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(1) In every case in which a conviction has been secured, against the owner of a ship for a contravention of this Act, and a fine has been imposed:

(a) the ship shall if the fine is not paid, be liable to be seized after such reasonable notice as the Director-General may in each case determine has been given; and

(b) the ship may be sold by any person authorized for that purpose in writing by the Director-General and that person may by a bill of sale, give to the purchaser a valid title to the ship free from any mortgage or other claim on it which at the time of the sale may be in existence.

(2) Any remainder from the proceeds of sale after the payment of the fine and the costs of conviction, together with the costs of the seizure and sale, shall be paid over to the owner of the ship, or the mortgagee, as the case may be.