After looking at your max file, I think it is your proxy material that is causing the problem.
All you should need to do is change the 'Shader' setting of the material to 'No_Draw' instead of the default 'Illum'
Your material has two sub materials so only change the shader setting of the second sub material which you have called 'proxy_ceramic' The proxy material is there for collisions only, so the 'No_Draw' setting should make it invisible.
Hope that helps
Cheers
Jules