Win More Shipping has lodged an application with the High Court of Hong Kong to seek a judicial review into the actions of the Hong Kong flag following the detention of the Lighthouse Winmore (built 2014) in South Korea for alleged sanctions violations.
The 16,000-dwt tanker was held at the port of Yeosu in November 2017, accused of the ship-to-ship transfer of oil to the North Korean-flag ship Sam Jong II (built 1975) in violation of sanctions imposed by the United Nations.
The vessel was under charter to a Taiwanese operator at the time the alleged incident took place.
According to Guangzhou-based Win More’s writ in December, the company’s assets were frozen and it could not secure the supply of provisions and fuel for its 23-man crew, comprising Chinese and Myanmar nationals.
Its problems deepened when insurers cancelled cover on the vessel, and classification society Bureau Veritas declassed the ship.
The owner of the Lighthouse Winmore has protested his innocence and claimed he was unaware of the sanctions violations. He requested the Hong Kong Marine Department, which manages the Hong Kong flag, appeal to the UN for vessel's the release.
Owner’s promises
The department was asked to make the appeal on the basis that the UN would consider individual cases and that the owner would promise to exercise caution and not break sanctions in the future.
In May, Win More had received notification from the Hong Kong Marine Department that it would make a decision on deregistering the ship from 22 August this year.
Win More is claiming that the Hong Kong flag did not act reasonably in failing to request the release of the ship. It further contends that the prolonged detention of the vessel is putting the crew at risk and the flag has a duty of care to seek their release.
Indefinite detention
If the vessel is kicked out of the register later this month, it is likely to mean the indefinite detention of the crew, Win More contends.
South Korea had earlier said that the vessel’s charterer was Taiwan’s Billions Bunker Group, and also claimed Swiss trader Trafigura was involved.
Trafigura has denied that it ordered the shipment of oil to North Korea and said it neither owns nor chartered the vessel.
The company said it originally sold the shipment to Hong Kong-based Global Commodities Consultants on a free-on-board basis from South Korea for delivery to Taiwan.
The Lighthouse Winmore was among 10 ships the US had urged the UN to blacklist for involvement in the illicit oil transfers in the Yellow Sea in breach of new UN sanctions.
Win More is represented by Hong Kong law firm Brenda Chark & Co
