On 21 October 1942 Palatia was sailing off Lindesnes, Norway, escorted by the submarine chaser UJ 1704 and a Junkers Ju 88. She had originally been part of a convoy of three vessels with three submarine chaser escorts from the port of Kristiansand, but the tanker Ostermoor had suffered engine failure and the fellow prisoner ship Ostland (with 1,000 prisoners on board) had run aground. One of the escorts had also suffered engine failure.Hafsten 2005: 214Thompson 1953: 330 Palatia's renewed departure from Kristiansand only occurred at 09:00. This left her in an exposed position in poor weather when, at 15:05, she was discovered by one of four Handley Page Hampden torpedo bombers from No. 489 Squadron RNZAF of the RAF Coastal Command that were patrolling the Norwegian coastline that day. At the time the weather was rainy, with winds from strong breeze to near gale and waves.
