Ship Owner Agree $102M Settlement for Baltimore Bridge Cleanup

Ship Owner Agree $102M Settlement for Baltimore Bridge Cleanup \ Newslooks \ Washington DC \ Mary Sidiqi \ Evening Edition \ The owner and manager of the cargo ship responsible for the deadly Baltimore bridge collapse have agreed to pay over $102 million to settle a Justice Department lawsuit covering cleanup costs. The settlement does not include the $2 billion estimated for bridge reconstruction, which Maryland is pursuing separately. The collapse occurred when the ship, Dali, lost power, striking a support column on the Francis Scott Key Bridge and killing six road workers. Numerous claims remain unresolved, including those for victims’ families and business losses.

Baltimore Bridge Collapse: $102M Cleanup Settlement Reached by Ship Owner: Quick Look

• Settlement: The ship’s owner, Grace Ocean Private Ltd., and manager Synergy Marine Group, will pay over $102 million in cleanup costs.
• Bridge Reconstruction: The settlement does not cover the estimated $2 billion for rebuilding the bridge; Maryland has filed a separate claim.
• Incident Details: The ship lost power and struck the Francis Scott Key Bridge, killing six road crew members and causing massive damage.
• Unresolved Claims: Numerous claims, including those for victims’ families and businesses impacted by the collapse, are still pending.
• Criminal Investigation: An FBI investigation into the circumstances leading up to the collapse is ongoing.

Deep Look:

The owner and manager of the cargo ship responsible for the tragic Baltimore bridge collapse have agreed to pay more than $102 million to settle a lawsuit brought by the U.S. Justice Department, federal officials announced on Thursday. The settlement addresses the costs of cleanup efforts following the disaster but does not cover the immense expenses related to rebuilding the Francis Scott Key Bridge, which could total nearly $2 billion. The state of Maryland has filed its own claim seeking those damages.

This resolution comes a month after the Justice Department filed a lawsuit against Grace Ocean Private Ltd., the ship’s owner, and Synergy Marine Group, its manager—both companies based in Singapore. The lawsuit sought to recover the government’s costs from cleaning up the wreckage caused by the collapse. The incident occurred in March when the cargo ship, named the Dali, lost power and struck a support column on the Francis Scott Key Bridge while departing from Baltimore en route to Sri Lanka.

The collapse was catastrophic, killing six road workers who were filling potholes during an overnight shift. The men fell into the Patapsco River along with large sections of the bridge. Recovery efforts were swift but grim, as teams worked tirelessly to find the bodies of the victims and remove thousands of tons of mangled steel and shattered concrete from the riverbed. The Dali remained trapped in the wreckage for nearly two months, with parts of the collapsed steel structure draped over the ship’s severely damaged bow.

Principal Deputy Associate Attorney General Benjamin Mizer expressed relief that taxpayers would not bear the financial burden of the cleanup. “This resolution ensures that the costs of the federal government’s cleanup efforts in the Fort McHenry Channel are borne by Grace Ocean and Synergy and not the American taxpayer,” Mizer said in a statement.

The collapse caused major disruption to commercial shipping along the East Coast, particularly through the Port of Baltimore, one of the busiest ports in the United States. The blockage severely impacted the transport of goods like cars and farm equipment, leaving local longshoremen out of work until the channel reopened in June.

Grace Ocean and Synergy Marine Group quickly sought to limit their legal exposure following the disaster. They filed a court petition just days after the collapse to minimize their liability in what could become one of the most expensive marine casualty cases in history. However, the settlement reached with the Justice Department only resolves the $102 million cleanup claim.

Court records show that attorneys representing the ship’s owner and manager, along with federal officials, jointly filed the settlement agreement on Thursday. The agreement, which seeks to dismiss the Justice Department’s claim, is just one of many legal challenges related to the bridge collapse. Other claims have been brought by the families of the six victims, companies that lost business due to the disruption, and local entities seeking compensation for infrastructure damages.

Meanwhile, the FBI has been investigating the circumstances leading up to the collapse. Agents boarded the Dali in April as part of the ongoing criminal probe, which seeks to determine whether negligence or other criminal conduct contributed to the disaster.

When the Justice Department’s civil suit was filed last month, it provided the most detailed account to date of the technical failures that led to the collapse. The lawsuit described a series of cascading malfunctions aboard the Dali that rendered its crew helpless. Among the problems cited were “excessive vibrations,” which the complaint said are a well-known cause of electrical and mechanical failures on ships. Instead of addressing the root cause of these vibrations, the ship’s crew allegedly “jury-rigged” temporary fixes that failed to prevent the catastrophe.

The lawsuit also pointed to serious equipment failures aboard the vessel. The ship’s engine room reportedly contained cracked components, and parts of the cargo had shaken loose due to the vibrations. The electrical equipment was in such a dangerous state of disrepair that independent inspectors halted electrical testing out of safety concerns, according to the complaint.

The Dali’s loss of power ultimately caused it to veer off course, striking the Francis Scott Key Bridge support column. The mechanical failures that led to the power loss were not properly addressed, the lawsuit claims, setting the stage for the deadly crash.

The broader liability case continues to unfold, with unresolved claims from the victims’ families, affected businesses, and municipal entities still in progress. The criminal investigation by the FBI may result in additional charges or penalties as more details about the ship’s condition and the actions of its crew come to light.

This $102 million settlement marks a significant step in holding the ship’s owner and manager accountable for their role in the disaster, but many questions remain as Maryland pursues additional damages and investigations continue.

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