[Federal Register Volume 71, Number 100 (Wednesday, May 24, 2006)]
[Notices]
[Pages 29964-29965]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-7874]
[[Page 29964]]
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FEDERAL MARITIME COMMISSION
[Docket No. 06-06]
EuroUSA Shipping, Inc., Tober Group, Inc., and Container
Innovations, Inc.--Possible Violations of Section 10 of the Shipping
Act of 1984 and the Commission's Regulations at 46 CFR 515.27; Order of
Investigation and Hearing
Euroamerica Group, Inc. (``Euroamerica'') was incorporated in the
State of Maryland on May 23, 1994. The President and Qualifying
Individual (``QI'') of Euroamerica was Mr. Mark Nash. Euroamerica
operated as a licensed non-vessel-operating common carrier (``NVOCC'')
until December 2005 when it merged with Deliver USA, Inc. The surviving
corporation, EuroUSA Shipping, Inc. (``EuroUSA''), continues to operate
as a licensed and tariffed NVOCC. EuroUSA maintains an NVOCC bond in
the amount of $75,000. The company's principal place of business is
located at 10610 Iron Bridge Road, Unit 6, Jessup, Maryland 20794. Mr.
Nash continues to serve as the President and QI of EuroUSA.
Based on evidence available to the Commission, it appears that
between February 2004 and December 2005, EuroUSA knowingly and
willfully accepted cargo from or transported cargo for the account of
several ocean transportation intermediaries (``OTIs'') that did not
have tariffs and bonds as required by sections 8 and 19 of the Shipping
Act of 1984 (``the Act'') and the Commission's regulations at 46 CFR
515.27.
Tober Group, Inc. (``Tober'') was incorporated in the State of New
York on March 1, 1996. The President and QI of Tober is Mr. Yonatan
Benhaim. Tober received a license to operate as an ocean freight
forwarder (``OFF'') on July 17, 1996. In 1999, Tober applied for and
received a license to operate as an NVOCC. Tober is presently active as
a licensed and tariffed NVOCC and OFF with a principal place of
business at 185 Randolph Street, Brooklyn, New York 11237. Tober
maintains an NVOCC bond in the amount of $75,000 and an OFF bond in the
amount of $50,000. Tober publishes its electronic tariff at http://www.dpiusa.com. The single commodity covered by this tariff is ``Cargo,
N.O.S.'' and the tariff has not been updated since its original issue
on January 7, 2004. The tariff rate for Tober's N.O.S. cargo is $500
per 1,000 kilograms or 1 cubic meter, whichever yields the higher
amount.
Based on evidence available to the Commission, it appears that
between May 2004 and December 2005, Tober knowingly and willfully
accepted cargo from or transported cargo for the account of several
OTIs that did not have tariffs and bonds as required by sections 8 and
19 of the Act and the Commission's regulations at 46 CFR 515.27.
Section 10(b)(2)(A) of the Act states that no common carrier may
provide service in the liner trade that is not in accordance with the
rates and charges contained in a published tariff. 46 App. U.S.C.
1709(b)(2)(A). It appears that from at least January 2004, Tober has
provided liner service to its shippers that was not in accordance with
the $500 Cargo, N.O.S. rate published in its electronic tariff.
Container Innovations, Inc. (``CI'') was incorporated in the State
of New Jersey on March 27, 1985 and is presently located at 123
Pennsylvania Avenue, Kearny, New Jersey 07032. The President and QI of
CI is Mr. Angelo J. Carrera. CI has been a licensed NVOCC since
September 1999 and maintains an NVOCC bond in the amount of $75,000.
Based on evidence available to the Commission, it appears that
between September 2004 and March 2006, CI knowingly and willfully
accepted cargo from or transported cargo for the account of several
OTIs that did not have tariffs and bonds as required by sections 8 and
19 of the Act and the Commission's regulations at 46 CFR 515.27.
