Corporate Crime Case Database
Consistent with the Department’s ongoing commitment to transparency in corporate crime cases, the DOJ launched a new case database. While it is still in the process of being populated, it will eventually contain the significant, relevant cases from each component and U.S. Attorney’s Office, resolved since the beginning of 2023.
United States v. Prive Overseas Marine LLC, et al.,
On May 21, 2024, Prive Overseas Marine, LLC, and Prive Shipping Denizcilik Ticaret A.S., pleaded guilty to violating the Act to Prevent Pollution from Ships, obstructing justice, and conspiracy (33 U.S.C. § 1908(a); 18 U.S.C. §§1505, 371). Sentencing is scheduled for September 26, 2024.
The two corporations were owned by the same parent company and were involved in the ownership and management of the M/T PS Dream. Prive Shipping was a Turkish company that served as the registered operator of the vessel, until transferring its role to Prive Overseas Marine, a United Arab Emirates successor corporation. The companies through their agents and employees conspired to dump oil residue waste overboard, failed to accurately maintain the ship’s oil record books, and obstructed the U.S. Coast Guard’s investigation.
The U.S. Coast Guard Investigative Service and the U.S Environmental Protection Agency Criminal Investigations Division conducted the investigation.
United States v. Empire Bulkers Ltd., et al.
On January 8, 2024, Empire Bulkers, Ltd., was arraigned on probation violation charges. The court sentenced the company in January 2023 to pay $1 million fine and complete four years of probation, subject to the terms of a government approved environmental compliance plan (ECP) to include independent ship audits and supervision by a court-appointed monitor (CAM). The probation allegations, include the following:
1. Empire Bulkers failed to promptly notify the CAM of all reports of non-compliance received from employees. Empire Bulkers waited approximately 14 days before providing the CAM with a report that the Chief Engineer of the M/V Panagiotis discharged bilge water overboard in violation of MARPOL and the ECP.
2. Between October 5, 2023, and October 19, 2023, Empire Bulkers conducted an undisclosed and unilateral investigation into allegations that the Chief Engineer of M/V Panagiotis committed a deliberate violation of MARPOL and the ECP.
3. Empire Bulkers refused to allow the Third-Party Auditor to attend and audit shoreside training required under the ECP.
Empire operated the M/V Joanna, a Marshall Islands registered Bulk Carrier, owned by Joanna Maritime. Between October 25, 2020, and March 11, 2021, the companies tampered with required oil pollution prevention equipment and falsified the ship’s Oil Record Book. The Coast Guard found that the crew bypassed the ship’s Oily Water Separator by inserting a piece of metal into the Oil Content Meter so that it only detected clean water instead of what was the actual overboard discharges. The defendants falsified the log and sought to obstruct the Coast Guard’s inspection.
The defendants also violated the PWSA by failing to immediately report a hazardous situation that affected the safety of the ship and threatened U.S. ports and waters. During the inspection on March 11, 2021, the Coast Guard discovered an active fuel oil leak in the ship’s purifier room that resulted from disabling the fuel oil heater pressure relief valves, an essential safety feature designed to prevent catastrophic fires and explosions. The companies pleaded guilty to violating APPS and the Ports and Water Ways Safety Act (PWSA) (33 U.S.C. § 1908; 46 U.S.C. § 70036).
The U.S. Coast Guard Criminal Investigations Division conducted the investigation.
United States v. Empire Bulkers Ltd., et al.
On January 19, 2023, a court sentenced. Empire Bulkers Ltd., and Joanna Maritime Limited. Each will pay $2 million ($1 million each) and serve four years of probation subject to the terms of a government approved environmental compliance plan to include independent ship audits and supervision by a court-appointed monitor. The companies pleaded guilty to violating APPS and the Ports and Water Ways Safety Act (PWSA) (33 U.S.C. § 1908; 46 U.S.C. § 70036).
Empire operated the MV Joanna, a Marshall Islands registered Bulk Carrier, owned by Joanna Maritime. Between October 25, 2020, and March 11, 2021, the crew tampered with onboard pollution prevention equipment, and falsified entries in the ship’s oil record book. The Coast Guard found that the crew bypassed the ship’s Oily Water Separator by inserting a piece of metal into the Oil Content Meter so that it only detected clean water instead of what they actually discharged overboard.
The defendants also violated the PWSA by failing to immediately report a hazardous situation onboard the ship. During an inspection, the Coast Guard discovered an active fuel oil leak in the ship’s purifier room that resulted from disabling the fuel oil heater pressure relief valves, an essential safety feature designed to prevent catastrophic fires and explosions.