Chamco Auto, the New Jersey importer working with a Chinese car manufacturer to build an auto assembly plant in Tijuana, said in a statement issued March 3 that it is seeking a 90-day moratorium on the project after its board replaced the management team.
The new team headed by Mario Fela, a former executive with Fiat, filed suit against the former executives, alleging fraud and diversion of funds.
The new executives said they have been negotiating with Hebei Zhongxing to import pickup trucks and sport utility vehicles into Mexico. It is also working with U.S. auto dealers that have signed on to sell Chinese cars.
Bill Pollack, Chamco’s former chairman, said the $300 million Tijuana assembly plant was reportedly going to be built elsewhere, but the new team did not say if that decision has been made.
“There is still the potential this may happen (in Tijuana) but there is still the potential it may not,” said Chamco Auto spokesman Axel Catton.
, Mike Allen