I was roaming around the North Sea once during the big Norway hullabaloo, terrible weather - I mean visibility on the surface was nil so we stayed submerged. We could hear many nearby ships on the hydrophone and "listened" as several of them sank around us. I've also seen contacts suddenly turn into sunk ship icons in other areas during really bad weather.
It's always possible as noted above that somebody else came along and got the kill, but I would say that, yes, in really bad weather you can see ships sink just from that alone.
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