US Government to Receive $100M Settlement From Container Ship Owners Over Baltimore Bridge Collapse

The settlement covers costs for clearing debris but excludes bridge reconstruction expenses.

By

BALTIMORE, MARYLAND - MAY 10: Salvage crew members continue to work to free the cargo ship Dali after if collided with the Francis Scott Key Bridge in the Patapsco River on May 10, 2024 in Baltimore, Maryland. Engineers and other specialists continue to work to free the container ship Dali six weeks after it collided with the bridge, collapsing it and causing the deaths of six construction workers who were repairing potholes in the middle of the night. Kevin Dietsch/Getty Images

Almost a month after the Baltimore bridge collapsed, the port reopened on June, but no settlements were given at the time. Now, the US government finally received a long overdue payment.

Described as one of the worst transportation disasters in recent history, the container ship, Dali, crashing into Baltimore's Francis Scott Key Bridge, resulted in 6 deaths and several scattered debris in the river.

Container Ship Owner to Pay US Govt Over Baltimore Bridge Crash

According to BBC, the US Justice Department announced that Grace Ocean Private Limited and Synergy Marine Private Limited must pay over $100 million in damages to them following the crash on March 26 this year. It will benefit not just the US Treasury but also other federal agencies impacted by the collision and involved in the cleanup efforts.

The civil division of the department also noted that the settlement will also hold the owners of the Dali accountable.

However, it's worth noting that this will not cover the reconstruction of the bridge, for which the state has filed a separate claim. VCPost earlier learned that rebuilding will cost $2 billion.

For Synergy, paying the $100 million settlement only addresses costs related to clearing the shipping channel but will not implicate them in a liability case. With no punitive damages included, the US claim for the reconstruction was currently dismissed. However, the US attributed the incident to electrical and mechanical failures in Dali.

The US government has since pointed at poor maintenance, which led to a loss of power, that caused the ship to crash into the bridge.

What Happened at the Baltimore Bridge Collapse?

Since the incident, The Guardian reported that six lives were lost, all were construction workers fixing potholes on the bridge right when the container ship struck the column. It also dumped tons of debris into the Patapsco River, which disrupted traffic for months at one of the busiest ports in the US.

The US already coordinated with families of victims and has removed 50,000 tons of debris from both the shipping channel and Dali.

Even after reopening, the tragedy loomed for some time as it led to losses, stoppage of shipping operations, and disruption of routes for local commuters.

Tags
US government

© 2024 VCPOST.com All rights reserved. Do not reproduce without permission.

Join the Conversation

Real Time Analytics