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Chinese firm launches law suit against Malaysia's Proton PDF Print
Posted by admin   
Thursday, 18 December 2008 11:51

(Radio Australia News) Malaysia's Proton car company is being sued for $US146 million by China's Goldstar Heavy Industrial, over the collapse of their joint venture plan to build vehicles in China.

Malaysia's Star Daily newspaper says Goldstar had started legal action in Guangdong province, seeking compensation over the failed venture.

The two companies were to have produced vehicles in a plant in Dongguan province, but Proton reportedly said Goldstar failed to obtain a licence for the joint venture.

The Malaysian firm told the daily, Goldstar's legal action contravenes the agreed arbitration process that was due to be held in Singapore in March.

The Star says Proton has instead signed an agreement to partner with another Chinese firm, Jinhua Youngman Automobile Manufacturing, with the aim of selling 30,000 units of its GEN-2 model in China.

Comments (7)Add Comment
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written by Jan, December 18, 2008 12:36:23
Proton a bumi GLC had its way in Malaysia for decades. All the protection you can think of they got it. I wonder how they feel now in a real world outside of Malaysia.
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written by Dominic, December 18, 2008 12:47:20
Actually PROTON in trading Insolvent...ala Bankrupt.....SELL and Keep selling their shares. Keep Boycotting the Racist UMNO Car that is an insult to our intelligence and the Hallmark of UMNO, Mahathir Ideology, corruption and racism.

99% workers or EON, Proton are of the deceived Supreme malay race. Starve them of one cent of cash flow and Proton will be history by 2010. If Toyota is shutting down factory and laying off workers, lets do our Best to END Legacy of UMNO Racist Mahathir One by One. Do it, YES WE CAN!!

If Not More of your EPF Money will keep propping up these SUB-PAR and Failed UMNO Projects. BOYCOTT Proton, NAZA, Kancil
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written by ahmadneil, December 18, 2008 13:24:52
If not for the rakyat's money this company is long gone.The gov't have been blindly pumping in billions to keep it going,just becos it's said to be our national shame,oh!car,sorry.
Ask that Racist Mahathir what this rubbish white elephant is for.Even looking for a partner is so difficult.Nobody wants to work with Proton becos of the silly policies of the gov't.
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written by kavidibaku, December 18, 2008 14:42:53
padan muka. kilang tin mila ni tipu rakyat buat duit haram. now paying back time.
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written by InEffective, December 18, 2008 15:20:17

Where is the arbitration being held ?

If Malaysia, then outcome is foregone conclusion courtesy of our judges-like-cendol.
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written by ralverd, December 18, 2008 16:33:46
Another lawsuit? No problem. Paid for by the federal government, with taxpayers' money. And the rakyat won't even know what hit them.
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written by seethinkact, December 18, 2008 19:38:36
Having studied the manner in which Malaysian Gomen lost pedra branca to spore (might as well call pulau batu putih is now spore's by default), many parties around the world found a brilliant and easy way to make millions instantly. Here's how:
1st..make a deal with malaysian gomen owned companies.
2nd..work out an agreement with them.
3rd..wait for their smart alec gomen linked CEO's to f**k up. Don't worry, they sure will.
4th..Take them to court and sue them.
5th..Like thier malaysian football team, 99.9% they will lose.
6th..Bingo..you made many millions...Easy mah
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