Cruise Line Pleads Guilty to Falsifying Records

Royal Caribbean Cruises, the world’s No. 2 cruise line, pleaded guilty to falsifying records to cover up the fact that the crew of its Nordic Prince cruise ship had not properly treated oil and oil-contaminated waters generated on board. Royal Caribbean entered the plea during a hearing before U.S. District Judge Consuelo B. Marshall in Los Angeles, in response to a three-count felony indictment returned last month by a federal grand jury. The indictment charged the Miami-based passenger cruise line with presenting the U.S. Coast Guard false records during three inspections in 1994, while the Nordic Prince was berthed in the Port of Los Angeles. Each of the three counts carries a maximum penalty of a $500,000 fine or, if Royal Caribbean is convicted, twice the amount of money it earned during the three cruises in which it provided inspectors with false records. Sentencing has been scheduled for June 28. Last year, Royal Caribbean pleaded guilty to similar charges in Miami and Puerto Rico and agreed to pay fines and restitution totaling $9 million. “We’ve accepted full responsibility, we’re sorry and implemented a significant number of changes in the company’s environmental program since the mid-1990s,” said company spokeswoman Lynn Martenstein. Shares of Royal Caribbean fell 38 cents to close at $35.50 on the NYSE.