U.S. Coast Guard Grabs Tanker for MARPOL Violations

Three companies^[1] that own and operate an oceangoing chemical tanker named the M/T Clipper Trojan were indicted today for an attempt by crew members to cover up the illegal dumping of oily waste in international waters.^[2] The indictment also states that the crew members are involved as agents for the corporate defendants and that the three companies failed to provide sufficient training to the crew and failed to diligently enforce company policies concerning the handling of oily waste.^[3]

Crew members of the tanker allegedly dumped oil sludge directly overboard on two occasions in May and June of 2006, and regularly dumped oil-contaminated bilge water overboard between March and June of 2006.^[4] The ship’s chief engineer then allegedly failed to record discharges in the ship’s oil record book and included false entries in the book that were intended to mislead the Coast Guard during an inspection of the ship at Port Newark on June 15, 2006.^[5] According to the indictment, the chief engineer offered the false oil record book to the Coast Guard and made several false statements during inspection.^[6]Engine room operations on board large oceangoing vessels such as the M/T Clipper Trojan generate huge amounts of waste oil that U.S. and International law prohibit dumping; without first treating it with an oil/water separator.^[7] Furthermore, all overboard dumps must be recorded in an oil record book, a required log which is regularly inspected by the Coast Guard.^[8]
The three companies are each charged one count of conspiracy, one count of violation of the MARPOL Protocol, one count of making and using materially false writings and documents, seven counts of obstruction of justice, and one count of concealment of a tangible object to obstruct an investigation.^[9]

The Act to Prevent Pollution from Ships^[10] is the enacting legislation for the International Convention for the Prevention of Pollution from Ships, along with the Antarctic Protocol and the MARPOL Protocol.^[11] This combined instrument^[12] states that the total quantity of oil which a tanker may discharge while under way must not exceed 1/15,000 of the total cargo-carrying capacity of the vessel; the rate at which oil may be discharged must not exceed 60 liters per mile traveled; no discharge of any oil whatsoever may be made from the cargo spaces of a tanker within 50 miles of the nearest land; and an oil record book is required.^[13] It also covers a number of chemicals and solid wastes that may not be discharged.^[14]

This particular case is covered under §1908 of The Act to Prevent Pollution from Ships, and states that a person who knowingly violates the MARPOL Protocol, Annex IV to the Antarctic Protocol, this Act, or the regulations issued thereunder commits a class D felony. In the discretion of the Court, an amount equal to not more than 1/2 of such fine may be paid to the person giving information leading to conviction.^[15] In this case, the companies face statutory maximum fines of $500,000 on each count or, alternatively, twice the amount of any gain to the corporations that inured as a result of the criminal conduct.^[16]

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^[1] Clipper Wonsild Tankers Holding A/S and Clipper Marine Services A/S, Danish companies who operate and manage the M/T Clipper Trojan, and Trojan Shipping Co. Ltd., a Bahamas company and the registered owner of the M/T Clipper Trojan; all three companies are part of The Clipper Group A/S, a global shipping consortium based in Denmark.
^[2] U.S. Dep’t of Justice(DOJ), U.S. Coast Guard Press Release, Three Shipping Companies Indicted for Covering Up Pollution, March 29, 2007, available at http://www.usdoj.gov/opa/pr/2007/March/07_enrd_196.html (last visited Mar. 29, 2007).
^[3] Id.
^[4] Id.
^[5] Id.
^[6] Id.
^[7] United States v. Abrogar, 459 F.3d 430, 431-432 (3d Cir. 2006) (“Pollution discharges from ships are regulated by both U.S. and international law. The Act to Prevent Pollution from Ships ("APPS"), 33 U.S.C. § 1901 et seq., implements two related treaties to which the United States is a signatory. The first is the 1973 International Convention for the Prevention of Pollution from Ships, referred to as the MARPOL Protocol. The second is the Protocol of 1978 relating to the International Convention for the Prevention of Pollution from Ships. Together, the two treaties are generally referred to as MARPOL 73/78 ("MARPOL"), and more than 95% of the world's shipping tonnage is transported under the flags of signatories to these treaties.”
^[8] Id.
^[9] DOJ, supra note 2.
^[10] 33 U.S.C. § 1901 et seq.
^[11] Id. § 1901(a).
^[12] See International Marine Organization, International Convention for the Prevention of Pollution from Ships, 2002, available at http://www.imo.org/Conventions/contents.asp?doc_id=678&topic_id=258.
^[13] Id.
^[14] Id.
^[15] 33 U.S.C. § 1908 (2007).
^[16] DOJ, supra note 2.