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Casino ship up for auction

On the block: The <I>Niobe Corinthian</I> is being auctioned off to help repay debts.

Bids are being sought for the casino ship Niobe Corinthian, which is being sold off to pay its debts.Last year, Chief Justice Richard Ground ruled the vessel, which is worth an estimated $4 million, must be sold to pay three crew members owed more than $40,000 by the ship’s owners.Captain Pablo Riera Sr, his son Pablo Jr and crewman Juan Aleman will receive back wages of $27,451, $6,416 and $6,416 respectively once the auction has been held.Stranded in Bermuda, the three were only able to return to their native Honduras last summer after Capital G sponsored their tickets. The bank is trustee to one of two trusts that in turn own Estrellas Management, owners of the vessel.A notice in Friday’s Official Gazette announced the auction of the ship, which has been tethered to the dock at Marginal Wharf in St David’s for several years, will be conducted via sealed bids.The auction is being arranged by the Deputy Provost Marshall General, a Government official.A preview will be held for registered bidders at Marginal Wharf from 10am to 1pm today. Last Friday was the deadline for prospective bidders, and sealed bids must be handed in by January 30. Full details can be found in the Official Gazette.The date for the auction has not been announced, but it may close the troubled history of the ship, which was originally launched as a glitzy offshore casino to circumvent Bermuda’s strict anti-gambling laws.It has remained tethered to the shore amid a series of legal woes since 2006. The ship was intended to host gaming events in international waters 12 miles offshore, using machines imported prior to the 2001 ban.However, the vessel was raided by police in August, 2006, shortly after it began operating, and its then captain Fermin Reyes, from Panama, and manager George Kezas, from Bermuda, were arrested.The men were charged and later convicted of illegally importing the gaming machines on the ship into Bermuda and were fined $15,000 and $12,000 respectively.Lawyer Llewellyn Peniston, who has acted in the past on behalf of Estrellas Management, previously told this newspaper the weather was too unpredictable for the ship to sail regularly.He added that the parties hosted in Bermuda waters attracted the attention of the authorities.The ship was again raided by the police in September 2008 and ten people were arrested after police found people gambling on board. No charges were pressed.The ship remained moored in St David’s while the owners waited and hoped that Government would lift the restrictions that ban it from operating in Bermuda’s waters. The owners remain hidden behind trusts, and their names have never been revealed publicly.It has previously been reported that selling off Niobe Corinthian will leave a considerable cash surplus.The unpaid crew have a maritime lien on its physical value, to the value of $40,283 which could leave millions left over, part of which is to be sought by Customs.

TIMELINE

2004: A local company has been set up to run a casino ship off Bermuda this summer, lawyer Llewellyn Peniston confirmed yesterday.

March, 2005: the Corinthian arrives in Bermuda after being refitted in the US.

August, 2006: Police raid the vessel and arrest its captain and manager. They are later convicted and fined for gambling offences.

September, 2008: Ten people are arrested after police allegedly find people gambling on board.

2011: Chief Justice Richard Ground rules the vessel must be sold to pay three crew members owed more than $40,000 by the ship’s owners. The three return to Honduras.