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Insurance BulletinIssue 23 - February / March 2013

Welcome to Seacurus Monthly, where we once again look to get behind the news to examine the implications for you and your business.

In the past couple of weeks you may have noticed that we have expanded the scope of our daily bulletins to include issues relating to seafarer abandonment and the Maritime Labour Convention. As Seacurus rolls out its latest products, we hope that this information and insight will further assist and support you.

It has been a busy period for both seafarers and piracy, and we hope this month’s bulletin provides you with valuable insight. The security problems off West Africa seem to be escalating on an almost daily basis, and with brutal robberies evolving into hostage taking we look at the implications for the industry.

Another key issue is the development of effective rules for the use of force where owners use armed guards – a recent conference saw progress in producing standards which can assist those protecting vessels, while

also providing some reassurances for owners and Masters.

We hope you find this issue of interest and please do forward it on to your colleagues.

Welcome

Captain Thomas BrownManaging Director – Seacurus Limited

East Does Not Meet West - we explore where the similarities between West and East African piracy start and end

Ransom Demand – we look at the increasing trend towards ransom demands on the West Coast of Africa

Silver Cloud and Black Linings – we question whether the scaling down of naval forces will lead to a resurgence of piracy activity in the Indian Ocean

Forcing A Deal – standard rules for the use of force rumbles on

Sea Change – is the ratification of the MLC a watershed moment for seafarers working conditions at sea?

Montly News Round-up

Content


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East Does Not Meet West

The terrorism, crime and piracy problems off Nigeria and the Gulf of Guinea have once again been the focus of much media coverage and industry discussion over the past month.

While it may seem rather simplistic, it seems the biggest lessons being learned relate to the fact that West Africa is not East Africa, and vice versa. The differences of location also stretch to include very different models of criminality, but despite the differences security experts believe there are lessons which can be learned and applied to both.

Bergen Risk Solutions chief executive Arild Nodland holds the latest guidelines for vessels operating in the region - recently published by BIMCO in association with Intertanko and Nato Shipping Centre - as an indication of sharing best practices and successes in dealing with piracy of whatever kind, but the balancing acts appear to be troubling for some.

Clipper Group corporate security manager Gary Skjoldmose-Porter, believes that particular lessons transfer well. He states that BMP vessel hardening, citadels, and warning reports have real value off the West Coast, but there are still concerns as to whether the private security model off East Africa can be replicated with the same levels of success off the Gulf of Guinea.

There is a significant degree of concern and uncertainty when the issue of armed guards off West Africa is broached. According to Mr Skjoldmose-Porter the main risks are arming merchant vessels and escalating the use of violence. The local criminals off West Africa seem to love a fire fight, and will seemingly not shirk a challenge when it comes in the form of warning shots.

The answer for many has been to use imported private maritime security “brains” and local armed operative “brawn” – as private maritime security companies (PMSCs) use their own people as unarmed team leaders/advisors, managing armed local operatives onboard. There are a number of companies which believe this to be the only model which can legally satisfy the demands of working off West Africa, but there are concerns as to whether the actual standards of service will be high enough.


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Who, you may ask are the local companies, the operatives, etc and how are the weapons sourced, purchased, maintained and managed? The answer of keeping within the law may force PMSCs down this particular route, but will it deliver the quality of service, standard or protection and deterrent necessary, or is there a danger that one man’s pirate becomes another’s privately contracted armed security person? We may well soon find out.

For some the very fact that industry is yet again scrambling to find ways of getting armed guards onboard is a clear sign that not enough thinking has gone into the problem, or the solutions. Quinsec Maritime Security Management managing director John Holden says there has not been enough innovation in the Gulf of Aden and this is probably because of armed guards.

Off Somalia armed guards have worked, plain and simple – and this means that it has been unnecessary for companies to really explore better alternatives. On one hand owners transfer the financial risk through insurance, and then hedge that risk through the use of armed security. It has worked, and continues to be the most effective answer – so all parties have been satisfied, seafarers are protected whatever happens and vessels are less likely to be take. However, this rather pragmatic and effective approach has meant that the industry is left floundering in the face of a marginally altered reality – namely, nation States not allowing armed guards in their waters.

