Bulk carrier Costanza banned from Australian ports after Newcastle detainment for underpayment

Federal authorities impounded the Costanza this week after the Australian Maritime Safety Authority (AMSA) boarded the Panamanian-flagged bulk carrier on Wednesday for a routine inspection.

Inspectors were also investigating a complaint about payments, allegedly uncovering evidence the crew were owed more than $100,000. The watchdog further alleges that "the majority of the crew seafarer employment agreements had a salary amount less than the collective agreement for the vessel".

On Friday authorities confirmed the vessel's operator, Orient Line Corp Japan, had ensured all seafarers will be paid in full and released the Costanza from detention.

The Port Authority of NSW had the ship, which is next allowed to approach or enter an Australian port on February 9 next year, listed to depart at 9.30pm on Friday night. AMSA executive director of operations Michael Drake said the incident was a serious beach.

"Taking financial advantage of seafarers in this way is nothing short of exploitation," Mr Drake said.

"The majority of industry operators do the right thing by their seafarers, but for the few who do not, consider this a reminder that you will be held accountable.

"We do not tolerate the exploitation of seafarers in our waters."

In September the Newcastle Herald reported that research found crews aboard the 2500 foreign-registered freight ships that enter the Port of Newcastle each year are being robbed an estimated $2.5million a year.

The Australia Institute report Robbed At Sea found some seafarers are getting paid as little as $2 an hour as a result of underpayment, the withholding of entitlements and the poor enforcement of Australian labour standards.

The Maritime Union of Australia has backed calls for stronger rules.

In an MUA statement on Friday ITF Australian coordinator Ian Bray said the Costanza saga "significant, unanswered questions about the fundamental rights of seafarers being denied".

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