Baltimore bridge collision settled, shipowner agrees to pay more than $100 million

In a recent interview, a spokesperson for the U.S. Department of Justice discussed the aftermath of the Dali cargo ship collision with the Francis Scott Key Bridge in Baltimore, Maryland earlier this year. The incident not only caused severe damage to the bridge and resulted in fatalities but also triggered significant economic repercussions. The ship’s owner, Grace Ocean Private Ltd., and its management company, Synergy Marine Group, have agreed to pay over $100 million to settle with the U.S. government.

According to reports, the Justice Department filed a lawsuit against the two companies last month in an effort to recover the more than $100 million the government spent clearing underwater debris and reopening the port. Both companies, which are registered in Singapore, accepted the terms of the settlement on the 24th.

Benjamin Mizer, the Principal Deputy Assistant Attorney General, emphasized that this agreement ensures that the costs of clearing operations in the Fort McHenry Channel will be borne by the responsible parties rather than American taxpayers.

Investigation into the incident revealed that the Dali’s electrical and mechanical systems were poorly maintained, with loose cables found in the second transformer and circuit breaker system. Earlier accounts indicated that a crew member accidentally closed the exhaust dampers during maintenance, causing one of the diesel engines to stall. This mishap led to a change in the ship’s electrical configuration and ultimately resulted in the vessel losing power and colliding with the bridge’s support structure, tragically killing six road construction workers.

The consequences of the collision have severely disrupted commercial traffic at the Port of Baltimore, prompting many shipping companies to reroute their cargo to other ports. Cleanup efforts, which involved removing approximately 50,000 tons of steel and concrete debris from the Patapsco River, extended into June.

The entire recovery operation is estimated to cost $160 million, engaging multiple federal, state, and local agencies. The Port of Baltimore is a crucial hub for automobile and agricultural equipment handling, outperforming any other port in the nation. In response to the disaster, state officials are implementing several rescue plans aimed at preserving jobs and supporting business continuity. Furthermore, rebuilding the bridge is projected to cost close to $2 billion, with hopes to complete the reconstruction by 2028.