Monday, November 24, 2008
By Sandra Tsui in Hong Kong - Monday 24 November 2008
SOUTH KOREAN dry bulk specialist Parkroad Corp confirmed that it has gone bankrupt and its vessels are being operated by Sinokor Maritime Co Ltd.
Rose Jang from the accounting department of Parkroad’s Singapore office confirmed on Monday that the company is bankrupt and all the other staff in Singapore had resigned. Ms Jang said she was the only one working in the office.
A spokesman Mr SK Chung from Sinokor in Seoul also confirmed that they are operating eight vessels owned by Parkroad.
Mr Chung said the eight vessels consist of mainly Panamax and Handisize bulkers and the ships are not on charters.
Parkroad claimed that it it owned eight bulk carriers totalling 459,227 dwt and two pure car and truck carriers when answering the inquiries from Lloyd’s List last month. The company has offices in South Korea, Shanghai, Singapore and Jakarta.
It is understood that Parkroad was in debt to South Korea-based financial services companies Shinhan Capital which is now handling its bankruptcy case.
The shipping finance department of the financial institute told Lloyd’s List last Friday that Parkroad owed Shinhan Capital an unspecified amount of money before, but had already paid back their loan.
However, Shinhan Capital declined to disclose the amount of loan it had lent to Parkroad, or to explain how Parkroad could pay back the loan.
Parkroad is the second Korean operator to run into financial difficulties since October. C& Group imploded after a failed attempt to rescue its shipbuilding arm. Both its liner operation and its dry bulk arm, C& Shipping, closed for business after repeated attempts to raise money through asset sales and bond issues were rejected by the market.