[Federal Register Volume 62, Number 9 (Tuesday, January 14, 1997)]
[Notices]
[Pages 1887-1889]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-829]
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FEDERAL MARITIME COMMISSION
[Docket No. 97-01]
Alex Parsinia D/B/A Pacific International Shipping and Cargo
Express; Order of Investigation
Alex Parsinia (``Parsinia'') is an individual who appears to be
doing business under the names Pacific International Shipping (``PIS'')
and Cargo Express (``CE''). It appears that from at least September 17,
1995 to the present, Parsinia has provided ocean transportation
services to the public for
[[Page 1888]]
shipments from the United States to foreign countries. PIS and CE
appear to dispatch shipments via ocean common carriers, arrange for the
transportation of shipments on behalf of shippers, prepare
documentation consisting of bills of lading and export documents.
Shippers appear to look to PIS and CE for the delivery of shipments,\1\
and PIS and CE appear to hold themselves out to perform transportation
to the public and accept responsibility for the transportation of
shipments. The shipments consist mostly of personal effects or
household goods. Shipments are contracted with ocean common carriers
under the names of actual shippers as well as under the names PIS and
CE.
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\1\ The Commission's Office of Informal Inquiries and Complaints
has received eleven complaints from shippers in regard to
difficulties the shippers have encountered in obtaining the delivery
of shipments turned over to Parsinia.
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Section 19(a) of the Shipping Act of 1984 (``1984 Act''), 46 U.S.C.
app. 1718(a), provides that no person may act as an ocean freight
forwarder unless that person has obtained a license from the Federal
Maritime Commission. Section 3(19) of the 1984 Act, 46 U.S.C. app.
1702(19), defines an ocean freight forwarder as a person in the United
States that dispatches shipments from the United States to a foreign
country via common carriers, books or otherwise arranges space for such
shipments on behalf of shippers, and processes the documentation or
performs related activities incident to those shipments. In order to
obtain an ocean freight forwarder license, a forwarder must furnish to
the Commission a bond to insure the financial responsibility of the
forwarder, and the Commission must determine that the forwarder is
qualified by experience and character to render forwarding services.
According to a review of records maintained by the Commission's Bureau
of Tariffs, Certification and Licensing, no ocean freight forwarder
license has been issued in the name of Alex Parsinia. Therefore, it
would appear that Parsinia, by dispatching shipments, by booking or
otherwise arranging space for the shipments, and by processing
documentation incident to ocean shipments made on behalf of others from
the United States, has acted as an ocean freight forwarder without a
license issued by the Commission in violation of section 19(a) of the
1984 Act.
Section 8(a) of the 1984 Act, 46 U.S.C. app. 1707(a), provides that
each common carrier must file a tariff with the Commission showing all
of its rates, charges, classifications, rules, and practices. Section
3(6) of the 1984 Act, 46 U.S.C. 1702(6), in pertinent part, defines a
common carrier as a person holding hold out to the public to provide
transportation by water between the United States and a foreign
country, that assumes responsibility for performing the transportation,
and utilizes a vessel operating on the high seas for providing the
transportation. Section 3(17) of the 1984 Act, 46 U.S.C. 1702(17),
defines a non-vessel-operating common carrier (``NVOCC'') as a common
carrier that does not operate the vessels used in providing the ocean
transportation and acts as the shipper in relation with the ocean
common carrier. Section 23(a) of the 1984 Act, 46 U.S.C. app. 1721(a),
further provides that each NVOCC must furnish to the Commission a bond,
proof of insurance or other surety, inter alia, to insure the financial
responsibility of the carrier to pay any judgment for damages arising
from its transportation-related activities. According to the records
maintained by the Commission's Bureau of Tariffs, Certification and
Licensing, no tariff or bond has been filed with the Commission in the
name of Alex Parsinia, PIS or CE. Therefore, it would appear that
Parsinia, by providing ocean transportation of cargo to the public for
shipments between the United States and foreign countries and by
contracting as a shipper for the carriage of the cargo, has acted as a
NVOCC without a tariff or bond on file with the Commission, in
violation of sections 8(a) and 23(a) of the 1984 Act.
Section 11(c) of the 1984 Act, 46 U.S.C. app. 1710(c), sets forth
the Commission's authority to investigate violations of the 1984 Act.
In the event violations are found, section 13(a) of the 1984 Act, 46
U.S.C. app. 1712(a), provides that the Commission may assess civil
penalties. Section 14(a) of the 1984 Act, 46 U.S.C. app. 1713(a),
empowers the Commission to issue orders relating to violations of the
1984 Act.
Now therefore it is ordered, That pursuant to sections 8(a), 11(c),
13(a), 14(a), 19(a) and 23(a) of the 1984 Act, an investigation is
hereby instituted to determine:
1. Whether Parsinia violated section 19(a) of the 1984 Act by
acting as an ocean freight forwarder without a license issued by the
Commission;
2. Whether Parsinia violated sections 8(a) and 23(a) of the 1984
Act by acting as a NVOCC without tariff and bond on file with the
Commission;
3. Whether, in the event Parsinia violated the 1984 Act, civil
penalties should be assessed against Parsinia and, if so, the amount of
such penalties; and
4. Whether, in the event violations are found, an appropriate cease
and desist order should be issued.
It is further ordered, That a public hearing be held in this
proceeding and that this matter be assigned for public hearing before
an Administrative Law Judge (``Presiding Officer'') of the Commission's
Office of Administrative Law Judges in compliance with Rule 61 of the
Commission's Rules of Practice and Procedure, 46 CFR 502.61. The
Hearing shall include oral testimony and cross-examination at the
discretion of the Presiding Officer only after consideration has been
given by the parties and the Presiding Officer to the use of
alternative forms of dispute resolution, and upon proper showing that
there are genuine issues of material fact that cannot be resolved on
the basis of sworn statements, affidavits, depositions, or other
documents or that the nature of the matter in issue is such that an
oral hearing and cross-examination are necessary for the development of
an adequate record;
It is further ordered, That Alex Parsinia d/b/a Pacific
International Shipping and Cargo Express is designated Respondent in
this proceeding;
It is further ordered, That the Commission's Bureau of Enforcement
is designated a party to this proceeding;
It is further ordered, That notice of this Order be published in
the Federal Register and a copy be served on parties of record;
It is further ordered, That other persons having an interest in
participating in this proceeding may file petitions for leave to
intervene in accordance with Rule 72 of the Commission's Rules of
Practice and Procedure, 46 CFR 502.72;
It is further ordered, That all further notices, orders, and/or
decisions issued by or on behalf of the Commission in this proceeding,
including notice of the time and place of hearing or prehearing
conference, shall be served on parties of record;
It is further ordered, That all documents submitted by any party of
record in this proceeding shall be directed to the Secretary, Federal
Maritime Commission, Washington, D.C. 20573, and comply with Subpart H
of the Commission's Rules of Practice and Procedure, 46 CFR 502.111-
119, and shall be served on parties of record; and
It is further ordered, That in accordance with Rule 61 of the
Commission's Rules of Practice and Procedure, 46 CFR 502.61, the
initial decision of the Administrative Law Judge shall be issued by
January 8, 1998,
[[Page 1889]]
and the final decision of the Commission shall be issued by May 8,
1998.
By the Commission.
Joseph C. Polking,
Secretary.
[FR Doc. 97-829 Filed 1-13-97; 8:45 am]
BILLING CODE 6730-01-M