So it seems the pragmatism has led to a lack of innovation and imagination, which has seemingly left the industry undressed when having to deal with problem areas in which armed guards cannot simply be dropped onboard.

There are calls for more sophisticated options, and citadels are an option, but it is also possible to employ other solutions as well, such as tracking devices and camera systems with host governments.The situation off the West Coast is deteriorating fast, and risk experts AKE recently voiced concerns about the levels of piracy off the Nigerian coast and elsewhere in the Gulf of Guinea. The global media have become increasingly interested in the spike in piracy off Nigeria and according to the latest report from Reuters, the recent rash of attacks has shown gangs are willing to venture further afield and use more violent tactics. The International Maritime Bureau (IMB) and International Maritime Organisation (IMO) have both raised grave concerns about the situation off Nigeria’s coast and there are fears the piratical activity is evolving to embrace a heightened kidnap and ransom element.

While the situation is worsening, it seems that local governments need to explore the ways and means of policing and enforcing law and order on their waters. The Head of Maritime Security at IMO, Chris Trelawny, has said that piracy and armed robbery are shore-based criminal activities. He said while piracy thrives in Somalia because they do not have a fully functional government and the rule of law, most West African states have fully functional states with enforcement capability. Though perhaps there are questions as to how it actually operates and delivers.


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There are some signs of superficial action, and Cameroon is to host a summit on piracy in the Gulf of Guinea in April. The aim will be to thoroughly analyse this issue as part of resolutions of the UN Security Council on piracy and see to what extent nations can build a comprehensive and integrated strategy to combat piracy.

This is progress, but in the meantime seafarers and shipping is suffering. Once more it seems we seem to be mired in a piracy problem which cannot be fixed without addressing the root causes. Whether it is ships off Nigeria or Somalia, without criminal prosecutions, an active coastguard, and realistic long-term solution, then pirates will remain and seafarers, vessels, and cargoes will be taken. It is a very simple equation, without protection, without deterrent then shipping is left without a hope.

As discussed elsewhere, the West African piracy problem appears to be growing and evolving constantly. Part of this has seen a trend toward the more familiar model of holding crew hostage and seeking to secure a ransom for their release.

This worrying trend has seen the maritime criminality in the region shift from its original terror based roots, through theft of cargoes to this more sinister and concerning new iteration.

Pirates last month captured the anchor handling vessel “Armada Tuah 101”, after attacking the ship some 60 miles southwest of Brass, Niger Delta. They then abducted and held six seafarers (two Indians, one Russian and three Ukrainians) captive, reportedly refusing to release them unless the equivalent of $1.27 million was paid. Thankfully despite the high ransom demands the abducted seafarers were eventually safely released, unharmed. There are differences of opinion as to how they were freed, sources claim a ransom was not paid, however local sources state the leader of the gang agreed on a settlement fee of N1m (US$6,000) ransom.

Ransom Demand


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It was further claimed that local Government officials facilitated the release of the expatriates with the nominal payment to cover the kidnappers “out of pocket” expenses, as they had been caring for the seafarers and feeding them.

There are concerns that increasingly local Nigerian, and West African bandits will see maritime piracy and kidnapping for ransom as a means of generating illicit income. Indeed, as the local governments roll out efforts to clamp down on the trade of stolen oil cargoes, then pirates may see seafarers as the next best target.

The past month has seen other areas of piracy grabbing the headlines. Piracy in Southeast Asia was also reported to be on the rise, with marine gas oil increasingly targeted for theft and resale, according to CNN reports.

The rising price of fuel, along with the increasing adoption of slow steaming, are making ships more appealing and more vulnerable to attack. “The statistics would seem to suggest it’s on the rise in Asia,” said an anonymous source from a Hong Kong-based ship management company. “It’s now very dangerous for slow vessels with low freeboards.”

