Dispatches No. 258

InterManager AGM

07th September 2015 – London

1400 – 1730 at Norton Rose Fulbright

To register send message to admin@intermanager.org


International Shipowning and Shipmanagement Summit – FULLY BOOKED NOW

08th September 2015 – London

0900 – … (Read more…)


Odebrecht Group Convicted for Slavery-Like Practices

By Reuters 2015-09-01 21:59:46

A Brazilian labor court convicted units of Brazil’s Odebrecht Group of holding workers in conditions akin to slavery at an ethanol refinery construction project in Angola, Brazilian prosecutors said in a statement on Tuesday.

Judge Carlos Alberto Frigieri of the 2nd Part of the Labor Court of Araraquara, Brazil, ordered Odebrecht to pay 50 million reais ($13 million) in damages.

The ruling comes as Odebrecht’s chief executive, Marcelo Odebrecht, is in jail as part of a giant corruption probe in Brazil. According to Brazilian courts and prosecutors, Odebrecht helped form part of a cartel of construction and engineering companies that defrauded Brazilian state-owned oil company Petroleo Brasileiro SA of billion of dollars through a contract-rigging, bribery and political kickback scheme. Odebrecht offers drilling as one of its services.

Odebrecht said in an e-mailed statement that work involved in the Angola ethanol refinery project was carried out by an Angolan company in which Odebrecht has an indirect minority stake and that Odebrecht did not construct the ethanol refinery.

Odebrecht said it will appeal the decision.

The issue was first brought to the attention of prosecutors by a series of reports on the Brazilian service of the BBC, the British state broadcaster, about a series of lawsuits filed against Odebrecht Group in the small town of Americo Brasiliense, Brasil, where many of the workers were recruited, the statement said.

Odebrecht, the court ruled, improperly lured Brazilian laborers to jobs in Angola where they were forced to work without proper visas in unsanitary work camps, the statement said.

In Angola their passports were confiscated and their ability to leave the work camps was blocked by armed guards, even on rest days. Meanwhile, many had worked up debts with labor subcontractors while they waited for passports and travel papers for Angola, the prosecutors said.

The contractors’ actions and efforts to illegally import the Brazilian workers to Angola was akin to the practices of human traffickers, the court said, according to the statement.

Even though many of the abuses suffered by the Brazilian workers in Angola were carried out by third parties, the court ruled that Odebrecht was ultimately responsible for the project and benefited from the abuses.

Odebrecht, in its statement, said that working and living conditions at the ethanol refinery were satisfactory and met both Brazilian and Angolan law. It said the movement of workers was never restricted and that all immigration and labor laws were complied with in both Brazil and Angola.

($1 = 3.69 Brazilian reais)


Shipping Emergency Game Draws Criticism

By Wendy Laursen 2015-09-01 18:52:21

A new computer game called Ship Emergency Simulator, and hailed as the world’s first maritime career simulator, is expected to be on sale ready for Christmas 2016.

The problem? It’s development is costing U.K taxpayers £75,000 ($114,000).

New research from the TaxPayers’ Alliance shows that the European Commission has spent nearly £2.4 million ($3.7 million) on grants towards video game development in 2014 alone, the first year of the new “Creative Europe” program. The most recent E.U. budget saw Britain contribute 11.4 per cent of total E.U. funds.

Chief Executive of the TaxPayers’ Alliance, said: “Taxpayers will be furious that Brussels bureaucrats seem to have no regard for the value of taxpayers’ money. At a time when there are serious issues across the continent, the E.U.’s focus should be on solving real-life problems rather than splashing the cash on made-up ones. Those responsible for approving this spending must be held accountable.”

In the game, players start out as a junior engineer or junior officer and have to work their way up through the ranks. The developers admit the majority of the game is fairly undramatic.

Instead of sex, violence and criminal behavior, the game “features accurate models of real-life transport vessels and faithfully mimics the daily life on ships.”

The Independent reports Lars Henriksen, the managing director of the Danish company developing the game, Apex Virtual Entertainment, saying that although he may have mentioned the words “fairly undramatic” in his grant submission, they had been taken out of context.

Henriksen says players would not watch their ship plough through waves for hours on end. Rather they could perform activities such as maintenance tasks. It would be unrealistic to have fires on board all the time.

