PETALING JAYA: Lynas Corporation has dropped its defamation suit against Save Malaysia Stop Lynas (SMSL) group, according to The Age in its news portal.
Lynas Corporation chief executive Eric Noyrez (pix) on Tuesday said solicitors had been instructed to discontinue legal action against the activist group.
"There is no value in continuing disputes with members of our local community," he said in a statement.
"Therefore, Lynas intends to instruct its solicitors to discontinue its defamation claim against the Save Malaysia Stop Lynas group."
Noyrez said the group's comments had created fear, ahead of the plant's opening in November 2012.
"There were many statements and claims ... which caused anxiety in the community," he said.
Lynas claimed that an article posted on SMSL's website titled “Civil Society Organisations joint statement on Lynas issue: SMSL & Malaysian NGOs statement against Lynas” contained defamatory statements.
Save Malaysia Stop Lynas chairman Tan Bun Teet said he felt vindicated by Lynas' decision to drop the suit.
"We all feel vindicated. We will definitely continue our efforts. We still have the judicial review case on recalling the temporary operating license coming up," he told The Star Online.
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