More specifically, ships are being warned of piracy incidents off Thailand’s eastern seaboard. Pornsil Patcharintanakul, a vice-chairman of the Thai Chamber of Commerce, told local media that maritime crime and robberies have recently picked up. “Commodities such as beans and sugar can easily be resold after the robbery,” he said, adding: “I don’t want to see Thailand becoming more like Somalia. “It is very bad news for Thai manufacturers that this problem has returned,” said Paiboon Ponsuwanna, chairman of the Thai National Shippers’ Council, adding that agricultural products are the main target.


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Silver Cloud and Black Linings

Many within the industry have expressed dismay at the laissaz faire and even triumphal view that some have taken to what they have deemed the “end of Somalia-based piracy”.

Despite the protestations of the military, and calls to ensure that shipping does not lapse into complacency, there have been some who have seemingly enjoyed crowing about their belief that the Somali pirates have been defeated.

While much has been made of the private security element in the fight against the pirates, the fact remains that the almost unprecedented massing of military assets has played a key role in tackling Indian Ocean piracy. The number of hijackings in the region has dropped, so too the number of attempted boardings, and there are several reasons for the drop and ongoing naval patrols have definitely deterred pirate attacks.

The heavyweight presence of international navies has been telling. NATO and the European Union have maintained a presence of 10 to 15 ships in the region consistently since 2009 - along with assets from other nations, including Russia, China and South Korea. These have combined to keep the pirate threat in check. The combined 25-plus naval ships escort merchant traffic through the region and maintain patrols while a smaller number are out hunting, interdicting, taking out the pirates in an attempt to stop the Pirate Action Group packs from going to sea.


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However, this could be all set to change if international military budget reductions force a reduction in ships patrolling in and around the Gulf of Aden. According to Hans Tino Hansen, managing director of Copenhagen-based RiskIntelligence, declining international defense budgets could see navies pressured to redirect sources away from Somalia, setting the stage for increased pirate attacks.

Mandated U.S. military cuts could also reduce U.S. Navy presence in the HRA, Ships in the US 5th Fleet contribute heavily to the anti-piracy mission, but defense officials have openly stated that cuts in operational funding are coming, as the Navy leadership’s look to prioritise funding to forces operating forward. There is apparently pressure in the US to fund carriers and submarines, and so the counter piracy operations could be pulled or reduced.

Hansen believes the fate of Somali piracy will rest on what happens with the cuts. If the military presence remains, then there is a chance of consolidating the gains made, if there is mass withdrawal, then it is likely the pirates will re-emerge once more. Even a small reduction of ten to fifteen ships would limit the “hunter/killer/arrester” capability and put the military efforts on the back foot, simply shifting back to the model of focusing on piracy protection rather than piracy hunting. This would, according to experts, move us back to the position in 2009/10 and would afford pirates far more opportunities to emerge from Somali and to attack merchant shipping.

Retired U.S. Navy Rear Adm. Terry McKnight, the author of Pirate Alley, has been vocal and outspoken on the matter. McKnight, the first leader of Combined Task Force 151 in U.S. 5th Fleet, the Navy’s Middle Eastern arm responsible for the Persian Gulf and the waters off Somalia in 2009, believes that any cuts to the Indian Ocean military efforts will seriously endanger shipping.

According to McKnight, “If you take the cops off the streets the criminals will return” – and that appears to be the stark reality of the current precariously balanced security situation. If the military is able to “hold the line”, then it could have long term effects on the pirate gangs, if however they lessen their presence, then we could be set to experience a rekindling of the darkest days of hijacks and hostage takings.


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A set of Rules for the Use of Force which will set parameters under which armed guards can respond to violent act against the vessels they are protecting is understood to be set for launch in the summer. The contentious subject was the topic of debate at a legal conference recently and the team behind the rules is reportedly working hard to dispel any myths and misconceptions around the feasibility of a universal right to self-defence.

The conference onboard the HQS Wellington in London was held to provide feedback from leading lawyers and academics, and to provide key members of the shipping and maritime security industries with a chance to openly exchange views and experiences.

Lawyers, working with industry stakeholders, including shipping organisations, flag states, and the private maritime security industry in the form of SAMI, have created key rules, in a document called the “100 Series Rules”.

