ETFOptimize | High-performance ETF-based Investment Strategies

Quantitative strategies, Wall Street-caliber research, and insightful market analysis since 1998.


ETFOptimize | HOME
Close Window

OceanGate, company behind missing Titanic tourist sub, once subject of lawsuit over safety complaints

OceanGate once faced a lawsuit from a former employee who alleged they were fired for raising safety concerns about the vessel that went missing while descending to the Titanic.

OceanGate, the company behind the submersible that went missing while visiting the wreckage of the Titanic, was once the subject of a massive lawsuit from an employee who alleged he was fired because he had raised safety concerns over how deep the vessel could descend.

The former OceanGate employee, David Lochridge, refused to greenlight manned tests of the submersible over safety concerns. The Washington-based company later sued Lochridge for disclosing confidential information. 

Lochridge then counter-sued, alleging that OceanGate had fired him for voicing his concerns about the vessel. 

Lochridge’s counterclaim states he used an inspection report that identified numerous issues that posed "serious safety concerns, and offered corrective action and recommendations for each." 

ONE OF PAKISTAN'S RICHEST MEN, SON, ABOARD MISSING OCEANGATE TITANIC TOURIST SUBMARINE

After Lochridge’s inspection report, OceanGate called a meeting that included the company’s CEO, human resources director, and engineering director. 

At the meeting, Lochridge discovered why he had been denied access to the viewport information from the engineering department: The viewport at the forward of the submersible was only built to a certified pressure of 1,300 meters – although OceanGate intended to take passengers down to depths of 4,000 meters, according to the complaint. 

The documents say Lochridge learned the viewport manufacturer "would only certify to a depth of 1,300 meters due to the experimental design of the viewport supplied by OceanGate, which was out of the Pressure Vessels for Human Occupancy standards. 

"OceanGate refused to pay for the manufacturer to build a viewport that would meet the required depth of 4,000 meters," the complaint states.

"Rather than address [Lochridge’s] concerns or undergo corrective action to rectify and ensure the safety of the experimental Titan, or utilize a standard classification agency to inspect the Titan, OceanGate did the exact opposite – they immediately fired Lochridge," the counterclaim states. "OceanGate gave Lochridge approximately 10 minutes to clear out his desk and exit the premises." 

The New Republic was the first to report on the lawsuit.

OCEANGATE TITAN DISAPPEARANCE: HAMISH HARDING'S FAMILY, ACTION AVIATION HOLD OUT HOPE IN NEW STATEMENT

The submersible Titan was reported overdue Sunday night about 435 miles south of St. John's, Newfoundland, according to Canada's Joint Rescue Coordination Center, spurring a desperate international rescue effort. Rescuers were racing against the clock because the oxygen supply could run out by approximately 6 a.m. Thursday.

The expedition was led by OceanGate, making its third voyage to the Titanic, which struck an iceberg and sank in 1912, killing all but about 700 of the roughly 2,200 passengers and crew.

The five people on the vessel are OceanGate CEO Stockton Rush, British businessman Hamish Harding, father-and-son Shahzada and Suleman Dawood, who are members of one of Pakistan’s most prominent families, and Paul-Henry Nargeolet, a former French navy officer who is considered a Titanic expert. 

The five-person submersible weighs 20,000 lbs. and is capable of diving 13,120 feet. The U.S. Coast Guard estimated Tuesday afternoon that the missing OceanGate Titan submarine should run out of breathable air by Thursday morning.

CLICK HERE TO GET THE FOX BUSINESS APP

Fox News Digital has reached out to OceanGate for comment. 

The Associated Press contributed to this report. 

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.


 

IntelligentValue Home
Close Window

DISCLAIMER

All content herein is issued solely for informational purposes and is not to be construed as an offer to sell or the solicitation of an offer to buy, nor should it be interpreted as a recommendation to buy, hold or sell (short or otherwise) any security.  All opinions, analyses, and information included herein are based on sources believed to be reliable, but no representation or warranty of any kind, expressed or implied, is made including but not limited to any representation or warranty concerning accuracy, completeness, correctness, timeliness or appropriateness. We undertake no obligation to update such opinions, analysis or information. You should independently verify all information contained on this website. Some information is based on analysis of past performance or hypothetical performance results, which have inherent limitations. We make no representation that any particular equity or strategy will or is likely to achieve profits or losses similar to those shown. Shareholders, employees, writers, contractors, and affiliates associated with ETFOptimize.com may have ownership positions in the securities that are mentioned. If you are not sure if ETFs, algorithmic investing, or a particular investment is right for you, you are urged to consult with a Registered Investment Advisor (RIA). Neither this website nor anyone associated with producing its content are Registered Investment Advisors, and no attempt is made herein to substitute for personalized, professional investment advice. Neither ETFOptimize.com, Global Alpha Investments, Inc., nor its employees, service providers, associates, or affiliates are responsible for any investment losses you may incur as a result of using the information provided herein. Remember that past investment returns may not be indicative of future returns.

Copyright © 1998-2017 ETFOptimize.com, a publication of Optimized Investments, Inc. All rights reserved.