Rolls-Royce was found guilty of fraud in January after it marketed its Mermaid pod propulsion system to Carnival Cruise Lines for operation on the Queen Mary II, according to a story in Maritime Executive magazine.

A jury found that at the time Rolls-Royce presented its pod to Carnival, the company knew that the pod was defective and not fully developed. Rolls-Royce was told to pay Carnival $24 million.

Rolls-Royce argued that the problems with Carnival’s propulsion system were isolated incidents and that the Mermaid pods were not faulty. Rolls-Royce also argued that Carnival knew it was purchasing a risky, developmental product.

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