steam yacht ceylon

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A two months' cruise in the Mediterranean in the steam-yacht 'Ceylon'

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Nick Messinger's personal tribute, covering the Company's 'heyday years'

A first attempt to organise a shipboard cruise is recorded in The Shetland Journal of 1835, when the chief editor wrote an article entitled: 'To Tourists', in which he proposed to organise cruises to Iceland and the Faroe Islands in summer and to Spain in winter.

Then, in 1840, P&O operated an excursion trip to the Mediterranean for just 40 passengers, amongst them the writer William Makepeace Thackeray, who penned a comic series for Punch magazine about a trip to the East, which he called 'Notes of a journey from Cornhill to grand Cairo, by way of Lisbon, Athens, Constantinople, and Jerusalem : performed in the steamers of the Peninsular and Oriental Company', dedicated to Captain Samuel Lewis, and published in 1846.

I n 1845 the German weekly illustrated magazine Leipziger Illustrierte Zeitung the following advertisement appeared:

 'An Opportunity For Taking Part in a Voyage Around the World'.

Meanwhile, a Mr. Sloman, ship owner of Hamburg had plans to use one of his sailing vessels for a world cruise.

Across the Atlantic, two years after the conclusion of the Civil War,  the paddle wheeler Quaker City   of 1800 tons, a retired Civil War ship, undertook what is regarded to be the first cruise from New York to Europe in 1867, which then continued on to the Holy Land. One of the passengers on board was Mark Twain, whose book 'The Innocents Abroad' provides a detailed account of the voyage, while making light of his fellow travellers and the natives of the countries and regions that he visited, as well as his own expectations and reactions.

The ss Ceylon of 2,110 tons register. By William Foster of London c 1850

A significant milestone in the evolution of cruising was reached in June 1881, when P&O sold their iron-hulled passenger ship Ceylon, built on the Thames by Jacob and Joseph d'Aguilar Samuda's shipyard and launched on 12th June 1858, to John L Clark of London, who arranged for the ship to be converted to a yacht, and fitted with two new two-cylinder compound engines, manufactured by G Clark of Sunderland.

Requirements introduced by P&O in 1880 that all ships in the company fleet could function as both freighters and passenger ships led to the ship being sold in 1881.

On completion of the conversion, she was sold to the newly formed Inter - Oceanic Yachting Company Limited,

Designed for the P&O's service from Southampton to Malta and Alexandria, the ss Ceylon originally had accommodation for 130 first and 30 second-class passengers. However, the Company found her to be an expensive ship to operate, and one plagued by mishaps, so, in 1865, she was sent to Deptford to have new machinery installed, which greatly reduced her fuel consumption. In 1874 she ran on the Bombay - Australia  service, before being transferred to a short sea service between Venice and Alexandria in 1876.

The DAILY NEWS - 17th September 1881

A PLEASURE TRIP ROUND THE WORLD

A Company which has lately been formed, under the title of the Inter - Oceanic Steam Yachting Company Limited, has bought from the Peninsular & Oriental Company, their screw steamship Ceylon of 2,110 tons register in which it is proposed to make an expedition round the world for the pleasure of any persons who have time enough on their hands to join in it.

 Illustrations from the The Graphic, volume XXIV, no 618, October 1, 1881.

The vessel, since its purchase, has been undergoing a complete refitting, and a large number of gentlemen interested in the undertaking assembled on board her yesterday afternoon for the purpose of making an inspection. The Ceylon is now lying in Victoria Dock where she may be seen by any person s who have an inclination to voyage in her. Her arrangements are all that can be desired. Beside the usual accommodation on vessels of her class a luxurious boudoir for the exclusive use of ladies, and a capital smoking room for gentlemen, are erected on the upper deck, while the berths are extremely convenient, two persons only being allotted to each cabin. The voyage will be commenced on October 15th and will terminate about July 7th, 1882, Captain R D Lunham commanding. Every accommodation has been m ade for conveying private servants of passengers and the vessel is so arranged that the latter will have the whole of the main deck to themselves, without being interfered with by the crew in any way. The charge for the entire cruise is £500 and £150 for the passengers and their servants respectively.

