The High Court of Hong Kong has approved a request from Win More Shipping to serve legal papers on French classification society Bureau Veritas (BV) in Shanghai, China, for withdrawing class from the 16,000-dwt product tanker Lighthouse Winmore (built 1975), which was arrested at the Port of Yeosu under suspicion of breaking North Korean sanctions.

The papers will be served outside Hong Kong jurisdiction to Bureau Veritas Marine China’s office in Shanghai.

The move is seen as an attempt to bring BV into Win More's appeal for a judicial review of the Hong Kong flag's role in securing the release of the tanker.

Win More’s complaint is that the ship’s statutory certification under BV was valid until October and November 2019. However, BV withdrew class and cancelled statutory certification in February last year following the vessel’s arrest for sanctions violations in December 2017.

Win More alleged to the High Court of Hong Kong that Chan Kit, vice president of BV in China, admitted over the telephone that BV had withdrawn class because of its concern about the stigma caused by the detention of the vessel due to the suspected violation of the United Nations Security Council Resolutions.

Concerns

Win More claims that Kit allegedly told the company that there was concern over a possible negative impact on BV’s share price.

Win More contends that BV could only withdraw class if it inspected the vessel and found it out of compliance with the statutory requirements.

However, BV has not yet had the opportunity to testify against Win More’s allegation.

The consequence of BV’s decision to withdraw statutory certification was that the Lighthouse Winmore was no longer in compliance with the conditions of ship registration under the Hong Kong flag.

The ship also fell out of the conditions of insurance and of the Maritime Labour Convention, which could have provided for the repatriation of the Lighthouse Winmore crew.

The Hong Kong administration wrote to Win More declaring its intention to withdraw registration of the ship, although this threat has not yet been carried out.

Win More is attempting to bring the judicial review against the Hong Kong flag, claiming it did not take the necessary measures to secure the release of the vessel.