Hyundai Merchant Marine pays $680,000 fine to FMC
South Korea’s Hyundai Merchant Marine has paid penalties of $680,000 to the U.S. Federal Maritime Commission after reaching a compromise agreement relating to allegations the Seoul-based container line breached the Shipping Act of 1984.
Hyundai was alleged to have violated section 10(b)(1) of the 1984 act by allowing shippers to obtain transportation for property at less than the rates or charges established in its tariffs or service contracts by permitting (a) use of its service contracts by persons who are neither signatories nor affiliates to those contracts, (b) unlawful equipment substitution, and (c) misdescription of commodities.
It was also alleged that Hyundai violated sections 10(b)(11) and 10(b)(12) of the act by entering into service contracts with, and providing transportation services to, an ocean transportation intermediary that didn’t have a tariff, license or bond as required by the act.
The FMC also reached compromise agreements with Air & Ocean Shipping Inc. (doing business as Compass Marine) for $110,000 and with Oconca Shipping (NY) Inc. for $40,000.