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Terminal Shut Down after Security Lapse

Maritime Activity Reports, Inc.

July 10, 2006

A cargo terminal on Blount Island, Fla., has resumed operations after being shut down yesterday afternoon by Coast Guard inspectors from Sector Jacksonville for not having a facility security officer present or specifically named in writing. After receiving an anonymous tip, Coast Guard inspectors went to the Ceres Marine Terminal Inc. and found that they had been without a facility security officer at the terminal for more than a week. After discovering this, Coast Guard inspectors immediately put a halt to operations. Early this morning the terminal company sent a facility security officer from Virginia, so that the facility could become compliant with Marine Transportation Security Act (MTSA) regulations again. Coast Guard inspectors then interviewed the individual to test his knowledge of facility security. Upon the facility security officer's satisfactory completion of the interview, the terminal resumed normal operations.

If the Coast Guard issues a notice of violation, a maximum penalty of $10,000 could be pursued. A facility security officer is responsible for overseeing and maintaining the sectary of their facility and ensuring it is in accordance with all MTSA regulations that went into effect July 1, 2004.

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