[Federal Register Volume 68, Number 42 (Tuesday, March 4, 2003)]
[Notices]
[Page 10246]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-4960]


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FEDERAL MARITIME COMMISSION

[Docket No. 03-02]


XM International, Inc v. Brilliant Logistics Group, Inc.; Notice 
of Filing of Complaint and Assignment

    XM International, Inc. (``XM'') has filed a complaint against 
Brilliant Logistics Group, Inc. (``BLG''). XM states that it imports 
various commodities from the Far East, and that BLG is a licensed Ocean 
Transportation Intermediary (``OTI'') and importer.
    XM states that it has a service contract with COSCO Container Lines 
Company Limited (``COSCO''). XM contends that BLG's representatives 
asked XM to ship BLG cargo under its contract by claiming that the 
cargo belonged to XM or an XM subsidiary authorized under the contract. 
XM claims that BLG offered to pay it for this arrangement. XM rejected 
this proposal. XM contends that, notwithstanding its rejection, BLG 
surreptitiously shipped under XM's contract rates by using XM's 
contract number, and misrepresenting that it was XM's cargo rather than 
its own (XM advises that this practice is referred to as ``code-
loading'' in the industry). XM alleges that BLG violated section 
10(a)(1) of the Shipping Act of 1984 (``Shipping Act'') by knowingly 
and willfully obtaining ocean transportation through an unfair device 
or means. XM states that it has been damaged because when COSCO became 
aware of these shipments, it increased the contract's rates and limited 
the space made available to XM, forcing it to ship on other shipping 
lines at higher rates. Also, XM contends it lost two customers due to 
the higher prices attributable to the increased freight charges.
    XM asks that BLG be required to answer its charges, and that after 
hearing, an order be made commanding BLG to: Cease and desist from the 
alleged Shipping Act violations; establish and put in force such 
practices as the Commission determines to be lawful and reasonable; pay 
XM $1,490,000 in reparations for the unlawful conduct, with interest 
and attorney's fees or such other sum as the Commission determines to 
be proper as an award of reparations; and such further order or orders 
as the Commission determines to be proper.
    This proceeding has been assigned to the office of Administrative 
Law Judges. Hearing in this matter, if any is held, shall commence 
within the time limitations prescribed in 46 CFR 502.61, and only after 
consideration has been given by the parties and the presiding officer 
to the use of alternative forms of dispute resolution, such as those 
described in subpart U of the Commission's rules of practice and 
procedure, 46 CFR 502.401--502.411.
    The hearing, if any, shall include oral testimony and cross-
examination in the discretion of the presiding officer only upon proper 
showing that there are genuine issues of material fact that cannot be 
resolved on the basis of sworn statements, affidavits, depositions, or 
other documents or that the nature of the matter in issue is such that 
an oral hearing and cross-examination are necessary for the development 
of an adequate record. Pursuant to the further terms of 46 CFR 502.61, 
the initial decision of the presiding officer in this proceeding shall 
be issued by February 24, 2004, and the final decision of the 
Commission shall be issued by June 23, 2004.

Bryant L. VanBrakle,
Secretary.
[FR Doc. 03-4960 Filed 3-3-03; 8:45 am]
BILLING CODE 6730-01-P