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Court rules $10 mln in damages for Galapagos spill
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ECUADOR: October 4, 2002


QUITO, Ecuador - An Ecuadorean court this week ordered an insurance company to pay $10 million in damages for a January 2001 fuel spill in the pristine Galapagos Islands that threatened its unique ecosystem.


The "Jessica" - a commercial boat insured by London-based Terra Nova Insurance Co. - spilled 175,000 gallons (662,447 litres) of fuel when it ran aground in the archipelago, located in the Pacific Ocean 625 miles (1,000 km) west of the coastline, according to court papers.

The spill alarmed ecologists and animal lovers worldwide and heightened concerns that Ecuador is too lax in monitoring the islands, whose rich concentration of species inspired 19th century British naturalist Charles Darwin's theory of natural selection.

The superior court in the port city of Guayaquil ordered Terra Nova to pay Galapagos National Park $10 million for the damage suffered by the Galapagos marine reserve, court papers said.

The court threw out charges included in the suit against the boat's owner, Acotramar, and state oil subsidiary Petrocomercial, which face a criminal lawsuit in the case. Galapagos National Park filed the lawsuits after Terra Nova said its insurance policy for the Jessica was not valid at the time of the spill.

Most animals escaped the spill unscathed but a scientific study showed 62 percent of iguanas on one affected island died within the year, heightening fears that the accident's long-term effects have yet to be seen.

"The environmental costs caused by the Jessica can't be quantified. The most important thing is to set a precedent," Galapagos park director Eliecer Cruz told Reuters after the decision.

The islands, a U.N. World Heritage site since 1978, are home to sea lions, iguanas and giant tortoises.


REUTERS NEWS SERVICE



© 2008 Reuters Limited. All rights reserved. Republication or redistribution of Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Reuters.
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