Marina defers suspension of sunken ferry owner

MANILA, Philippines - The Maritime Industry Authority (Marina) has deferred the suspension of Medallion Shipping Lines' operations following the sinking of its ferry off Burias Island, Masbate, last Friday that claimed the lives of two people.

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Despite being urged to stop the company's operations, Marina administrator Maximo Mejia Jr. said that Medallion Shipping Lines will be subject to questioning and investigation on the mishap of its roll on, roll off vessel M/V Our Lady of Mount Carmel carrying over 60 passengers.

"The owner will have the time to present their its case and explain why the accident happened and why their franchise will not be taken from them," Mejia said in a radio interview.

The decision was said to be a reversal of former Marina administrator Nicasio Ponti's policy to suspend operations of involved shipping companies at once following a mishap.

Marina's Legal Affairs Office head Jabeth Dacanay said in a separate radio interview, however, that the recent Marina order is based on Republic Act 9295 or Domestic Shipping Development Act that requires involved shipping company to be given "due process."

"Hindi naman tayong pwedeng padalos-dalos at suspindehen nang wala pa tayong sapat na basis (We can't just rush things and suspend the company without proper basis)," Dacanay said.

Dacanay said that the operating license of Medallion Shipping Lines may be terminated once proven that it has committed gross negligence to cause the tragedy.

She also that explained the vessel's crew and their mother company was directed to explain within 72 hours.

As of Monday, seven other passengers have not yet been retrieved as the Philippine Coast Guard continues its search operations.

Related story: No new survivors; divers fail to find sunken ferry