A local court in Fujian has frozen some assets of financially troubled Fujian Crown Ocean Shipbuilding and is looking to freeze more in an attempt to enforce a ruling to pay the employees of the yard.
The shipyard employees filed a lawsuit against the yard in July 2014 over unpaid salary and the court ruled the shipyard to pay the outstanding payments in October, however the shipyard still hasn’t done so.
In 2015, Fujian Shipbuilding Industry Group reached a preliminary agreement with Crown Ocean Shipbuilding to restructure the yard, however, the deal later fell through.
The yard has now leased part of its shipbuilding facilities to Fujian Mawei Shipbuilding to build ship blocks and a subsidiary of China Railway Engineering Corporation to build steel structures.
