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Settlement in Arrest of Egypt Tug [Update]

By MarEx 2014-06-10 10:38:00

Mamdouh Maritime Legal Solutions (MMLS) moved for release of the arrested Egyptian tug, Sea Lady, after successful negotiations resulted in an undisclosed financial settlement between Admiral Salem El Rafie, Executive Manager of United Captain Group Oil Services of Alexandria and Ships & Boats Oil Services management.

High Judge Motaz Bek Al Zohairy ordered the tug's release from the Zeitco Oil Marina in Gabal el Zeit, under Decision Number 16/2014 of the Red Sea Court on June 7, 2014.

Sea Lady was first arrested on June 2 and a subsequent arrest was made on May 14 at the Zeitco Oil Marina in Gabal el Zeit. The claims against Ships & Boats Oil Services for outstanding debits owed to United Captain Group totaled $646,000 (USD).

A reader following the case previously commented, "The photograph of the offshore sea going tug looks amazing and what a pity it is arrested. Are there any other trades other than transportation where such arrests can render money making machinery inoperative, cutoff their earnings and leave the seafarers without jobs. Are there no alternatives to arrests such as operations by solicitors, independent experts etc.?"

MMLS Executive Director, Said Mamdouh responds, "When we see owners refusing to uphold their financial obligations, whether that is in the form of debits, or sea men salaries, benefits, etc., our clients are faced with no other recourse than the legal system, which provides the venue for securing their rights. In this case, the guaranty of those rights was the owner's property; the tug. When a ship owner use the benefits of business built on good faith and betrays a signed contract, further refusing to pay its debits for a year, that ship owner is subject to legal recourse; it's a matter of law."