FGV served with claims for RM23.39m

PETALING JAYA: Engineering services provider Fulle Technik Sdn Bhd is claiming RM23.39 million from two subsidiaries of Felda Global Ventures Holdings Bhd for alleged breach of contractual obligations.
FGV told Bursa Malaysia, Felda Global Ventures Research & Development Sdn Bhd (FGVRD) and Felda Agricultural Services Sdn Bhd (FAS) were served with Kuala Lumpur High Court writ of summons together with a statement of claim on April 5 by Fulle Technik.
Besides the RM23.39 million, Fulle Technik is also claiming special damages, 5% interest per annum on general damages, 2.5% interest per annum on special damages, exemplary damages, 5% interest per annum on the judgment debt, cost incurred in respect of the suit and other reliefs.
Fulle Technik was appointed by FGVRD via a service agreement dated Sept 30, 2014 to develop a prototype machine known as subsoil fertilizer machine.
However, Fulle Technik alleged that FGVRD’s move to appoint a third party via an open tender to build and supply the machines breached the contractual obligations.
FGV said the material litigation against its subsidiaries may have a material financial impact on the group, whereby total amount will include but not be limited to the claimed amount plus legal fees and costs.
“The company will make the necessary announcement on further development of the Fulle Technik suit in due course.”
FGV’s share price rose 4 sen or 2.4% to close at RM1.73 today on some 5.37 million shares done.