KUALA LUMPUR (Jan 5): Palm oil refinery builder Ecoscience International Bhd’s (EIB) wholly-owned subsidiary Ecoscience Manufacturing & Engineering Sdn Bhd is suing RDS Marketing Malaysia Sdn Bhd to recover RM2.38 million in unpaid dues.

In a filing with Bursa Malaysia on Friday, the ACE Market-listed company said Ecoscience Manufacturing & Engineering has served a writ of summons and statement of claim to RDS Marketing in the High Court of Malaya in Shah Alam, Selangor.
 
Ecoscience Manufacturing & Engineering’s claim against RDS Marketing pertains to the latter's failure to pay the remaining sum of RM2.38 million for the completion of a project featuring a one-storey factory and warehouse, a two-storey office building and a substation in Bandar Sri Sendayan, Negeri Sembilan for GoodGloves Industries Sdn Bhd.

"The total contract sum for the project was RM4.4 million and the balance amount of RM2.38 million remains due and owing to the plaintiff (Ecoscience Manufacturing & Engineering) since May 2022," said EIB.

EIB added that the lawsuit is not expected to have any material financial and operational impact on the group for the financial year ending Dec 31, 2024 as full amount of the sum has been provided for bad debts and the contract has been completed.

EIB shares closed up 0.5 sen or 1.35% at 37.5 sen on Friday, giving it a market capitalisation of RM140.25 million.