Luxury yacht being damaged

THE captain of the luxury yacht owned by American multi-billionaire John Kluge has complained to the Marine Department that the special cargo buoy the vessel has been allowed to use is chipping the boat's paint work.

Captain Ingo Pfotenhauer has been told, however, that if he wants to keep the Virginian - considered one of the most opulent craft afloat - tied to the buoy then he must take responsibility for his craft.

''He's been specially allowed to use a buoy reserved for cargo ships, so what does he expect? It's normally used by rusting merchant ships,'' one senior Marine Department official said.

''The different options available have been outlined to them, but they've insisted they want to stay there.

''We've tried to be very helpful but they are aware now that Hong Kong's priority is cargo.'' The Virginian has already been given two extensions to use the buoy at about $3,000 per day, but must leave by Friday, despite crew demands for VIP treatment for Mr Kluge.

Such yachts, too big for most typhoon shelters and marinas, usually berth at the privately-owned Ocean Terminal which can charge fees more than 10 times that.