FDB fined $100K for non-compliance

Fiji Development Bank has been ordered to pay a $100,000 fine to Fiji Ports Corporation Limited (FPCL) for failing to comply with the removal notice for the sunken MV Tunataki vessel.

The FPCL took FDB to court for failing to respond to several notices of the removal of the vessel from the North Anchorage in Suva.

The ruling was delivered by Judge Justice Vishwa Datt Sharma at the High Court in Suva last Thursday.

FCPL was represented by Patel Sharma Lawyers while FDB was represented by Raitivi Akosita Vakacokailagi.

On April 8, 2010, the vessel was submerged and later sunk due to water ingress through the hull and engine room. A removal order was sent to FDB on April 15, 2010, asking them to remove the ship as it was registered as the lawful and rightful owner.

In a statement of defence, FDB denied this, saying the vessel was registered as a mortgage for the repayment of a debt from Salia Basaga Shipping Limited.

They argued that they sold the vessel to Japtec Hire, an enterprise that dealt with the repair and maintenance of electronics goods and electrical power installations.

The plaintiff argued that FDB had a statutory Registered Mortgage No 15151 duly registered with the Registrar of Ships on July 7, 2000.

They argued there may have been attempts to transfer the ownership of the vessel to Japtec Hire, however, the transfer was incomplete.

Records at the Maritime Safety Authority of Fiji (MSAF) showed this. In addition to the fine, FDB was also ordered to pay $20,000 in interest and other costs incurred by FPCL for removing the sunken vessel.

This included damage done to the environment and its surroundings.

The court has ordered FDB to pay the fine within 14 days.

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