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Saturday, 15 May 2010 12:17

China Shipping was fined US$ 440,000 for ‘unfair’ rate cutting

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>> Shanghai: Contrary to the 1984 US Shipping Act, China Shipping Container Line (CSCL) has settled for a US$440,000 penalty from the US Federal Maritime Commission (FMC) for improper rate cutting on 1,000 shipments over past four years.

CSCL was charged with providing transportation services to intermediaries without tariffs, licences or bonds, miss-describing cargo and charges of shippers and charging below tariff rates. New Jersey-based ATI USA Inc was also fined $115,000 for allegedly miss-declaring size of automobile shipments and charging below published rates.

Improper access to service contracts and charging below published tariffs were directed at the NVOs of Texas-based NVO MT Global Freight Solutions Inc and California-based Cosa Freight Inc, which included a violation of miss-described cargo shipped and paid $35,000 each in fines.

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