Acquired by the US Navy on 29 May 1941, she was placed in service on 9 July 1941. Sea Otter I operated in waters of the 3rd Naval District. She was placed out of service on 6 November 1941 and struck from the Navy List on 24 June 1942. Sea Otter's provision unit was shipped to the Naval Engineering Experimental Station in Annapolis, Maryland, and her hull was scrapped.