Court breather for em­bat­tled ship­per Han­jin

The Myanmar Times - - International Business -

SIN­GA­PORE’S High Court has granted a re­prieve to trou­bled South Korean gi­ant Han­jin, al­low­ing its ships to sail into the city-state with­out fear of be­ing im­pounded as it strug­gles to set­tle a US$5.37 bil­lion debt.

Since last month, Han­jin’s ves­sels, sailors and cargo have been stuck in a mar­itime limbo as ports, wary they will not be paid for their ser­vices, refuse to let them dock and refuse to han­dle or free cargo al­ready landed.

The rul­ing sus­pends “any en­force­ment or ex­e­cu­tion against any as­set” of Han­jin and two lo­cal sub­sidiaries, which means that ves­sels can sail into Sin­ga­pore with­out fear of be­ing seized, pend­ing ap­proval of the com­pany’s re­cov­ery plan.

“I was sat­is­fied that the Korean re­ha­bil­i­ta­tion or­ders should be recog­nised and as­sis­tance ren­dered,” judge Aedit Ab­dul­lah said in a rul­ing is­sued last week, adding this could be “to the ex­tent of pre­vent­ing ar­rest of ships of the Han­jin fleet”.

Han­jin, the world’s sev­enth-largest ship­ping firm, on Au­gust 31 sought court pro­tec­tion in the in­dus­try’s big­gest-ever bank­ruptcy fil­ing af­ter cred­i­tors re­jected its lat­est plan to get out of debt. –

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