KUALA LUMPUR: The lawfulness of the United States’ Department of Justice’s (DOJ) seizure of The Equanimity luxury yacht is being challenged in Indonesian and US courts under both countries' laws.
Equanimity (Cayman) Limited, which is the legal owner of the vessel and also claimant in the DOJ forfeiture actions, said the DOJ and also Indonesian authorities had acted outside the bounds of legal rules by seizing the yacht.
“We have filed documents in the courts of both countries to demonstrate this,” the company said in a statement released in London.
It said while the company was ever willing to sell the yacht while the case was still pending, the DOJ seizure would only lead to the value of the yacht to be drastically affected.
The company said the DOJ had put its own case regarding the vessel on hold last year, and since that time had taken no steps to move the case forward or to prove that any impropriety had occurred.
However, it said that while the court-ordered stay was in effect, the DOJ still attempted to seize the vessel in Indonesia.
“The DOJ's recent filing in California is an attempt to use disputed allegations of historic conduct to paper over its own unlawful conduct in Indonesia.
“As shown in claimants' court filings, the DOJ's proposed course of action will drastically reduce the vessel's value and expose the vessel and its crew to dangers at sea.
“This is completely unnecessary, because the claimants have always been, and remain, ready and willing to have the vessel sold while the DOJ's case is pending, provided that the sale is conducted under readily-achievable market conditions that will reflect the vessel's true market value and generate a fair price.”
Equanimity said the approach taken by the DOJ would only damage the value of a vessel that it had yet to demonstrate any legal right to claim.
It said the DOJ had not sought possession of the vessel by approaching the company, which has all this while given undertakings to co-operate with the DOJ and the US Court, the yacht management company responsible for the vessel and also the flag state of the yacht.
Although it could have taken any of these courses of action at any time, the DOJ instead opted for a needlessly costly and ill-conceived seizure in Indonesian waters that jeopardises the value of the vessel,” the statement read.
The company said it had filed a reply to correct factual misstatements and mischaracterisations in the government's latest filing.
“Contrary to the assertions made in the government's filing, the location of the vessel has never been a secret nor have the claimants taken steps to jeopardise the vessel's value.
“The government has not taken any steps to prove its case or entitlement to the vessel, and there have been no findings that any wrongdoing occurred.
“The claimants, as owners of the vessel, intend to continue to protect their rights and their property,” it said.
It was reported that Indonesian authorities seized the Equanimity on Feb 28 near Bali and discussions were ongoing with the US authorities on the handing over of the yacht.