US shipping firm pleads guilty to pumping 10k gallons of 'oily discharge' into Mississippi River

A Connecticut-based ship management company has pleaded guilty to intentionally pumping over 10,000 gallons of "oily discharge" into waters near the mouth of the Mississippi River, then trying to cover up the incident, according to the Justice Department.

The department on Wednesday identified the company as Stamford, Connecticut-based Eagle Ship Management LLC and said it will be expected to pay a criminal fine of $1.75 million, if the courts approve the agreement. Eagle will also serve a four-year term of probation with external audits, subject to court approval.

The M/V Gannet Bulker, a foreign-flagged bulk carrier ship, was responsible for releasing the pollution in the 2021 incident. The chief engineer of this ship was prosecuted separately and sentenced to a year and one day in prison for “his role in the discharge of oil and obstructing justice,” according to the department.

“The Department of Justice vigorously prosecutes violations of the laws that protect U.S. ports and waters,” said acting Assistant Attorney General Adam Gustafson of the Justice Department’s Environment and Natural Resources Division. “The criminal conduct involved here was serious, including intentional pollution and a deliberate coverup.”

In March 2021, the U.S. Coast Guard launched this investigation following a message sent on social media by a crew member. The message indicated that the engine room on the ship had flooded on March 13 – resulting in oil-contaminated waste being purposefully pumped overboard.

The Justice Department said the incident occurred when the ship was anchored near the Port of New Orleans, without required pollution-prevention equipment or required recordkeeping.

Court records show that roughly 10,303 gallons of “oily discharge” were pumped into the waters, also near the mouth of the Mississippi River.

"The defendant agrees that had this matter proceeded to trial, the United States would have proven ... beyond a reasonable doubt and that it is pleading guilty because it is guilty," Eagles defense counsel said in court documents. "ESM is pleading guilty because it recognizes that it is criminally liable for the acts and omissions of its employees and agents committed within the scope of their employment and, with an intent to benefit the defendant."

Sentencing in this case is scheduled for October 16.