FMC, EMPIRE UNITED LINES REACH SETTLEMENT AGREEMENT
The U.S. Federal Maritime Commission has reached a settlement agreement with non-vessel-operating common carrier Empire United Lines for alleged violations of the 1984 Shipping Act.
The FMC issued an investigation order into Empire’s operations in August. The agency’s Bureau of Enforcement contends that evidence would show that the NVO “knowingly and willfully” listed itself as a freight forwarder on numerous bills of lading between April 2, 1997 and Oct. 5, 1999 to collect unwarranted compensation from several ocean carriers.
The FMC also contends that on at least 21 occasions between April 18, 1997 and Dec. 15, 1998, Empire collected a portion of unwarranted compensation from a freight forwarder through invoices for “various alleged services.”
In addition, between Nov. 14, 1997, and July 1, 2002, Empire allegedly assessed and collected rates for shipments that did not coincide with its published tariff, the FMC said.
In the settlement agreement, Empire does not admit to any violation. The FMC’s Bureau of Enforcement believes Empire has stopped the practices that led to the investigative order and “has instituted measures to prevent the reoccurrence of such practices in the future.” Empire also agreed to pay $40,000 to agency.