(1) The Minister may make regulations relating to signals of distress and urgency and the signals prescribed by the regulations shall be deemed to be signals of distress and urgency.
(2) Where a master of a ship or any other person uses or displays or causes or permits any person under his or her authority to use or display—
(a) any signal of distress or urgency, except in circumstances and for the purposes prescribed; and
(b) any signal that is liable to be mistaken for any signal of distress or urgency,
the master or person commits an offence and, in addition to any penalty imposed upon him or her on summary conviction, he or she is liable to pay compensation for any labour undertaken, risk incurred or loss sustained in consequence of the signal having been supposed to be a signal of distress or urgency; and such compensation may, without prejudice to any other remedy, be recovered in the same manner in which salvage is recoverable.
(3) Where a master or any other person who contravenes subsection (2) is an officer certificated or licensed under this Act, he or she shall be subject to an inquiry into his or her conduct as provided in section 114.