It’s standard practice for vessels to be legally owned by brass-plate companies set up in far-flung tax shelters, of which the Marshall Islands is one of many. Even maritime insiders often find it difficult to determine who a ship actually belongs to, behind whatever entity, usually with a meaninglessly generic name, is listed on an official document. This lack of transparency allows for substantial cost cutting, for example by placing vessels’ earnings far beyond the reach of major tax authorities—as well as regulatory evasion.
