parent company of Hong Kong's Jumbo floating restaurant won't receive insurance claim

The parent company of Hong Kong's Jumbo Floating Restaurant will not receive any insurance payout for the loss of the vessel, it said in a statement on Sunday, Jun 26. The vessel is covered by a Protection and Indemnity Cover for Third Parties Liability'' in accordance with maritime regulations. Aberdeen Restaurant Enterprises said that this insurance covers third party losses, not losses to the company.

It had capsized near the South China Sea on June 19 after it encountered adverse conditions and began to take on water, according to the company.

There has been scepticism over the incident involving the tourist attraction, which closed in March 2020 after almost a decade of financial woes.

The company said on Sunday that the vessel's departure complied with maritime regulations and practices.

The Company hired marine engineers to inspect the hull and hoardings and get approval from the authorities before the vessel left Hong Kong. The tug company that towed the vessel out of Hong Kong was hired by a licensed third-party broker. The towing method was in compliance with international maritime regulations and customary practices. It said that it filed a report to authorities in accordance with the applicable law.

On Jun 20, it issued a statement regarding the incident while preparing a Report of Marine Incident, and three days later it filed a Report of Marine Incident in accordance with Hong Kong s regulatory requirements, said the firm.

The relevant regulations state that a report of marine incident involving a Hong Kong vessel outside Hong Kong waters must be filed as soon as practicable, but no later than 24 hours after such vessel arrives at the next port.

There has been confusion over whether or not the vessel has actually capsized or sank.

While it said in its original statement on Jun 20 that the vessel had capsized, it added: The water depth at the scene is over 1,000 m, making it extremely difficult to carry out salvage works. A few days later, the company reached out to some media outlets, insisting that the boat had capsized not sank. The statement on Sunday said that the vessel began to tip when passing the Xisha Islands in the South China Seas, using the Chinese name for the Paracels.

Despite the efforts of the tugboat responsible for the rescue of the vessel, it capsized. This is consistent with our report to the Marine Department on Jun 23 that stated that the vessel capsized due to adverse conditions. The tugboat remains near the vessel in the Xisha Islands to ensure the safety of the waterway, according to the company.

The local maritime authority, Sansha Maritime Safety Administration, is considering the appropriate measures and has been notified, it added.

In 1976, opened by the late casino tycoon Stanley Ho, it represented the height of luxury, costing more than $30 million US $3.8 million to build. The vessel's capacity could hold 2,300 diners, according to the 76 m vessel.

The restaurant, designed like a Chinese imperial palace and once considered a must-see landmark, attracted visitors from Queen Elizabeth II to Tom Cruise.

It was also featured in several films - including Steven Soderbergh's Contagion, about a deadly global epidemic.