Judge authorizes another maritime arrest vs M/V Luta

A federal court judge has authorized issuing another warrant for the maritime arrest of cargo ship M/V Luta.

U.S. District Court for the NMI designated Judge Frances M. Tydingco-Gatewood on Wednesday ordered the clerk of court to issue a warrant of maritime arrest after she reviewed the complaint filed by Norton Lilly International, Inc.

Norton Lilly is an Alabama corporation that recently filed a complaint of intervention in order to collect from M/V Luta $131,801.10 in alleged unpaid goods and services.

Norton Lilly, through counsel Bruce Berline, asked the court to order the sale of M/V Luta and that proceeds of the sale be applied to satisfy the judgment.

Berline stated in the complaint that Luta Mermaid LLC president Abelina T. Mendiola entered into an agreement with Norton Lilly for it to supply necessities to M/V Luta.

Berline said that, from June 18, 2016 to Nov. 2, 2016, Norton Lilly was the agent of M/V Luta on Saipan and Guam, arranging for and/or shipping services for the vessel.

The lawyer said the services include stevedoring, time handling mooring, dockage, cargo/wharf storage, and terminal handling charges.

Japanese investor Takahisa Yamamoto is suing Lt. Gov. Victor Hocog and the owner/operators of M/V Luta. In his lawsuit, Yamamoto alleged that Hocog and his co-defendants refused to pay back the $3.4 million that he put up for M/V Luta.

Yamamoto is suing Hocog, M/V Luta, Luta Mermaid LLC, Abelina T. Mendiola, Deron T. Mendiola, Fidel S. Mendiola III, Fidel Mendiola Jr., and Robert Toelkes.

Luta Mermaid owns M/V Luta. Abelina Mendiola, Fidel S. Mendiola III, and Deron Mendiola are members of the company.

Abelina Mendiola is based on Rota, while Fidel Mendiola is a resident of Louisiana, and Deron Mendiola is a resident of Idaho, according to court papers. Yamamoto is suing them for breach of contract, fraud, and unjust enrichment.

The U.S. Marshal Service seized M/V Luta last Oct. 25 and appointed the National Maritime Services Inc. as custodian of the vessel.

After Yamamoto filed the case in federal court, two companies, including Norton Lilly, and crewmembers of M/V Luta, also joined in the lawsuit.

The captain and six other crewmembers of M/V Luta have also intervened in Yamamoto’s lawsuit, because they allegedly have not been paid their wages, totaling $183,647.77.

Long Consulting LLC, a limited liability company, has also claimed a maritime lien on M/V Luta after the vessel’s owners/operators allegedly failed to repay any part of their $300,000 loan.

Hocog recently filed a motion asking the court to dismiss Yamamoto’s lawsuit.

Hocog, through Guam-based counsel Jeffrey A. Moots, asserted that there is nothing to indicate that he participated in any of the factual allegations.

Former Department of Public Lands secretary John DelRosario first filed a lawsuit against Hocog over M/V Luta. Last May, DelRosario filed the taxpayer’s lawsuit against Hocog and Finance Secretary Larrisa Larson over the alleged adoption of a Rota resolution without public notice that purportedly authorized payment of $400,000 to Luta Mermaid, a private company owned by Hocog’s relatives.