Section 10(b)(11) of the Act, 46 App. U.S.C. 1709(b)(11), prohibits
any common carrier from knowingly and willfully accepting cargo from or
transporting cargo for the account of an OTI that does not have a
tariff and a bond as required by sections 8 and 19 of the Act. The
Commission's regulations at 46 CFR 515.27 affirm this statutory
requirement. Any OTI operating as an NVOCC in the United States must
provide evidence of financial responsibility in the amount of $75,000.
46 CFR 515.21. Furthermore, section 8(a) of the Act, 46 App. U.S.C.
1707(a), requires NVOCCs to maintain open to public inspection in an
automated tariff system, tariffs showing their rates, charges,
classifications and practices. Information gathered thus far indicates
each of the Respondents provided ocean transportation services to
entities known to be operating as unlicensed NVOCCs. A person is
subject to a civil penalty of not more than $30,000 for each violation
knowingly and willfully committed. 46 CFR part 506.
Now therefore, it is ordered, That pursuant to section 11(c) of the
Shipping Act of 1984, 46 App. U.S.C. 1710(c), an investigation is
instituted to determine:
(1) Whether the Respondents violated section 10(b)(11) of the
Shipping Act of 1984 and the Commission's regulations at 46 CFR 515.27
by knowingly and willfully accepting cargo from or transporting cargo
for the account of an OTI that did not have a tariff and a bond as
required by sections 8 and 19 of the Act;
(2) Whether Respondent Tober violated section 10(b)(2)(A) of the
Act by providing service in the liner trade that was not in accordance
with the rates and charges contained in a published tariff.
(3) Whether, in the event one or more violations of section 10 of
the Act and/or 46 CFR 515.27 are found, civil penalties should be
assessed and, if so, the amount of the penalties to be assessed;
(4) Whether, in the event violations are found, appropriate cease
and desist orders should be issued; and
(5) Whether, in the event violations are found, such violations
constitute grounds for the revocation of any Respondent's OTI license
pursuant to 46 CFR 515.16.
It is further ordered, That a public hearing be held in this
proceeding and that this matter be assigned for hearing before an
Administrative Law Judge of the Commission's Office of Administrative
Law Judges at a date and place to be hereafter determined by the
Administrative Law Judge in compliance with Rule 61 of the Commission's
Rules of Practice and Procedure, 46 CFR 502.61. The hearing shall
include oral testimony and cross-examination in the discretion of the
presiding Administrative Law Judge only after consideration has been
given by the parties and the presiding Administrative Law Judge to the
use of alternative forms of dispute resolution, and upon a 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 matters in issue is such that
an oral hearing and cross-examination are necessary for the development
of an adequate record;
It is further ordered, That the following corporate entities be
designated as Respondents in this proceeding:
EuroUSA Shipping, Inc., Tober Group, Inc., and Container
Innovations, Inc.;
It is further ordered, That the Commission's Bureau of Enforcement
be designated a party to this proceeding;
It is further ordered, That notice of this Order be published in
the Federal
[[Page 29965]]
Register, and a copy be served on the parties of record;
It is further ordered, That other persons having an interest in
participating in this proceeding may file petitions for leave to
intervene in accordance with Rule 72 of the Commission's Rules of
Practice and Procedure, 46 CFR 502.72;
It is further ordered, That all further notices, orders, or
decisions issued by or on behalf of the Commission in this proceeding,
including notice of the time and place of hearing or prehearing
conference, shall be served on parties of record;
It is further ordered, That all documents submitted by any party of
record in this proceeding shall be directed to the Secretary, Federal
Maritime Commission, Washington, DC 20573, in accordance with Rule 118
of the Commission's Rules of Practice and Procedure, 46 CFR 502.118,
and shall be served on parties of record; and
It is further ordered, That in accordance with Rule 61 of the
Commission's Rules of Practice and Procedure, the initial decision of
the Administrative Law Judge shall be issued by May 11, 2007 and the
final decision of the Commission shall be issued by September 11, 2007.
Bryant L. VanBrakle,
Secretary.
[FR Doc. E6-7874 Filed 5-23-06; 8:45 am]
BILLING CODE 6730-01-P