After reading more articles, I completely understand why they were driven out of business now.
I learned in a class I'm taking, know as ECET 360: SMT Technology, about how Europe has a lot of strict rules on electronics in the country.
In July 2006, EU legislation new law went into effect to ban the use of lead in electronic devices. The EU RoHS directive proposes bans on five substances; lead, mercury, hexavalent, chromium, and polybrominated biphenyls (PBB), and polybrominated diphenyl ehters (PBDE) for cosumer and many commercial devices. Also, there are requirements for electronic equipment to be made of lead-free solder.
Basically, Sony and many other electronics businesses around the globe have to design their electronics internally, for Europe in mind (when they release a device to the European market). The U.S., Japan, and other countries don't have these strict regulations (there's also many power regulations too for the European market, but I won't get deep into it). So, if Sony were to get caught with an imported console/handheld in Europe because it doesn't meet the requirements (laws just passed in Europe), they'd be in big trouble with the European government. Basically, lik-sang was getting themself into huge trouble doing this (breaking European law), so that's possibly why they didn't defend the case (I doubt Lik-Sang has any Electrical Engineers working for them).
So, Sony was only doing what was right. Anyone who tries to say
Sony over this, well, it is Lik-Sang's fault and Sony has to protect their company from getting into bigger problems.
For some power requirements, a European outlet can supply 240Vrms (also 340Vp, 680Vpp) at 50Hz frequency. The U.S. and Japan outlet can supply 120Vrms (also 170Vp, 340Vpp) at 60Hz frequency. Due to the outlets being different (where the ones in Europe supply a higher voltage), that isn't technically safe.