Among the other game projects funded are:

Arena World, a combat game based “in a rift in time, between universes… where Gladiators from the known dimensions meet, to demonstrate their absolute skill in combat and survival against deadly foes enslaved from around the cosmos,” given £110,000

Duels, an action adventure game in which you play The Soul, breaking free from an eternity in prison via “an innovative mix of sword fight and shoot-them-up game play,” also given £110,000

Cosmic Top Secret Experience, a “playable cocktail of James Bond, Find My Family and The Walking Dead,” also given £110,000

Your Kingdom Come, a game which “tells a simple story about the fragility of the family with a metaphor where the family members, presented as unreal monsters, continuously fight,” given £103,000

Party Tennis: Euro Tour, a multiplayer tennis simulator, given £88,000

Save the Queen!, a fairy tale featuring a “loving Queen, a valiant Knight, a wicked witch and a trustworthy wizard”, given £65,000

Future Unfolding, a “surrealistic adventure game about the mind during meditation and dreaming” in which “players explore a mystical forest filled with life, both beautiful and dangerous,” given £40,000


Obama Pushes for More Icebreakers

By Reuters 2015-09-01 17:52:11

On Tuesday, U.S. President Barack Obama proposed a faster timetable for buying a new heavy icebreaker for the U.S. Arctic, where quickly melting sea ice has spurred more maritime traffic and the United States has fallen far behind Russian resources.

The move, part of a push to convince Americans to support Obama’s plans to curb climate change, has long been urged by Arctic advocates as climate change opens up the region to more shipping, mining and oil drilling.

The announcement came as Obama heads to the coastal town of Seward, named after Secretary of State William Seward, who negotiated the purchase of Alaska in 1867 from Russia.

In the first step of Obama’s new timetable, the government would buy a heavy icebreaker by 2020 instead of the previous goal of 2022. The United States used to have seven icebreakers, but the fleet has dwindled to three creaky vessels, only one of which is a heavy-duty vessel, the White House said.

“Russia, on the other hand, has 40 icebreakers and another 11 planned or under construction,” it said.

Obama will have to convince Congress to pick up the tab for any new icebreakers, each of which come with a price tag of about $1 billion.

“The devil, as always, will be in the funding and procurement details,” said Heather Conley of the Center for Strategic and International Studies (CSIS) in Washington, who has studied the need for more Arctic icebreakers.

The region also needs enhanced navigation aids, satellite communications, deep water ports and other related investments not mentioned in the White House announcement, Conley noted.

At a time of dwindling big-ticket weapons programs, Obama’s announcement lays the groundwork for the U.S. Coast Guard to launch a competition to build a new icebreaker.

“Great powers should have the capabilities for playing a role in the theater,” said Malte Humpert, the head of the Arctic Institute, a think tank. “Russia is ready for anything that happens in the Arctic, and China is getting ready to have those capabilities,” he said.

As the Arctic opens to more shipping, tourism and oil drilling, the United States risks not having enough capacity to carry out search and rescue and oil spill response missions.

Huntington Ingalls Industries Inc, which built the newest U.S. ice breaker and delivered it in 1999, said it was keen to bid on new hardened ships for the Coast Guard.

General Dynamics Corp, the other large U.S. military shipbuilder and a possible bidder in an ice breaker competition, had no immediate comment.

The company that built the other existing U.S. icebreakers, Lockheed Shipbuilding and Construction, has exited the business, and its shipyard was shut down in 1988.

It usually takes up to 10 years to build an icebreaker, and it was not immediately clear when any proposed new vessel might be ready.

The White House also said the government should start planning for additional vessels. The Coast Guard has previously recommended it needs eight icebreakers, although no administration budget has yet included the huge funding request.

The Coast Guard had no immediate comment about the White House push.


Torture Ship Sparks Protests

By MarEx 2015-09-01 17:17:34

About 60 people gathered in London on August 29 to protest the arrival of La Esmeralda. The vessel is a Chilean naval ship used during General Augusto Pinochet’s dictatorship as a torture and interrogation center. The ship docked in London’s Canary Wharf.

Protestors call La Esmeralda a torture ship and see it as a symbol of Chilean life under military rule. The Ministry of Defense contends that the vessel’s arrival is symbolic of the U.K.’s strong relationship with Chile.

Pinochet displaced Salvador Allende in a bloody military coup in 1973, and more than 3,000 people were killed during his 17-year rule. Reports from Amnesty International and the Chilean Truth and Reconciliation Commission describe La Esmeralda as a floating jail and torture chamber for Pinochet’s political prisoners.

Family members of those detained and tortured on the vessel are still seeking justice. British priest Michael Woodward was among those detained and killed on the ship.

The arrival of the 400-foot La Esmeralda has also sparked protests in Amsterdam, Dartmouth, Pearl Harbor, Quebec and Vancouver.