FMC FINES TAIWAN-BASED NVO $1.53 MILLION

FMC FINES TAIWAN-BASED NVO $1.53 MILLION    The U.S. Federal Maritime Commission has fined Taiwan-based non-vessel-operating common carrier Green Master International Freight Services Ltd. $1.53 million for violating the 1984 Shipping Act.
   The agency also ordered that Green Master “cease and desist” operations.
   The FMC’s investigation showed that Green Master used “unfair or unjust means” to obtain transportation at less than the filed tariff rates by improperly accessing the service contracts that Hong Kong-based NVO Hudson Express Lines had with DSR-Senator Lines and Hyundai Merchant Marine Co. on 48 occasions between 1998 and 1999.
   The NVO’s actions deprived the vessel operators $266,763.53 in compensation. “Green Master knowingly and willingly participated in an organized scheme to assume the identity of another NVOCC in order to cheat Senator and Hyundai out of their rightful compensation,” the FMC said.
   On another 20 occasions between 1997 and 1998, the FMC found that Green Master used false billing methods to obtain transportation rates at less than the rates established by Senator and Hyundai in their service contracts. “Its total charge of only $55,715.50 for the 20 shipments was less than one-fourteenth of the applicable freight charges of $802,443.84,” the FMC said.
   The FMC said Green Master made an additional 2,756 shipments using the two service contracts, and its unknown how many were also in violation of the law.
   The FMC said Green Master had no prior history of violations. However, the company includes former managers and employees of Trans Ocean-Pacific Forwarding, an NVO that closed after the agency assessed a $1.45 million fine for violating the Shipping Act.
   One of the former Trans Ocean-Pacific Forwarding managers that joined Green Master was Chieh Fu Sun, also known as Jeff Sun, who the FMC said is a “serial violator” of the Shipping Act.