A cruise ship operator agreed Friday to pay a $1 million fine and $1 million in restitution to settle charges it illegally dumped oily bilge water in Alaska's scenic Inside Passage.

Under an agreement with prosecutors, Carnival Corp's Holland America Line will plead guilty to violations of federal and international pollution laws.The sanctions amount to the second-largest penalty ever assessed against a cruise ship operator for environmental violations, U.S. Attorney Robert Bundy said.