The owner and manager of the cargo ship responsible for the Baltimore bridge collapse have agreed to pay over $100 million to settle a lawsuit filed by the Justice Department, officials announced on Thursday.
This settlement follows a lawsuit filed by the Justice Department a month ago against Grace Ocean Private Ltd., the ship’s owner, and Synergy Marine Group, its manager, both based in Singapore. The lawsuit aimed to recover the funds spent by the government to clear the underwater debris and reopen the city’s port, which had been closed to most maritime traffic for months due to the fatal collapse.
The agreement does not cover damages for the reconstruction of the bridge, which could cost around $2 billion, according to officials. Maryland has filed a separate claim to seek compensation for these damages.
Officials explained that the settlement ensures that the expenses incurred by the federal government for clearing the Fort McHenry Channel would be covered by Grace Ocean and Synergy, rather than by U.S. taxpayers.
The Justice Department had alleged that the ship, named the Dali, suffered from poorly maintained electrical and mechanical systems, leading to a loss of power and a subsequent deviation from its course. This malfunction caused the vessel to collide with a support pillar of the Francis Scott Key Bridge in March. The incident occurred as the ship was leaving Baltimore for Sri Lanka, with its steering failing due to the power outage.
Tragically, six road workers, who were performing overnight maintenance, died when the collapse occurred. The incident disrupted commercial shipping through the Port of Baltimore for months until the channel was fully reopened in June.
Just days after the collapse, Grace Ocean and Synergy submitted a court petition in an effort to limit their legal liability, given the potentially historic costs of the marine casualty. According to court records, attorneys for both companies confirmed in a joint filing on Thursday that they had reached a settlement and requested the dismissal of the Justice Department’s lawsuit, which sought $103 million in cleanup expenses.
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