The aim of these rules has been to provide some clarity and certainty as to when and what force can be used by armed guards when pirates attack. There have long been concerns, uncertainty and serious questions of liability over the arming of vessels and it has been consistently stressed that no maritime security action is justified in exceeding the use of minimum force – but the concept was not fully formed or codified.

Without a clear, united vision of what could be considered acceptable, private maritime security companies (PMSCs) are required a detailed, graduated response plan to a pirate attack as part of its team’s operational procedures. This has led to concerns that as to how a specific flag State may assess their acceptability, and of how they may be interpreted in a court of law if something does go wrong.

Much of the RUF work rests on the concept that if an individual believes their life is under immediate threat they should be reassured that if they have to squeeze the trigger they can do so within an established set of rules. The most basic premise of the rules is that they do not provide any form of immunity from prosecution – but they provide some form of defence of actions taken if things do go wrong.

The author of the 100 Series Rules Barrister-at-Law, David Hammond claims that despite lots of good guidance available on using force, the lack of rules is hugely significant. Where there are no rules we can perhaps expect uncertainty, and there is clearly no place for doubt, ambiguity and indecision when lives are at risk – whether they be seafarers, guards or pirates.

Forcing A Deal


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The Rules have passed through rigorous legal scrutiny, and Steven Kay QC, of 9 Bedford Row has been involved in assessing the objectivity of the “reasonable and necessary” test for use of force in lawful self-defence. According to Kay, international law clearly provides an objective test as to the use of force, it has to be reasonable, necessary and proportionate – the most common theme that runs through all of the international examples, and something which is at the heart of the development of the 100 Series RUF.

Another extremely serious issue facing shipping has been the concept of “Joint Criminal Enterprise” – many a Master and shipowner has been concerned about this concept, whereby they can be implicated in cases where armed security has acted excessively. Kay stressed that parties will only be jointly commonly liable if there has been a joint criminal enterprise, and so the Master must have intentions to act wrongly, however the guards exceed the rules without the compliance of the Master that is an element of defence and formal RUF should provide Officers with reassurance that they can look to the rules to help keep them on the right side of the law.

This could indeed be reassuring to the Master and owner, and clearly suggest that any lack of rules could result in Master being more vulnerable to prosecution – “were they in it together?” could be a question asked, and the answers could perhaps be ambiguous.

Responsibility does not rest on the Master alone and liability can extend outwards across an organisation in the guise of the Corporate Manslaughter Act, and without some form of RUF it would almost be impossible for senior management to be sure that armed guarding activities are intended to be performed to their satisfaction and with due regard for the relative duty of care by the corporate body.

It remains clear that there are yet no clear answers, but whether from a legal, operational or academic perspective there was a strong impression that having RUF helps all stakeholders to stay within the law, but of course there are no guarantees.

The move towards standard RUF has been based on strong industry consensus prompted by what Stephen Askins, of the law firm Ince & Co sees as a “gentle militarisation of shipping over past 2 years”. The work to ensure that all partners are satisfied is still ongoing. This is of course a highly complex and contentious issue – as such, moving the shipping and security industries together in one united view was never going to be straightforward.

The work towards producing the 100 Series Rules is progressing and more details can be found at the dedicated RUF resource, http://goo.gl/y3I8Z


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Doctor Samuel Johnson, the renowned 18th Century writer, probably best summed up the realities of life at sea. Johnson observed that, “No man will be a sailor who has contrivance enough to get himself into a jail; for being in a ship is being in a jail, with the chance of being drowned. A man in a jail has more room, better food, and commonly better company”.

While Johnson may have had a point, finally the time is rapidly approaching where poor treatment at sea becomes a thing of the past. Soon the Maritime Labour Convention (MLC) will be upon us, and it seems that things are going to change – but what difference will it make? Will the “Super Convention” make life not just bearable, but attractive too and what about the age old problems of seafarer abandonment?

It is perhaps understandable that seafarers have all too commonly suffered at the hands of unscrupulous owners, weak Flag States, or even just incompetency – the nature of the job has always made it hard to pin standards of care down.

