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Premier Cruises Update

September 15, 2000
Premier Cruises has ceased operations. "It is our understanding that mortgage holders...are seizing ships as collateral for a defaulted loan," says Ronald Murphy, deputy director of the Federal Maritime Commission┬╣s Bureau of Consumer Complaints and Licensing. Cruise passengers currently sailing on the five-fleet line have disembarked mid-voyage in ports such as Halifax and Nassau and will fly back to the cruise┬╣s original port.

Travelers who have placed deposits on future Premier Cruises are eligible for refunds because the line maintained a $15 million bond with the Federal Maritime Commission, but Murphy suggests that those passengers who had either taken out third-party insurance (that covers default), or paid by credit card, first attempt to file for refunds through those channels. For more information on filing a claim via the Federal Maritime Commission, resolution of which could take anywhere from several months to a year, call (202) 523-5807.

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