Should the present speculation turn out a success, it is the intention of the Company to organise a regular series to such entertaining and instructive voyages.

A Two Months’ Cruise in the Mediterranean in the Steam-Yacht 'Ceylon'

by William Munro

Chapter XX. Shore — Showery weather-the Schoolmaster — His Opinion of People North and South — Leave Vigo The Northern Channel — The Bay of Biscay — Heavy Swell — Homeward Bound — Ih the Channel — The Dear old Home — Her Kindly Welcome — Arrive at Gravesend — Farewell Speeches 305.

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ISBN: 1241444412

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Jottings of a 75 Days' Cruise in the West Indies. by a Rover. the Cruise of the Steam Yacht Ceylon, Etc. Verses by J. Davies

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• Published: 09 January 1890
• ARTHUR E. BROWN 1  

Nature volume  41 ,  page 225 ( 1890 ) Cite this article

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THE article in NATURE of November 21, 1889 (p. 69), recalls to me mirages I saw in March 1888, while travelling in the East on the steam yacht Ceylon .

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ARTHUR E. BROWN

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BROWN, A. Mirages. Nature 41 , 225 (1890). https://doi.org/10.1038/041225a0

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Issue Date : 09 January 1890

DOI : https://doi.org/10.1038/041225a0

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Luxury yacht skipper loses $400k in scam, faces accused ‘money mule’ in court, says deception ruined his life

Lane nichols.

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Far North commercial skipper Tim Michalick lost $400,000 in an investment scam. He is speaking publicly to highlight flaws in the banking system and deficient customer protections. Photo / Jenny Ling

Sitting in court just metres from the man accused of laundering his stolen $400,000, Tim Michalick felt disgust and “burning hot anger”.

“It was really stressful. I just can’t describe my hatred towards that person. In my opinion, he’s the lowest of the low.”

Michalick, 43 - a luxury yacht skipper based in Kerikeri - thought his family’s life savings were being invested in a low-risk term deposit with HSBC bank.

In fact his money had been sent to an account allegedly controlled by a disbarred Auckland lawyer who is now facing 11 money laundering charges and, if convicted, up to seven years in jail.

Michalick lost the money in January last year and realised he’d been scammed the following month. He said the last 13 months had been a roller coaster of emotions as he came to terms with the sophisticated fraud and tried to navigate a banking regulatory system which he compares to “Swiss cheese.

“This has ruined my f***en life. It’s been so hard and I’ve been on a steady decline since [being scammed]. It’s really turned my life upside down.

“I’ve got the court case coming up. I’m just struggling at the moment to be honest. I ran out of steam at the end of last year and I’ve been running off fumes.”

The Herald revealed Michalick’s story in an investigation last June . At the time he remained anonymous, concerned about the impact going public would have on his personal and professional life.

But Michalick now wants to tell his story openly due to frustrations about the banking sector’s accountability, the ability of criminals to target unsuspecting Kiwis through the country’s deficient payment system with impunity, and what he describes as a “flimsy” and ineffective Banking Ombudsman Scheme leaving some victims without hope.

“All the reasons why I didn’t go public initially still apply. But do I sit back and miss out on opportunities to tell New Zealand what’s going on, or do I go hell for leather to do my bit for all those poor people who are going to be taken advantage of?

“I would be doing the banks a favour if I didn’t come forward.”

‘Sick to my stomach’

Michalick sent his money from his ASB account to what he thought was a Kiwibank “cooling off” account set up under his own name - writing “HSBC term deposit” in the payment reference field.

After Michalick alerted the banks and police to the fraud, Kiwibank was able to recover about half the money. The rest was allegedly used by the suspected mule to pay private school fees or transferred to other accounts.

When the $200,000 was refunded, Kiwibank included the company’s name that received Michalick’s money. He Googled it to find the sole director was the disgraced lawyer whose career downfall had been reported by media.

He is still shocked this man was able to open an account and allegedly use it to conduct criminal activity without being detected by Kiwibank’s fraud security systems.

“The fact he was allegedly operating this long without any oversight from the bank makes me sick to my stomach.”

Michalick handed a dossier of information about the man to police but it took months for stretched fraud investigators to lay charges.