There have been real barriers to the protections afforded to seafarers – there has been the rather awkward legal position of seafarers and the long absence of a globally accepted and readily enforceable regulatory regime combined to ensure that seafarers often find themselves in uncertainty and often vulnerable circumstances for seafarers.

There are seafarers who suffer and experience unacceptable working and living conditions, and for whom in the

world pre-MLC were trapped by overlapping and sometimes conflicting rules and

complex technical enforcement procedures. With combinations

of contracts involving several different parties it has been

seemingly impossible to safeguard the best interests

of seafarers.

Mind you, we should perhaps also note that seafarers too have perhaps been their own worst enemies.

Sea Change


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As owners have cast the net wider, and perhaps cast their eyes downwards to ‘lesser’ calibre candidates there are some who believe we have created an underclass of mariners who have been unaware or ignorant of their rights, or unwilling to pursue them. All in all, a rather unpalatable cocktail and one which will hopefully MLC will banish from the industry .

Today, as the months countdown to August 2013, we are on the brink of these weaknesses, oversights, mistakes, errors and omissions being wiped clean from the slate. We will start again – with legally binding contracts, recognition, responsibilities and a workforce increasingly savvy with what they are owed.

As the “Super Convention” tag dictates, MLC is crammed with, and considers almost all the fundamental principles for seafarers. From employment rights and social conditions, the appointment of a ship’s health officer, guidelines on wages, hours of work, national insurance contributions, health, age restrictions, leave, minimum sizes and standards for crew accommodation, food and catering requirements, recreational facilities, repatriation, medical care, crewing levels and so on, and so on, and so on. There is a lot to take in, and indeed there is much to be done to ensure owners do not run into the dreaded detention fear which will accompany the arrival of port State inspections and enforcement measures.

We all know that there are some companies who have been pretty advanced in this kind of care and welfare for years, and so they will find it easy to comply. While some will hold off as they juggle other pressing business and operational concerns, and bringing up the rear will be the ragged, lowlife owners who couldn’t care a jot.

In the past the substandard operators would have been able to avoid the issue, perhaps they would rush to the flag of a nation, which would be more relaxed about such matters or they would trade in areas which did not pay much regard. Now though the noose is tightening as the convention contains a “no more favorable treatment clause” so vessels everywhere regardless of signatures will be assessed. Finally, it seems we will very soon have a system which is worthy of seafarers, maritime professionals, the industry and indeed the modern society which so relies on shipping to be more than a floating sweatshop.

There will undoubtedly be more twists and turns and some serious headaches for any owner or operator not prepared for the arrival of the new requirements, or who may have made mistakes in their preparation. Over all it seems that MLC and the benefits it will bring will offer opportunities to raise the bar, and for the good operators then they will no longer be burdened by the potential competitive disadvantage of doing the right thing by their people.


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Piracy and Maritime SecurityCrew BailThe crew of the maritime security vessel, “Myre Seadiver”, have been released from Nigerian jail. Moscow welcomes the decision of a court in Nigeria’s Lagos to release 15 Russian sailors on bail until the next hearing scheduled for April 8, a source in the Russian Foreign Ministry said. Meanwhile, Nigeria has not removed its arms smuggling allegations against the crew. The MV Myre Seadiver was arrested in Lagos in October of 2012. Moscow insists that the arms found onboard were meant to be used against sea pirates and had been declared beforehand.http://goo.gl/66AkJ

Technology to RescueWhile the debate rolls on about using armed guards to protect vessels from West African pirates, many foreign ship owners also use various technological tools in the fight against pirates. According to local media, they equip their ships with modern passive protection devices such as acoustic cannons. This device produces a high-pitched sound at high frequency. The volume of the sound produced by the device is 150 decibels, and as a result, a pirate gets a painful shock. A microwave gun that makes a person’s cell fluid boil is considered a more effective weapon. Various international companies are developing special navigation and tracking equipment too.http://goo.gl/wPa6j

