December 2013 Marine Log Magazine
inside washington Navy suspends Inchcape Shipping Services contracts One Of the wOrld’s largest suppliers of husbanding services —Inchcape Shipping Services Holding Ltd. (ISS) — has been suspended from doing business with the Navy. ISS is owned by Istithmar PJSC, a subsidiary of Dubai World. The news comes in the wake of the continuing probe into Glenn Defense Marine that has seen several arrests and the suspension earlier this month of two admirals. In November, the Navy suspended the access to classified material of Vice Adm. Ted Branch, Director of Naval Intelligence, and Rear Adm. Bruce Loveless, Director of Intelligence Operations. “The decision to suspend their classified access was made based upon the nature of allegations against Admirals Branch and Loveless in connection with an ongoing Naval Criminal Investigative Service (NCIS) investigation into illegal and improper relations with Leonard Francis, CEO of Glenn Defense Marine,” said a November 8 statement by Rear Admiral 12 MARINE LOG December 2013 John F. Kirby, Navy Chief of Information. A November 27 announcement from Rear Admiral Kirby said that the Navy “suspended Inchcape Shipping Services Holding Ltd. (ISS) and its affiliated companies from contracting with the Federal government on November 26, 2013. The suspension prevents Department of the Navy (DON) and all other Federal departments and agencies from entering into any new contracts, exercising options under existing contracts or issuing any new task or delivery orders under indefinite quantity contracts with ISS or its affiliates above the minimum guarantee during the period of suspension without agency head approval.” According to the Navy, the DON Acquisition Integrity Office recommended ISS’s suspension to the Suspension and Debarring Official (SDO) based upon evidence of conduct indicating questionable business integrity affecting ISS’s present responsibility to be a Government contractor. “The SDO’s decision reinforces the high standards of conduct and business practices to which the DON holds contractors who desire to do business with the Federal government. It also reflects the mandate of the Secretary of the Navy, Ray Mabus, to ensure that DON contractors are fully compliant with contracting regulations and procedures.” In September, the Glenn Defense Marine investigation saw the arrests of Leonard Glenn Francis, the CEO of Singapore-based Glenn Defense Marine Asia Ltd. (GDMA), U.S. Navy Commander Michael Vannak Khem Misiewicz and NCIS Supervisory Special Agent John Bertrand Beliveau II. The complaints against them allege that Francis paid Misiewicz and Beliveau with luxury travel and prostitutes in exchange for confidential information and other assistance in relation to hundreds of millions of dollars in Navy contracts. A third Navy official, Cmdr. Jose Luis Sanchez, 41, was arrested in Tampa and was charged with accepting $100,000 from Glenn Defense Marine Asia.