FMC REVIEWS RELATIONSHIP BETWEEN CHINA SHIPPING, RICH SHIPPING

FMC REVIEWS RELATIONSHIP BETWEEN CHINA SHIPPING, RICH SHIPPING    The U.S. Federal Maritime Commission has ordered China Shipping Container Lines Co. and Rich Shipping Co. to provide the agency with information about the companies’ previous and ongoing ownership ties.
   China Shipping, based in China, is classified by U.S. law as a controlled carrier, because of ownership interests by the Chinese government. Rich Shipping is a Hong Kong-based non-vessel-operating common carrier that engages in freight moves to the United States.
   “Over the course of a year, the commission has received information and allegations from various sources indicating that there was a previous and possibly ongoing, close and direct relationship between China Shipping and Rich Shipping, which may have implications for China Shipping’s compliance with the 1984 (Shipping) Act,” the FMC said.
   The agency said it believes that until June 2001, one or more China Shipping executives had an ownership stake in Rich Shipping. One of these executives allegedly owns or had owned 40 percent of Rich Shipping’s stock.
   The FMC said both China Shipping and Rich Shipping have 30 days to comply with its order.