After unsuccessful appeals in China, eight parents of children sickened by melamine-tainted milk manufactured by China’s Sanlu Group went to Hong Kong where they filed the first case against Sanlu overseas. They filed a writ at the Small Claims Tribunal to seek compensation from the Fonterra Cooperative Group, Sanlu's second largest shareholder, which is registered in Hong Kong. According to [the plaintiffs’] attorney Peng…the Fonterra Group had known about the tainted milk as early as August 2008 and did not report it…until six weeks later. “Being the second largest shareholder…Fonterra had the obligation to inform consumers. I believe the company is liable for the tort of negligence,” Peng said...Fonterra's General Counsel David Matthews...stated that the tragedy happened in China and was compensated there...