Another guarantee causes problems for Ezra HoldingsCompany News // March 14, 2017
Ezra Holdings, which recently confirmed that it faces a winding up order from VT Halter Marine due to a guarantee it provided to Emas Chiyoda Subsea, now faces a claim against it from another party.
In a 12 March 2017 announcement, Ezra Holdings said a notice of termination dated 9 March had been issued to Lewek Champion Shipping Pte Ltd, a wholly-owned subsidiary of the company, to terminate a bareboat charter for Lewek Champion. The termination relates to an amended Barecon 2001 form dated 19 February 2014 between Lewek Champion Shipping Pte Ltd and Hai Jiang 1401 Pte Ltd, which is the owner of the vessel.
The owner alleges that Lewek Champion Shipping has defaulted on a payment of US$1,582,000.
EMAS-AMC Pte Ltd, being the sub-lessee, which issued a manager’s undertaking dated 17 February 2014 in favour of the owner, has filed an application to the Singapore courts and an application pursuant to Chapter 11 of the US Bankruptcy Code.
EMAS Chiyoda Subsea Limited, being the sub-sub-charterers of the vessel pursuant to a bareboat charter on a ‘back-to-back’ basis between Emas Chiyoda Subsea and sub-lessee and part of the consortium which contracted with Saudi Aramco for provision of offshore support services, has also filed, inter alia, an application to the Singapore courts and the US courts.
The vessel was arrested by Huisman Equipment BV in Xiamen, China on February 2017.
The owner has also made a claim against the charterer, as charterer, and Ezra Holdings Limited, as guarantor, to the bareboat charter, and demanded a payment of the termination sum of an aggregate US$194,499,500 within 15 days.
Ezra Holdings said it has also been advised that Joshua James Taylor and Yit Chee Wah of FTI Consulting have been appointed by the owner as the joint receivers and managers of assets of the charterer under the agreement.