Australian passengers stranded after cruise ship runs out of funds

More than 200 passengers were abruptly told to leave the cruise ship Villa Vie Odyssey in Cambodia after the company could no longer afford to operate the vessel. The decision came during a scheduled stop in the Cambodian port of Sihanoukville.

Among those affected is Lisa McKay, a Queensland woman who paid $63,500 from her superannuation for a retirement cruise. She had planned to board the ship in November but was left in financial limbo after the vessel could no longer afford to operate.

Villa Vie Residences, the company behind the cruise, stated that extraordinary increases in fuel costs had placed its current operating model under unsustainable financial pressure. The company said it could not pass on these costs to residents.

Passengers like Rina Cavazza, who paid $170,000 for a 18-month stay, are now scrambling to find accommodation and arrange their return to Australia. Cavazza said passengers were asked for additional funds to help with fuel costs as far back as February and again, just before docking in Cambodia.

The Cambodian government reported that the bulk of passengers on the ship were from the US and Canada, some of whom had sold their homes to afford the years-long voyage. Travel insurance does not cover losses related to boutique cruise ships, according to passengers.

Villa Vie Residences also cited the ongoing war in Iran as a factor in the sharp rise of fuel costs, which have increased from about $1,800 to $6,000 to $8,000 per cabin in parts of Asia. This has led to a significant financial shortfall for the company.