The former Director of Operations of the U.S. Navy’s Military Sealift Command (MSC) office in Busan, South Korea, was sentenced last week to five years in prison for his role…
Department of Justice
US Justice Department Probes Private Equity Fishery Deals
by Will Sennott (The New Bedford Light, ProPublica) The U.S. Department of Justice has begun looking at possible antitrust issues in the New England fishing industry, amid growing concern about…
https://gcaptain.com/us-justice-department-probes-private-equity-fishery-deals/
US blocks merger of global container suppliers over market concentration
China International Marine Containers Group Ltd., the largest manufacturer of steel containers used for ocean shipping, has abandoned its intended acquisition of shipping giant Maersk’s refrigerated container manufacturing business after objections from U.S. competition authorities, the Department of Justice said Thursday.
A.P. Moller-Maersk agreed in September 2021 to sell Maersk Container Industry A/S and its Qingdao, China, factory to CIMC for $987 million. The divestment is part of Maersk’s...
Delta Air Lines paying $10.5M for alleged cheating of Postal Service
Delta Air Lines has agreed to pay $10.5 million to resolve an investigation into allegations it defrauded the U.S. Postal Service for transport of international mail, the Department of Justice announced Thursday.
Delta is the sixth airline to settle charges of falsely reporting information about delivery performance in order to ensure full payment under transport contracts with the postal operator.
The Postal Service hired Delta (NYSE: DAL) to pick up mail at six U.S. locations and various...
https://www.freightwaves.com/news/delta-air-lines-paying-105m-for-alleged-cheating-of-postal-service
UPS coughs up $5.3M over alleged Postal Service fraud
UPS has agreed to pay nearly $5.3 million to resolve an investigation into allegations it defrauded the U.S. Postal Service for transport of international mail, the Department of Justice announced Monday.
The express delivery company falsified bar code scans of mail containers delivered to Postal Service facilities or federal facilities to make it appear it was meeting requirements for on-time delivery, and ensure full payment, according to the federal allegations.
The Postal Service hired UPS...
https://www.freightwaves.com/news/ups-coughs-up-53m-over-alleged-postal-service-fraud
Nikola projects production of 300-500 battery-electric trucks in 2022
Nikola Corp. plans to build 300 to 500 battery-electric Class 8 trucks this year and record up to $150 million in revenue. It expects to be profitable on a gross margin basis in 2023.
After months of negative stories centering on the alleged misdeeds of Trevor Milton, the company’s founder and former executive chairman, the Phoenix-based company is finally able to focus on producing advanced technology trucks.
Nikola has contracts, letters of intent and memorandums of understanding for 1,385...
‘Collusion’ drumbeat leads to multilateral probe of shipping lines
U.S. exporters and logistics companies aren’t the only ones banging on the government’s door to take action against global container lines for alleged service failures and unfair pricing during the pandemic.
The clamor from global forwarder and shipper organizations about anticompetitive behavior got so loud that five competition authorities, including the U.S. Department of Justice, on Friday established a working group that will meet regularly to share intelligence and coordinate...
https://www.freightwaves.com/news/collusion-drumbeat-leads-to-multilateral-probe-of-shipping-lines
U.S. Justice Department Cracking Down on Collusive Conduct in Supply Chains
The U.S. Department of Justice on Thursday announced an initiative to investigate and prosecute collusive conduct in the supply chains. The initiative comes in the wake of persistent price increases…
https://gcaptain.com/u-s-justice-department-cracking-down-on-collusive-conduct-in-supply-chains/
Nikola settles with SEC, agrees to pay $125M fine over 2 years
Nikola Corp. has agreed to pay $125 million over two years to settle a Securities and Exchange Commission complaint over fraud claims by founder Trevor Milton.
The electric truck and hydrogen making startup is seeking to get reimbursed by Milton, who faces trial on criminal fraud charges next April.
The SEC order found that Nikola violated the anti-fraud and disclosure control provisions of federal securities laws. Nikola (NASDAQ: NKLA) neither admitted nor denied wrongdoing in the expected...
https://www.freightwaves.com/news/nikola-settles-with-sec-agrees-to-pay-125m-fine-over-2-years
Judge denies venue change for Trevor Milton’s fraud trial
A federal judge denied a motion by Nikola Corp. founder Trevor Milton’s attorneys to move his fraud trial out of New York, saying he bought and sold shares on the New York-based Nasdaq, making the venue appropriate.
Milton is charged with three counts related to allegations that he defrauded investors in the startup electric truck company by making false statements. He is free on $100 million bail pending a trial scheduled for April 4, 2022.
Milton claimed he should not have been charged in New...
https://www.freightwaves.com/news/judge-denies-venue-change-for-trevor-miltons-fraud-trial