Schemes of the Lich King
As much a part of the legend of Darkveil as the city, itself, the Sea Bitch is seen as a bad omen to sailors everywhere for those who see it, or think they see it. It was the main ship of the-fated Kildane expedition.
The closest anyone ever came of discovered what had happened to the Kildane expedition was the occasional sighting of the Sea Bitch. In one instance, it was seen floating adrift near the island of Creel. No souls appeared to be on board and there was no indication of what had become of them. However, when rescue teams were sent to investigate, the rescuers never returned and the Sea Bitch floated into the fog, never being seen again.
This is why the ship, among other reasons, is seen as an ill omen.