R.G. Edmonson | May 20, 2011 11:14AM EDT
MOL will pay $1.2 million to settle numerous allegations that it violated the Shipping Act, one of the largest penalties in Federal Maritime Commission history.
The compromise agreement announced by the FMC on Thursday nearly equals all other penalties the commission has collected over the past three years. Under a settlement, a carrier or non-vessel-operating common carriers agrees to cooperate a pay penalties, but admits no guilt.
The FMC said the Japanese carrier agreed to the settlement after commission’s Bureau of Enforcement and area representatives found “many hundreds” of violations of the law over several years.
Mitsui OSK was cited for mis-description of commodities, unlawful equipment substitution, tariff undercharges, providing service contract service to unauthorized intermediaries, or ones that did not have licenses, tariffs or surety bonds.
FMC Chairman Richard A. Lidinsky Jr. said the penalties "should serve as a reminder" that the commission is watching carrier behavior. "If you're violating the law, sooner or later, we will find you, and the consequences can be serious," he said.