The Mediterranean Shipping Company (MSC) is facing a potential fine of USD 63 M following a Federal Maritime Commission (FMC) investigation into violations by the company of the US Shipping Act.
The FMC? investigation found 18 alleged breaches of the Act resulting from MSC? use of a ?erchant clause?to bill third parties, as well as more than 3,000 contraventions related to non-operating refrigerated containers.
The FMC launched its probe in August 2023 following several complaints from customers which related to ges dating back to 2017. The report covered issues such as third-party billing for companies that might not have been directly a part of the bill of lading, tariffs and fees for non-operating reefers, and the publication of - and adherence to - rates.
The FMC is seeking civil penalties of at least USD 63,256,853. The report also recommed the issuance of a cease and desist order. The report has now been filed with the administrative law judge at the FMC. MSC has not yet responded but is expected to appeal the findings.
