April 30, 2010 (FinancialWire) — Synutra International, Inc. (NASDAQ: SYUT), a China-based infant formula maker, said that the U.S. District Court for the District of Maryland has granted the company’s motion to dismiss a civil action complaint filed against Synutra.

According to Synutra, the lawsuit was a product liability action related to the melamine crisis in China. The court granted the company's motion to dismiss in an order dated March 29, 2010, finding that the Chinese judicial system was the more appropriate forum for addressing these actions.

In 2008,  fears over melamine-contaminated infant formula in China caused over 54,000 children to seek medical treatment in that country.

Melamine is commonly used in food contact materials – such as containers and labels — and can also be used in agriculture production such as fertilizer. According to studies, it is suspected cause of kidney problems when in combination with cyanuric acid, a potential impurity of melamine.

Liang Zhang, chairman and CEO of Synutra, stated, "We have already addressed significant legal actions in China, and this dismissal is much more efficient for our company and for our shareholders."

On April 27, 2010, the plaintiffs filed a notice of appeal of the dismissal order.

China-based Synutra International is an infant formula company in China. It principally produces, markets and sells its products under the "Shengyuan," or "Synutra," name, together with other complementary brands.

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