SS Federico C. was a cruise ship that made headlines when its passengers were unloaded mid-way through their cruise and the vessel was put under arrest in Halifax Harbour. The ship then sank in international waters three months later. At the time of the sinking, It was owned by International Shipping Partners and insured for $20M while its scrap value was estimated at $5–6M. History The ship was launched on 31 March 1957 and completed in March 1958 by the Ansaldo Sestri Ponente shipyard in Italy as Federico C, the first new ship built for the Costa Cruises. The ship initially provided a liner service between Genoa, Italy and Buenos Aires, Argentina via Rio de Janeiro, Brazil. During that time, in 1963, Witold Gombrowicz traveled from Buenos Aires, Argentina to Europe on the ship. The famous Polish writer and playwright left his home country 24 years earlier aboard MV Chrobry, having been invited to take part in the maiden voyage of the latest addition to the Polish flotilla of liners. In 1966 Federico C was transferred to a service between Genoa and Florida, the Caribbean and Venezuela. The ship underwent a major refit in 1968, then added Caribbean cruises between trans-Atlantic trips. Federico C operated cruises exclusively from 1972 until 1983, when the ship was sold. In 1983, Premier Cruises obtained the ship and named it Royale; it became StarShip Royale in the same year. In 1988, the ship was renamed SeaBreeze when it was placed in service for Dolphin Cruise Lines. One year later, the ship had been refurbished. Premier took possession of the ship when it acquired Dolphin in 1997. When Premier went out of business in September 2000, the ship was ordered to immediately cease operations and dock at Halifax Harbour. Some days later, it sailed to be laid up in Freeport, Bahamas. Sinking On December 17, 2000, the ship sank off the coast of North Carolina/Virginia. The boiler allegedly broke off and damaged the ship. The investigation into the sinking of Seabreeze I caused international concern, based upon numerous suspicious incidents, including the fact that the ship was likely to fetch only between $5 and $6 million for scrap, but had a $20 million insurance policy on it. The cruise ship sank in international waters flying the Panamanian flag, making Panama responsible for the investigation of the sinking. The ship's captain told the United States Coast