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Chief Engineer in Illegal Fuel Deal

Published Apr 18, 2014 10:55 PM by The Maritime Executive

Singapore’s Corrupt Practices Investigation Bureau reports a deal that was doomed to fail when Pittis Stavros, chief engineer of the MV Sakura Princess, was involved in an operation to deliver a load of cargo for charterer V8 Pool. 

Stavros took an opportunity to make a business deal when arrangements were made for 500 tonnes Marine Fuel Oil 380 to be supplied to the vessel. A deal was struck with the bunker clerk and marine surveyor to sell back 200 tonnes of the fuel oil to the fuel supplier, thereby supplying only 300 tonnes of the fuel oil to the vessel. This is known as a “buy-back” arrangement in the bunkering industry, where fuel is being “sold” back to the company supplying it. 
 
The Corrupt Practices Investigation Bureau (CPIB) mounted a joint operation with the Maritime and Port Authority of Singapore (MPA) on 10 January 2013, when arrangements were made for this illicit transaction to take place. The deal was struck as the parties involved colluded to ensure that only 300 tonnes of fuel oil was supplied to the MV Sakura Princess instead of 500 tonnes ordered by V8 Pool. The independent marine surveyor had under-declared the amount of fuel remaining in the vessel and the bunker clerk had prepared false documentation. Raids were conducted on the vessel and the suspected parties were arrested and brought back to the CPIB for investigation. 
  
For his scheme, Stavros was charged on 23 May 2013 with one count of Criminal Breach of Trust as a Servant and he was found guilty on 10 April 2014.
 
Singapore has always adopted a zero tolerance approach towards corruption and criminal activities.