Owner of unlicensed charter guilty in fatal Hudson River capsizing

(NEW YORK) — A New Jersey man has pleaded guilty in connection with the deaths of a 7-year-old boy and a 48-year-old woman after the man’s powerboat, which had paying customers on board, capsized in the Hudson River in July 2022.

Richard Cruz, 32, of Elizabeth, N.J., pleaded guilty to one count of misconduct and neglect of a ship officer resulting in death, which carries a maximum sentence of 10 years in prison. The verdict was announced Oct. 15. Cruz will be sentenced Jan. 25.

“Richard Cruz admitted … that his misconduct and negligent actions caused the tragic deaths of a young boy and a woman when Cruz’s vessel capsized in the Hudson River,” said U.S. Attorney Damian Williams. “This prosecution should send a message to all captains and operators of commercial vessels that there will be consequences when they fail to follow the federal regulations and safety protocols that exist to keep passengers safe.”

The powerboat Stimulus Money is pulled out of the Hudson River after capsizing on July 12, 2022. U.S. Attorney’s Office, Southern District of New York photo

On July 12, 2022, at about 2:40 p.m., the motor vessel Stimulus Money capsized in the Hudson River. At the time of the capsizing, Cruz was the owner and captain of the vessel, which he had purchased about three months earlier. Cruz conducted boat “tours” for paying customers on multiple occasions in the months leading up to the capsizing, court records said, despite not having the required U.S. Coast Guard credentials and certifications to do so.

Cruz’s negligent actions and omissions caused the capsizing and the deaths. At the time of the capsizing, Cruz operated Stimulus Money with 13 people on board, exceeding the vessel’s maximum allowable capacity. He also operated the vessel at a high rate of speed even though an advisory had been issued to alert small watercraft of hazardous conditions, including high winds and heavy seas.

Cruz had not obtained a required Coast Guard certification to operate the vessel with paying customers on board, and he operated Stimulus Money without a valid certificate of inspection, which is required for a vessel to operate with paying customers on board.

All 13 people on board Stimulus Money were thrown overboard when it capsized. Shortly after the capsizing, boats from the New York City Police Department’s Harbor Unit and the New York City Fire Department’s Dive Rescue Team, and ferries operating nearby, arrived at the scene to render emergency assistance.

All but two passengers were recovered conscious and in varying medical conditions. They were subsequently transferred to hospitals in Manhattan and survived the capsizing. Approximately 25 minutes after the capsizing, members of the Dive Rescue Team recovered two victims from the river. They were trapped under the capsized vessel and found unconscious. Emergency medical personnel subsequently pronounced them dead. The cause of death was drowning.

Report illegal passenger charters to the Coast Guard here.

– U.S. Attorney’s Office, Southern District of New York

By Professional Mariner Staff