacked jurisdiction over the case due to the tramp exclusion contained in Regulation 4056/86, in line with what Odfjell SE has argued,” the company said. “It can not be excluded that the national authorities will pursue this matter, but Odfjell SE has received conditional amnesty from the relevant states, and such further investigation should therefore not lead to any fines being issued against Odfjell SE.”
   Jo Tankers said, “We have as of now not received any explanation as to why the commission reached its decision. However, there is reason to believe that it has to do with jurisdiction and the distinctions between tramp and liner services. There is still a slight possibility that individual European countries might pursue the case; however, we do not see this as very likely.”
   “Good news on a sunny day, after five years of uncertainty,” said Jo’s managing director Johan Odvar Odfjell upon receiving the information.