The sinking of Utopia was blamed on "grave error of judgement" of her captain John McKeague, who survived the accident.

[1] In April 1876, Anchor Line transferred Utopia, Elysia, Anglia and Australia to serve the route from London to New York City.

[6] On 25 February 1891 Utopia sailed out from the port of Trieste for New York City, with stopovers at Naples, Genoa and Gibraltar.

[8] According to Captain John McKeague's signed statement, Utopia normally carried seven lifeboats that could accommodate up to "460 people in moderate weather" but on the night of the catastrophe one of these boats was missing.

Suddenly, a "strong gale combined with current swept the vessel across the bows of the Anson, and in a moment her hull was pierced and cut by the ram of the ironclad".

[11] According to third mate Francis Wadsworth, the impact occurred at 6:36 p.m.[12] Anson's ram tore a hole 5 metres (16 ft) wide below Utopia's waterline, and her holds quickly flooded.

[9] McKeague ordered the lowering of the lifeboats and to abandon ship, but Utopia suddenly listed 70 degrees, crushing and sinking the boats.

[11] Anson, the Swedish Navy corvette Freja, and other nearby ships immediately sent rescue crews to the site, but rough weather and a strong current made it difficult for them to approach the wreck.

"[11] Two sailors from HMS Immortalité, James Croton and George Hales, drowned attempting to rescue survivors[2] when their boat drifted on the rocks.

[17] The court ruling on the second Utopia collision set a precedent of maritime law that remained in place for 35 years.

Judge Sir Frances Jeune, contrary to established practice,[18] absolved the owners of Utopia from liability because they had legitimately transferred "control and management of the wreck" to the Port of Gibraltar.