ONASSIS TO SELL LIBERIAN TANKERS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP75-00149R000600090007-3
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 1
• Document Creation Date: November 16, 2016
• Document Release Date: March 17, 1999
• Sequence Number: 7
• Publication Date: September 7, 1961
• Content Type: NSPR

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w Ap'OF or Release 2000/05/24: CIA-RDP
ONASSIS TO SELL
LIBERIAN TANKERS
Asks to Transfer 10 Vessels
to Panamanian Registry
STATINTL
A fleet of Liberian -flag tank- , til,oAesman for the Federal
ers controlled by a United shipping agency said from
States trust established by Aris- Washington yesterday that the
totle S. Onassis, the Greek ship- application was under study.
ping magnate, will soon be sold. Under the proposal the ships
woul
The fleet consists of ten ves- d be owned by the three
Panamanian companies but
sels, all unused for several would continue to fly the Li-
years as a result of depressed berian flag.
conditions In the world tanker. Industry Speculation
market. It is composed of nine! There was considerable specu-
16,500-ton T-24.tankers, a type lation in maritime circles con-
'built in, this country during cerning the interests that con
World War II, and. a 18,000-ton trol these three Paffamanianl
tanker. ;. - companis, and what use these
An application for the trans- companies would 'make of the
fer of these vessels from owner- ships.
ship by the Alexander S. Onas-, T-2 tankers recently have
sis Corporation has been filed brought close to $300,000 each.
with the .Maritime Administra- However, what little interest in
tion in Washington- purchasing this type eof ship
The Martime Adnnistration existed was reportedly centered
has the final say on the future on ships intended for conversion
of these ve8S.els. In approving into 21,000 to 22,000 dry bulk
the original, r nsfer to Liberian. carriers though insertion of
flag, the t ships were con- new and larger midbodies,
sidered tounder effective In view of the poor state of.
United Stat ontrol in case) the International oil. transport'
of an inter al emergency.' market, a market in which T-2
Agreemen 4ted in 1955 type vessels have been super-
.ceded tna great extent by larg'-
company, Victory Carriers, Inc., nage, it was considered possible
were set up as United States -- that most of the ten tankers
citizen controlli'-d concerns un might end their careers in a
der an agreement between the shipbreaker's yard. Scrap prices
Greek ship owner and the Fed-. 04or ships have risen recently.
eral Govrnment. The agree-'
ment, executed in 1955, settle
extended litigation over earlier
tanker operations by Mr. Oiias-
sis.
As part of this agreement,
fourteen United States surplus
tankers were placed in trust
with the Grace National Bank
of New York for the benefit
of Mr. Onassis' two American-
born children. These ships at
one time were considered worth
$7,000,000. -
In January, 1957, the bank
asked the Maritime Adminis-
tration for permission `to trans-
fer fourteen tankers to Liberian
registry. This was approved in
,exchange for a commitment by
-the Onassis interests to build
two 46,000-ton tankers and a
106,000-ton. ofl carrier in United4
States yards.
The order for the 106,000-ton;
vessel Was recently changed to,
one calling for the construction
of two 46,000-ton vessels.
. The application now pending
in Washington seeks approval
of the sale of. the ten idle tank-
ers to three 'anainanian com-
panies - Rosedale Navigation
Company, `,Condor Financiera
Panama Si A. and Sunstone
Marine Panama S. A.
CPYRGHT
Approved For Release 2000/05/24: CIA-RDP75-00149R000600090007-3