FMC seeks comments on “split deliveries”
FMC seeks comments on “split deliveries”
The U.S. Federal Maritime Commission is seeking comments on a petition for a declaratory order and rulemaking relating to the practice of non-vessel-operating common carriers rerouting the domestic inland transportation leg of a through intermodal shipment, sometimes called “split deliveries.”
Comments are to be submitted by March 13.
Investment companies Olympus Growth Fund and Olympus Executive Fund are seeking the order. The Olympus companies were major shareholders in the Global Link Logistics, and they are involved in a dispute with the current owners of the company, who contend that Global Link’s past use of “split deliveries” was improper. While the new owners say they have since discontinued the practice, they say it was not properly disclosed to them and inflated the price they paid for Global Logistics in 2006.
The Olympus companies say that Global was doing nothing other than engaging in a legitimate, 'common business practice' in the shipping business.
More on this story can be found in the March American Shipper, pages 50-53.