General News of Tuesday, 6 August 2002

Source: Financial Post

Cuban Ship Headed For Ghana Detained

Canadian firm gets Cuban ship detained
Adecon owed $3M

A transport ship belonging to Cuba's state-owned maritime agency, carrying a large load of steel that is apparently headed for Ghana, has been detained in Guinea over money owed to a small Canadian company.

For two years, Mississauga-Ont.-based Adecon Ship Management has been pursuing the Cuban government in Canadian courts, seeking more than $3-million.

Adecon says Havana failed to pay after it financed ship operations for Cuba's maritime business.

Last year, a Federal Court ordered Cuba to pay. But the Cuban government has ignored the ruling, which was properly served Cuba by Canadian officials.

The m/v Lilac Islands sailed into the harbour at Conarky on July 24, the capital of Guinea, and was detained. The ship will be held until the Cuban government discharges its debts to Adecon, which on this ship amounts to more than US$275,000.

Alexander Printzios, Adecon's managing director, decided two years ago to go after the Cubans in a Canadian court.

Efforts to negotiate a settlement took place in 2000, but ended in Mr. Printzios being detained in Cuba after the former Cuban Minister of Fisheries and Oceans had invited Mr. Printzios to the Communist country.

Soon after arriving in Havana with a Canadian lawyer in tow, Mr. Printzios claims Cuban officials pressured him to drop his case in the Canadian courts. When he refused, the Cubans took away his documents, computer files and detained him.

It was only after the intervention of Canada's Department of Foreign Affairs, says Mr. Printzios, that he was released and his documents and computer returned.

The Cuban government is concerned about the ramifications the Guinea decision could have on their ability to trade with other nations.

Cuba took the case to Guinea's Appeal Court, which upheld the ship's detention and accepted Adecon's contention that Cuba, a Communist state that owns all means of production and transportation, was liable.

Guinea has long ties to Cuba and their relations have generally been good, but the detaining of their ship based on a Canadian court judgment is putting a strain on relations.

Cuba is scheduled go before a second court today.