Another Panamanian-flagged Ship Hijacked by Somali Pirates

Pirates have seized another Panamanian-flagged carrier off the coast of the Seychelles.

A ship flies the Panamanian flag because it is registered in the country to take advantage of the infrastructure (discount on Panama Canal transits), maritime laws, anonymous ownership options, and tax breaks.  Panama is considered to be one of the best places to register ships, among other things.

As is the case with the latest hijacked ship, it has little to do with the territory of Panama itself.  The MV Al Khaliq is owned and operated by SNP, an India-based company with the motto “Safe and Cleaner Sea”, managed by British Holbud Shipping.

Twenty-four Indian and two Burmese crew are aboard along with now six pirates with automatic weapons.