Piracy AwardA US Coast Guard first class petty officer, has been selected for a prestigious award, after he helped rescue the crew of a German-owned freighter, which was being attacked and had been boarded by Somali pirates in the Red Sea. For his efforts, officer Tatroe won the Grateful Nation Award, presented by the Jewish Institute for National Security Affairs. The Grateful Nation Award has been given annually since 2003 to six service members who have distinguished themselves during the War on Terrorism. Honorees come from all five branches of the military and the Special Operations Command. Winners are enlisted, non-commissioned officer and junior officer service members.http://goo.gl/jYkyH

Monthly Roundup


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Training EvolvesUK maritime training provider, Videotel, has updated its ‘Piracy and Armed Robbery’ training programme in response to the change in piracy patterns throughout the world. As more crew are kidnapped in another raid on a vessel off the coast of Nigeria, ship owners, ship managers and operators are once again reminded of the need to take steps to protect against the safety of their crew, cargo and vessels. Videotel’s updated programme is designed to assist shipping companies and their crews to safely transit pirate zones anywhere in the world. Available in all multimedia formats, it provides a broad understanding of piracy today and how the shipping industry is responding.http://goo.gl/InSnf

Somali AttackNATO SC reports that pirates attacked a merchant vessel at 1645 UTC off the Somali coast yesterday, February 18th. The reports states that pirates in two speed boats approached the merchant ship in position 07:14.N-052:17.2E and that weapons were used during the attack. The hijack was evaded due to the merchant ship enforcing anti-piracy measures on board. The report further states that the suspected pirates have been apprehended.http://goo.gl/X4JTo

Remains Sent HomeThe remains of a Filipino seaman killed in a hijacking incident in Nigeria will soon be brought home, an official of the Department of Foreign Affairs (DFA) said. DFA spokesman Assistant Secretary Raul Hernandez told reporters in a briefing that the necessary documentation is just being completed. The Filipino victim was killed on board the chemical tanker Pyxis Delta by a pirate in Nigeria last week. He was declared dead on arrival at the hospital.http://goo.gl/nmMpo

Piracy WorkshopNATO Shipping Centre and MPHRP held a joint anti-piracy workshop in Seoul, Korea on 5th February entitled “Prevention is Better than Cure”. The event was jointly funded by MPHRP and the Korea Shipowners’ Association (KSA). This workshop, which has been held previously in locations including Delhi, Mumbai, Hong Kong, Manila and Odessa, follows the voyage of a vessel through the Gulf of Aden with open discussion amongst the panel, host and audience on topics such as preventative measures, armed security, capture and negotiation, looking at the practical and humanitarian angles of each phase of the journey. http://goo.gl/Rre6F


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Coming TogetherShell, BP, Maersk, Stena and the Japanese shipping companies NYK, MOL and “K” Line have announced their joint collaboration with the United Nations Development Programme (UNDP) to support job creation and capacity building projects in Somalia. This collaboration between leaders in the shipping industry and UNDP is the first step in an initiative, launched in February 2012, to promote rebuilding of a stable Somalia and thus reduce the risk of piracy.http://goo.gl/z5KMj

Children in PiracyAccording to the Failed States Index, 6 countries most affected by piratical activity fall within the top 15 most fragile states. This includes Somalia, Cote d’Ivoire, Guinea, Pakistan, Yemen and Nigeria. Piracy is not the main factor as to why these countries are fragile, but according to a leading University study this demonstrates the importance of looking at the broader social, political and economic environment that enables piracy - such as children seduced into piracy.http://goo.gl/k5hNU

Security AidU.S. boosts Nigerian maritime security training with U.S.$1 million aid spend- The United States Government has pegged the total amount spent on the intensive training for personnel of the Joint Maritime Security Training Centre (JMSTC), the purchase of six 25-feet light patrol boats and spare parts at about $1million. The US Consulate General announced the aid at the commissioning of two additional speed patrol boats.http://goo.gl/117bq

Droning OnFacing growing pressure to lift the veil of secrecy around targeted killings overseas, the US government is considering shifting more of the CIA’s covert drone program to the Pentagon, which operates under legal guidelines that could allow for more public disclosure in some cases. The US military has used remotely piloted aircraft to surveil Somali pirates at sea and to monitor threats to shipping in the Persian Gulf.http://goo.gl/mbnLP

