Who is the registered owner of the correct vessel? that information may bring some resulting comments and advice.

What has happened since the arrest and is there an update?

I've found a picture of the US docuemented LADY MICHELLE, and she has a different layout of pilothouse windows, concrete evidence that this is not IMO 7223833.
If I had to guess, I'd suggest this vessel is likely built by Master Marine, but that is in no way helpful in narrowing down her identity.
The US Coast Guard does have record of a 70 ft pleasure craft named LADY MICHELLE registered to St Vincent & Grenadines, but unfortunately it was built by Hatteras Yachts and is fiberglass. Definitely not this one!

Spot on, Kyle. Here in tow of USCG to St Vincent (flag state):
https://d.ibtimes.co.uk/en/full/1595309/lady-michelle.jpg?w=736

But I have some doubts about whether this is IMO 7223833. That is indeed a fishing vessel of about the right size, but according to USCG, that LADY MICHELLE is currently in documentation, which was renewed in 4/2016, and registers have her changing hands in the US in 2010, two years after this one was seen in Tortola.
http://www.st.nmfs.noaa.gov/pls/webpls/cgv_pkg.vessel_id_list?vessel_id_in=532144

Current news reports have the raided vessel as on the St Vincent & Grenadines. register.

Possibly the "70-foot fishing vessel" recently busted with 4.2 tons of cocaine onboard.
http://m.jamaicaobserver.com/mobile/news/US-Caribbean-Coast-Guard-make-multi-million-dollar-drugs-bust