The following is a statement issued by Cardiff Marine Inc.:
(BALTIMORE, Md.) — Cardiff Marine Inc. (Cardiff Marine) announced that a court in the District of Maryland resolved a pending case in a manner that was consistent with a comprehensive settlement Cardiff Marine had reached with the U.S. Department of Justice in connection with an investigation into MARPOL violations from a bulk carrier under its management.
It is Cardiff Marine’s policy to operate vessels under its management in compliance with MARPOL and other applicable international and domestic requirements. Despite Cardiff Marine’s longstanding policies requiring full compliance, certain crewmembers aboard the M/V Capitola unfortunately disregarded these policies and discharged oily water and oil residues, but did not record those operations in the ship’s Oil Record Book.
Because under U.S. law Cardiff Marine is vicariously liable for violations committed by crewmembers of the ships under its Shipmanagement, on February 23, 2011, Cardiff Marine pled guilty to two charges – failing to maintain an accurate oil record book in which all operations were accurately recorded and obstructing the U.S. Coast Guard’s MARPOL investigation. Based on the recommendations contained in the plea agreement, the court ordered Cardiff Marine to pay a $2.4 million fine and implement an Environmental Compliance Plan to strengthen the company’s commitment to environmental compliance in every phase of its operation.
“We are pleased to bring closure to this investigation against our company, and we look forward to strengthening Cardiff Marine’s commitment to environmental compliance,” stated Mr. Koukoulas, acting General Manager. “Cardiff Marine will implement the agreed upon Environmental Compliance Plan that is comprehensive and rigorous. The changes that we are implementing based on what we learned from this investigation support our goal to provide quality service to our customers while helping to protect the marine environment.”
Gregory F. Linsin and Jeanne M. Grasso of Blank Rome LLP represented Cardiff Marine.
