2016 financial collapse
In April 2016, Hanjin applied to its creditors for debt restructuring, in order to avoid formal insolvency proceedings.[1] On August 31, 2016, Hanjin filed for bankruptcy protection at the Seoul Central District Court and requested the court to freeze its assets, after losing support from its banks the previous day.[2] According to the Reuters report, the court will decide whether Hanjin Shipping should remain as a going concern or be dissolved in a few months.[2] Hanjin vessels are experiencing access issues to ports globally.[3] Ports and other firms are demanding arrears and prepayments before providing services to Hanjin vessels. [3]
On September 2 Hanjin Shipping Co. filed papers in U.S. Bankruptcy court in Newark, New Jersey that would allow its vessels to dock without its ships, cargo or equipment being confiscated by creditors. As of September 9 the Hanjin Greece will be allowed to dock, discharge and load containers at the Port of Long Beach. Hanjin Montevideo and Hanjin Boston are expected to dock