The company also filed for bankruptcy protection in the US Friday to protect its vessels from being seized by creditors, the Wall Street Journal reported.
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In a bid to protect its vessels from being seized, Hanjin Shipping is looking to secure stay orders in 43 countries in order to protect its vessels, according to Bloomberg.
It said South Korea will ask each country to expedite the “Stay Order” process. Hanjin said that out of 141 vessels it operates, 68 were not operating normally, were stranded or seized, as of Sunday.
At least three USA firms have launched legal action against Hanjin to seize vessels and other assets over unpaid bills.
Hanjin’s bankruptcy would be by far the largest in the history of container-shipping, which is suffering from its worst downturn in six decades.
As of Monday, 79 Hanjin ships including 61 container ships and 18 bulk carriers have been denied port access, according to South Korea’s maritime ministry.
Drewry Maritime Research said in a note on Monday it was hard to see how Hanjin can survive as customers look for alternative carriers.
Hanjin vessels are now carrying cargo worth 16 trillion won ($14.5 billion) belonging to some 8,300 cargo owners, the Korea International Trade Association said, adding that the carrier has unpaid bills amounting to 610 billion won.
Shares in South Korea’s foundering shipping giant Hanjin were volatile on Monday after filing for bankruptcy protection in Seoul and reportedly the United States, rocking the troubled maritime freight industry.
Hanjin, the world’s seventh and South Korea’s largest shipping firm sought court protection after creditors rejected its latest plan for dealing with a hulking $5.37 billion debt.
According to Hanjin, 68 out of its fleet of 141 ships have been stranded in global waters, while several ships have already been seized in ports.
Hanjin is likely to have more recourse against its ships being seized in countries which, like South Korea, have signed the United Nations-backed UNCITRAL Model Law on Cross Border Insolvency, which include the United States, United Kingdom, South Africa and Australia, legal sources said.
Officials said the aim is to minimize seizures of Hanjin’s ships by creditors that are disrupting flows of cargo.
South Korean regulators allowed share trading to be resumed Monday after Hanjin’s court receivership was granted, but the share price plummeted by the daily limit of 30 percent shortly after the market opened.
KEPCO said it did not anticipate a significant impact on construction as it does not expect the seizure to last long and has ample construction materials at the reactor site.
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Christian Gonzales, senior vice president and head of Asia Pacific Region and Manila International Container Terminal (MICT), told the Manila Standard: “Hanjin’s volumes and revenue contribution are marginal and all our accounts are up to date and settled”.
