Listed fisheries company Sanford’s earnings have taken a hit in the first three months of the current financial year due to its San Nikunau tuna boat being impounded in American Samoa for pollution.
The tuna fishing ship was put out of action for eight months after it was seized by authorities in July.
The company is charged with pollution, conspiracy and obstruction of justice in the United States for the vessel discharging oily bilge waste, and presenting false documents to the US coast guard and American Samoan authorities.
Sanford paid a $1 million bond to have the ship released but it is not allowed to resume fishing activities until February 1. Until then, it is tied up at Pago Pago.
In the first three months of the financial year from October 2011, Sanford’s sales were down 5 per cent compared to the same time a year earlier. Tuna sales suffered the most with the San Nikunau out of action.
The slideshow Sanford presented to NZX earlier today with its managing director Eric Barratt’s AGM speech notes included a blank slide because he didn’t want his rather non-committal comments about the case made public, even though he restated them at the public AGM today.
“I don’t want this recorded,†Barratt told the room of shareholders at Auckland.
“The San Nikunau was arrested, it was released under bond, and the company is facing some charges in the US going to court in Washington. We’re actively defending the charges, we have a team of legal people working with us. It’s difficult to talk in too much detail because we can’t disclose what our defense is at this stage in the prosecution, so I can’t go into detail. But we are very confident we will defend our position.â€
