The Nation : $4.7-Million Bond Posted in R.I. Spill

Owners of the tanker that ran aground and spilled 300,000 gallons of oil in Rhode Island Sound have agreed to put up $4.7 million while liability negotiations continue, the Rhode Island attorney general said. Representatives of Ballard Shipping Co. signed a letter of undertaking, which agrees to make available $3.2 million to pay for damages to Rhode Island’s natural resources and more than $1 million for cleanup costs not covered by the federal government, Atty. Gen. James O’Neil said. “In lieu of arresting the vessel we have this bond established that we can levy upon. That doesn’t mean that we can’t go beyond that if we find that there are greater damages,” he said. Ballard Shipping also said it will make available $500,000 for settlements with individuals who were financially hurt by the spill. The heating oil was spilled at the entrance to Narragansett Bay on June 23 when the Greek-flagged World Prodigy struck a reef. The ship’s captain, Iakovos Georgudis, 43, of Athens, has been charged under state law with failing to have a harbor pilot on board and with polluting the coastal waters.