SOUTHERN HORIZON

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Owner and managing director accused of using a paper captain

The U.S. Coast Guard is prosecuting John D. Gibbs, the owner and managing operator of the 'Southern Horizon', caught using a foreign national as master – a so-called ‘paper captain’ – on Oct. 19, 2022, as part of a broader operation by the Coast Guard to address the increased instances of vessel owners illegally hiring foreign captains to command U.S. flagged ships in violation of the Jones Act. If found guilty Mr. Gibbs, who is a repeat paper captain offender, faces over $12,000 in fines, according to Coast Guard officials. The Coast Guard chose to prosecute the vessel managing operator and not the actual paper captain on board who was pretending to be in charge, although it is the prerogative of the Coast Guard to do so. . It allows the Coast Guard to seek higher penalties for repeated violations and to go to the heart of the problem, the managing operator. The Southern Horizon case was presented to a Coast Guard hearing officer on Nov. 29, and a decision was expected within 30-90 days. If found guilty, Gibbs and the vessel face a litany of potential penalties, including the invalidation of the certificate of documentation, fines, and potential complications with payment plans if there is a lien or mortgage on the vessel.