Haunted StateThe recent piracy attacks off Guinea Bissau should come as no surprise that a country haunted by the aftermath of civil war, challenged by military coups, mired in corruption, and facing the undertow of poverty would be a prime candidate for maritime crime. Add a geographic location on the nexus of transportation routes, but off the media’s political radar, and you have a near-perfect combination for what has become a piracy and drugs hot spot.http://goo.gl/mwmUI


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Arms RaceUnder the guise of deterring pirates, it is alleged that the UK government has kept selling arms including sniper rifles, pistols, combat shotguns and assault rifles to an illegitimate regime born out of a military coup in Madagascar, according to an informed source. The country has been in a state of chaos with smuggling gangs running most of Madagascar’s affairs, yet and despite all of this, the UK government has kept its arms exports to the country.http://goo.gl/lG93X

Numbers GameHow many men is enough men? That was the question bouncing around the conference circuit this week - can you protect a vessel as effectively with three armed guards as you can with four? The answer seems so obvious that you almost think it could be a trick question - but it certainly seems to have confused BIMCO chief security officer Giles Noakes who having admitted in the past that he could not see how fewer than four guards could provide 360 degree visibility from a vessel, has now decided that the number of guards is something for the shipowners to decide on - many are now using three-man teams, and BIMCO believes that is a decision for the company to make.http://goo.gl/TwDaS

Cash BackThe stranded crew of an Algerian ship, “MV Blida”, have obtained a court order stopping the owners from receiving payment from its sale. The ship that was hijacked by Somali pirates and held in captivity for 11 months was sold at $1,000,000 (about Sh87 million) following a petition by the crew. The abandoned crew include 10 Ukrainian and three Kenyans who served in the ship that was ferrying 19,000 metric tonnes of clinker to Tanzania. A Mombasa court gave the sailors orders to sell the ship after losing contact with the owners after offloading their property. The crew is claiming an accumulated salary of $200,000 (Sh17.4 million) from proceeds of the sale.http://goo.gl/fIph5

Lords DebateAs the issue of floating armouries and export licenses continues to vex UK security firms, the House of Lords debated the fact that guidelines for private security firms guarding ships against pirates must be made clearer or people will get into “very, very serious difficulties” by breaking international law, a former head of the Royal Navy has warned.Lord West of Spithead, a former security minister, said a large number of companies were doing things “beyond the law”. Conservative Lord James of Blackheath raised fears that redundant Armed Forces personnel working in private security firms were in danger of posing an “extreme hazard... to themselves and to this country’s reputation”.http://goo.gl/AACs2


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Pirate BarteringAs the trial of 120 Somali pirates begins in Mumbai, the Indian government has received a communication from pirates in the north-east African nation offering the release of 46 Indian sailors held hostage in return for the captured pirates’ freedom. The message proffering a swap was sent mid-January to the Union ministry of shipping, said security establishment sources. It came days before the trial of 120 pirates started in a Sewri fast-track court. http://goo.gl/cS5lP

Sentences UpheldA French appeals has upheld prison sentences for four Somali men and acquitted a fifth convicted of seizing a French sailboat in the Gulf of Aden in 2008 and holding two people hostage, AFP reported. A Paris court had previously sentenced the five men to prison terms between four and eight years, and acquitted a sixth defendant.The group of pirates captured the sailboat in the Gulf of Aden in September 2008 and held its two passengers hostage on the boat for two weeks before a French navy commando freed them in a rescue operation that killed one pirate. The pirates requested a $2 million ransom, which was never paid.http://goo.gl/0QoUB

10 YearsThe Japanese lay judges who sentenced two Somali pirates to 10 years in prison Friday said that while they had initial qualms about a case they considered foreign, they came to believe it was their duty as part of the international community to try the defendants. They also expressed hope that both Mohamed Urgus Adeysey, who said he is 23, and Abdinur Hussain Ali, 38, repent while in prison and use their time behind bars to learn basic skills, including reading and writing, so they can return to Somalia and help develop their troubled country. The two had sought to hijack a Bahama-registered tanker operated by a Japanese company. http://goo.gl/KIbtP