Michalick also complained to the Banking Ombudsman about why a supposed HSBC term deposit payment going to Kiwibank did not raise suspicions with ASB, and about what he believes was Kiwibank “harbouring” a mule account that was allegedly used to launder stolen money.

The Banking Ombudsman dismissed the complaint about ASB, ruling the bank was not at fault. Regarding Kiwibank, the Banking Ombudsman said its current remit prevented it from investigating the actions of receiving banks.

Deflated, Michalick sought a review, but the Banking Ombudsman declined to reopen his complaint this month.

He also complained to the Reserve Bank, claiming Kiwibank had breached anti-money laundering rules through alleged failures to check the customer’s background or monitor the account activity to prevent fraud.

However, the Reserve Bank found Kiwibank was not at fault.

Michalick told the Herald he believed the regulatory system was utterly deficient, with victims left to carry the blame.

“They’re allowing customers to operate without any scrutiny or restrictions on their banking activity and there’s no one I can turn to to hold them to account.

“My only option is to run a private civil case against Kiwibank which costs hundreds of thousands of dollars, and that just can’t be done.”

He believed the Banking Ombudsman scheme was “completely flimsy”. Though it was meant to investigate the banks, two major banks’ CEOs were board members and the banking sector helped draft the scheme’s terms of reference, Michalick said.

He claimed complaints weren’t assessed on a “fair playing field” and believed the scheme wasn’t independent or working to protect consumer rights.

Michalick said he had drawn strength from other victims who were brave enough to tell their stories publicly.

He also thanked the Herald for its coverage, which was a “driving force” in promoting change.

Kiwibank, Banking Ombudsman respond

A Kiwibank spokeswoman said it immediately froze the recipient account when alerted to the fraud and tried to recover funds.

Kiwibank had co-operated with the police investigation and was satisfied it completed all required anti-money laundering checks and that its customer “met the requirements”.

The spokeswoman said there was nothing about Michalick’s transactions to trigger the bank’s security warnings.

Banking Ombudsman Nicola Sladden said she had considerable sympathy for scam victims who often lost life-changing amounts of money.

She strongly refuted Michalick’s criticisms.

The scheme was an independent dispute resolution body which must apply the rules in force at the time of a complaint. Current rules did not require banks to reimburse authorised payment scam victims unless the bank had missed “red flags”.

“We do not make the fraud reimbursement rules. We apply them.”

Sladden’s office had repeatedly urged the Government to review fraud reimbursement laws and strengthen consumer protections.

She said a recent review found the scheme was “highly effective” and operated with “integrity and professionalism”.

The composition of the scheme’s board gave equal representation to banks and consumers, with an independent chair casting the deciding vote.

Sladden said she was “ deeply concerned” about victims’ money being laundered through domestic mule accounts.

But her office was not responsible for supervising the anti-money laundering regime. This was the purview of the Reserve Bank, Financial Markets Authority and Department of Internal Affairs.

Under its terms of reference, her office could not investigate complaints about recipient banks, as they usually provided no “direct service” to complainants.

Receiving banks could not share information about recipient account holders due to privacy laws.

Sladden’s office was considering a review of its terms of reference to consider complaints about payee banks, but this was “likely premature” until they had clear duties to scam victims, she said.

Lane Nichols is a senior journalist and deputy head of news based in Auckland. Before joining the Herald in 2012, he spent a decade at Wellington’s Dominion Post and the Nelson Mail.

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A Two Months' Cruise in the Mediterranean in the Steam-Yacht 'ceylon'. Paperback – February 22, 2010

• Print length 348 pages
• Language English
• Publisher Nabu Press
• Publication date February 22, 2010
• Dimensions 7.44 x 0.72 x 9.69 inches
• ISBN-10 1144936659
• ISBN-13 978-1144936653
• See all details

Product details

• Publisher ‏ : ‎ Nabu Press (February 22, 2010)
• Language ‏ : ‎ English
• Paperback ‏ : ‎ 348 pages
• ISBN-10 ‏ : ‎ 1144936659
• ISBN-13 ‏ : ‎ 978-1144936653
• Item Weight ‏ : ‎ 1.37 pounds
• Dimensions ‏ : ‎ 7.44 x 0.72 x 9.69 inches

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