G-T-S Katie standoff ends

Canada's navy has boarded G-T-S Katie and two destroyers are now escorting the ship to port.

The Navy landed 14 Canadian soldiers on the vessel by helicopter.

The captain of the ship claimed his vessel was under attack.

Defence Minister Art Eggleton says there was no attack, the boarding went without incident and all Canadian personnel are safe. Eggleton says Canada has "stayed fully within the bounds of international law".

The small convoy is expected to arrive in Quebec on Sunday.

The American cargo ship is carrying $200 million worth of military equipment back from Kosovo, equipment used by Canadian peace-keepers in the Yugoslav province. It also had three Canadian military personnel returning from Kosovo.

The owners of the ship were refusing to bring it into port until a dispute over money owed was settled with the company contracted by the military to transport the equipment. Both sides are claiming the other side is not living up to their contract.

G-T-S Katie was supposed to have docked in Montreal a couple of weeks ago. But the cargo vessel anchored off the coast of Newfoundland about 160 kilometres off the Avalon Peninsula just outside Canadian territorial waters.

The two warships escorting the vessel are HMCS Athabaskan and HMCS Montreal.