Mission UnaccomplishedDespite positive trends in the fight against piracy, it is premature to claim “mission accomplished” in the fight against piracy for several reasons. First, although attacks have dropped, they have only returned to levels witnessed in 2009, when the threat posed by piracy featured prominently on the international agenda. Second, criminal networks adapt and shift routes in response to enhanced policing and enforcement. In Somalia, pirates have pushed operations further offshore and beyond the Gulf of Aden. At the same time, the Gulf of Guinea off the coast of Nigeria has emerged as the new piracy hotspot. http://goo.gl/GtSOO


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Tech WarsThe sophistication of onboard anti-piracy technology is increasing but the design and operation of cargo vessels remains a challenge to its deployment. Companies that say they have unique insight or advanced analytics are mostly indulging in advanced marketing, says one maritime security expert. “After a lot of investigation, we’ve found the most effective non-lethal deterrent is a well-aimed warning shot,” says another. However, there are those in the industry that continue to challenge this established wisdom, and as a result onboard anti-piracy technology is getting more sophisticated. The challenge is to see how far it can be taken on a cargo ship. http://goo.gl/Zqk1q

Maritime Labour Convention and SeafarersArrested FleetBecause of the debts of Independent Shipping, five cargo ships have been docked at the port in the south of the UK for about two weeks. As noted by European media, about 40 sailors are forced to live on board their vessels. The crews are composed mainly of the citizens of Russia and Ukraine. The sailors have not seen any wages for several months already, and they are unable to return home. The men do not have enough funds to buy food. A UK charity organization provides assistance to the seamen. The owner of the shipping company, Stephen Dudman, promised to deal with the debts of the company during the shortest time possible.http://goo.gl/qco6L

Counting DownClassification Societies are gearing up for the Maritime Labour Convention (the MLC), and the Russian Maritime Register of Shipping has begun a countdown which now shows just 175 days left until the “super convention” comes into force. With each member-state being held responsible for ensuring implementation of its obligations under the MLC on ships flying its flag there is still much work to be done in these 175 days to ensure that MLC requirements are met and certification issued. http://goo.gl/OC0Pn

Nigeria Ratifies MLCThe Nigerian Minister of Labour & Productivity, has begun the process of ratifying the International Labour Organisation’s Maritime Labour Convention 2006 (MLC2006). The MLC will come into force on 20 August 2013, as the required 30 member states have ratified the convention, which provides comprehensive rights and protection at work for the world’s more than 1.2 million seafarers. The Convention sets out seafarers’ rights to decent conditions of work on a wide range of subjects, and aims to be globally applicable, easily understandable, readily updatable and uniformly enforced. It has been designed to become a global pillar of the international regulatory regime.ttp://goo.gl/l4czk


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Practical GuidanceA number of organisations are concerned about the increased levels of detentions which MLC2006 may likely bring. Class Societies are trying to help their clients, on one hand you have Lloyds Register working hard to provide easy to read regulation guides and checklists which, as Nigel Carden of Thomas Miller P&I says “gets rid of some of the verbiage and brings it down to bullet points”. On the other, you have the probability that some are going to drill down and interpret the rules in quite different ways, especially when it comes to the ILO Maritime Labour Convention (ILO MLC). Nick Whitear of Thomas Miller P&I says owners should engage in compliance now.http://goo.gl/jHdBB

Seafarers AbandonedForeign seafarers are being left stranded at ports across the UK after their shipping companies flounder on the brink of bankruptcy. Angry, confused and disillusioned crew members of various nationalities including Russian, Ukrainian and Belarusian, have been living in their vessels for months on end without being paid wages and without an idea of when they can return home. As well as being unable to feed themselves, the crewmen cannot send funds to their families, meaning rent bills go unpaid and their children can no longer go to school. The ships have been arrested by the Admiralty Marshall, a branch of the Ministry of Justice, due to unpaid bills and debts. http://goo.gl/OgHc9

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