Freezing them out

A ship agent based in Southeast Asia had unpaid disbursements amounting to US$55,000 from a shipowner. Despite numerous chasers from the agent, the owner would not pay.

The agent notified ITIC. At first, formal payment demands were issued by ITIC and then followed up by a locally appointed lawyer. Despite clear documentary evidence that the funds were owed, the owner continued to resist payment, going so far as to claim, without evidence, that they were not the responsible party.

In view of this, ITIC instructed the lawyer to investigate the owner’s assets. That investigation quickly revealed the existence of a bank account held by the owner.

Acting decisively, the lawyer applied for a freezing order. The application was successful and the order was granted. The owner could not access their bank account at all. Faced with restricted access to all their funds, the owner reassessed their position and promptly settled the full outstanding amount of US$55,000 in order to lift the freezing order.

This case once again demonstrates how proactive legal action and targeted asset investigations can cut through delay and avoidance tactics, turning even the most difficult debtors into paying ones. The legal costs were all covered by ITIC.