NewLead Holdings Ltd., an international shipping company owning and operating tankers and dry bulk vessels, today announced that it has recently received a second favorable arbitration award against TMT Bulk Corp. for $1,969,821.75 inclusive of interest and costs.
This is the second favorable arbitration award to NewLead. The total amount received to date, under both arbitration awards is $3,968,757.71. Furthermore, in early October 2011, the Company withdrew the second vessel chartered-out to TMT. The first vessel was withdrawn from TMT’s service in late September 2011.
To date, only one vessel remains under charter to TMT. The Company is taking all the necessary legal steps to secure payment of its claim in relation to this vessel as well.
TMT has defaulted on a number of charter hires. As of October 11, 2011, the total outstanding amount owed by TMT to NewLead was approximately $9,150,000 exclusive of interest and costs. This amount comprises unpaid hires until October 11, 2011 for all vessels chartered-out to TMT plus damages in connection with TMT’s breach of the two terminated charters.
NewLead has commenced London arbitration and has seized maritime and other assets owned by TMT and affiliated companies. Currently, security in the total amount of $5,053,372.01 is held for the Company’s claims against TMT and we anticipate that an additional $5,125,000 will be placed as security by TMT today. Following the payment of the later the amount held as security, will total $10,178,372.01.
Michael Zolotas, President and Chief Executive officer of NewLead , stated, “In these difficult times, we will continue to protect the interests of all stakeholders by vigorously pursuing our rights. As this relates to defaulting charters, we will pursue all options and we are confident that we will prevail in our claims.”
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Source: NewLead, October 12, 2011.