BOSTON, June 08, 2023 (GLOBE NEWSWIRE) -- Block & Leviton LLP (www.blockleviton.com), a national securities litigation firm, announces that it has filed a class action lawsuit on behalf of shareholders against Tingo Group, Inc. (NASDAQ: TIO) and certain of its executives, for securities fraud. The complaint was brought in United States District Court for the District of New Jersey and is captioned Bloedorn v. Tingo Group, Inc., et al., No. 2:23-cv-03153 (D.N.J.) and is brought on behalf of investors that incurred damages on their purchases in Tingo Group, Inc. securities between December 1, 2022 and June 6, 2023, inclusive.
A class has not yet been certified, and until certification occurs, you are not represented by an attorney. If you choose to take no action, you can remain an absent class member.
Investors who purchased Tingo Group, Inc. shares between December 1, 2022 and June 6, 2023 and who lost money are strongly encouraged to contact Block & Leviton attorneys at (617) 398-5600, via email at cases@blockleviton.com, or to visit our website for information on the case.
The deadline to seek appointment as lead plaintiff is August 7, 2023.
What is this all about?
Before the market opened on June 6, 2023, noted short seller Hindenburg Research published a report titled “Tingo Group: Fake Farmers, Phones, and Financials—The Nigerian Empire That Isn’t.”
The Hindenburg Report concluded that Tingo is a brazen fraud with no legitimate business operations. Tingo’s revenue metrics from various subsidiaries are vastly inflated when compared with their paltry or nonexistent business activities. According to Hindenburg, Tingo has proclaimed that it is building state-of-the-art facilities that do not exist, has contracts with customer and suppliers who deny ever having heard of Tingo, and has hundreds of millions of dollars in cash reserves that are unaccounted for. Tingo’s repeated lies to investors began after the acquisition of Tingo Mobile and Tingo Foods from entities controlled by Defendant Dozy Mmobuosi, an entrepreneur who has fabricated his educational and professional background and gained hundreds of millions of dollars in the transactions with Tingo.
On the day the Hindenburg Report was published, Tingo’s share price fell $1.23 per share, or 48%, to close at $1.32 per share, on high trading volume.
Throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants misled investors by failing to disclose that: (1) the Company overstated its revenue and other accounting metrics, creating a false impression of success; (2) the Company was not meaningfully engaged in many of the business activities that it claimed would drive future growth; (3) many of the Company’s supposed contracts with customers and suppliers did not exist; and (4) in light of the above, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
If you purchased or acquired Tingo Group, Inc. shares between December 1, 2022 and June 6, 2023 and have questions about your legal rights or possess information relevant to this matter, please contact Block & Leviton attorneys at (617) 398-5600, via email at cases@blockleviton.com, or visit our website. The deadline to seek appointment as lead plaintiff is July 25, 2023.
Block & Leviton LLP is a firm dedicated to representing investors and maintaining the integrity of the country’s financial markets. The firm represents many of the nation’s largest institutional investors as well as individual investors in securities litigation throughout the United States. The firm’s lawyers have recovered billions of dollars for its clients.
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CONTACT:
BLOCK & LEVITON LLP
260 Franklin St., Suite 1860
Boston, MA 02110
Phone: 617-398-5600
Email: cases@blockleviton.com
SOURCE: Block & Leviton LLP
www.blockleviton.com
