On March 4, the Caledonian Sky made contact with a coral reef in Indonesia, requiring a tugboat to tow the ship off and leaving significant damage to the reef.

The ship was understood to have run aground during low-tide while on a bird-watching theme cruise.

Now, the Indonesia government is clamping down and has levied an Rp6 trillion fine, the equivalent of $450 million. The Indonesian environmental ministry said the ship destroyed some 13,270 square meters of the coral reef.

A local news report said that the cruise line has passed on payment responsibility to its insurance firm, SPICA, which is negotiating with the government.