Posted Mar 15, 2010, 5:08 AM
|
|
Site 8 Lives
|
|
Join Date: Feb 2007
Location: Vancouver's North Shore
Posts: 1,285
|
|
The full story from the North Shore News...
WV ferry scuttled by loan dispute
Munisha Tumato
North Shore News
Friday, February 19, 2010
Coastal Link Ferries ended service between West Vancouver, Vancouver and Bowen Island Feb. 12 after its vessel was seized.
A struggling Ambleside ferry service that was just beginning to pick up steam sank Friday as a result of a court decision to arrest the company vessel.
Coastal Link Ferries will no longer provide ferry service between West Vancouver, Vancouver and Bowen Island. Owner and operator Ihab Shaker, who launched the ferry service 16 months ago, picking up passengers from West Vancouver's 14th Street pier since mid-November, said the turn of events is "frustrating."
The Coastal Runner was seized Friday after a B.C. company that holds the vessel's mortgage claimed the owner hadn't been paying his bills.
Graham Walker, a lawyer for the lender, said the vessel was seized after months of missed mortgage payments.
The amount owed on the vessel is $650,000, not including the accumulated interest, said Walker.
But the vessel's captain emphatically denied missing any payments. "She was paid in full, on time for the entire duration of the agreement we had."
The seizure came just days before the vessel, which was approved as a transport vehicle by VANOC's integrated security unit, was to be privately chartered to ferry dignitaries to West Vancouver.
Shaker said that ridership has increased "tremendously" since the beginning of February with the surge of Olympic event-goers. Every one of the 70-seat vessel's hourly runs was filled to capacity on Friday, and Shaker said the phone calls and emails for bookings were flooding in. That same Friday afternoon, the vessel was arrested.
"It has been a devastating weekend," said an emotional Shaker in an interview Tuesday. "Not only because of the money I've invested in the boat . . . but also because of the hard work -- waking up almost every morning at 4 a.m. for almost a year, working very hard for almost a year and a half, subsidizing the business because I knew eventually it would work. And sure enough, it did."
Shaker said he went to a private investor in 2008 when he was unable to secure a bank loan to buy the Coastal Runner. When he attempted to renew the one-year contract in November, Shaker said his investor refused.
It appeared that the ferry service, which struggled with low ridership in the first three months of its trial run, was beginning to garner support. Shaker said he had set up a meeting with Translink to discuss the possibility of a partnership that would have allowed him to unload passengers at Waterfront Station.
Walker stated that the seizure of the Coastal Runner had "nothing whatsoever" to do with the Olympics. He said his client was concerned for her security as mortgagee when, after six months of effort, a satisfactory arrangement could not be reached. "She decided that she needed to take steps and the timing was just what it was: timing."
Shaker speculates his investor is interested in taking over the operation of the ferry business, a claim that Walker did not deny, saying his client would pursue "whatever appears to us to be the most beneficial solution" to recover the money owed on the boat.
"It is very, very unfortunate, because it was such a well received service," said Shaker. "It was the right boat, the right schedule, the right price, the right destination. It was the right concept. In the past, no one came close to achieving what I achieved in a year and a half."
The idea of establishing a commuter ferry link between West Vancouver and Vancouver was last proposed in council in 1999, but was eventually abandoned because of concerns over cost and viability.
© North Shore News 2010
|