NEW YORK, Aug. 23, 2024 (GLOBE NEWSWIRE) -- The law firm of Kirby McInerney LLP reminds investors that a class action lawsuit has been filed in the U.S. District Court for the Eastern District of New York on behalf of those who acquired PDD Holdings Inc. f/k/a Pinduoduo Inc. (“PDD” or the “Company”) (NASDAQ: PDD) securities during the period of April 30, 2021 through June 25, 2024, inclusive (“the Class Period”). Investors have until October 15, 2024 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
[Click here to learn more about the class action]
On March 21, 2023, Reuters published an article revealing that Google had suspended the Pinduoduo app after it had detected malware issues. On this news, the price of PDD ADSs declined by $3.35 per share, from $78.93 on March 21, 2023, to close at $75.58 per share on March 22, 2023. Then, on March 27, 2023, Bloomberg published an article stating that the cybersecurity company Kaspersky Lab had identified potential malware in versions of the Chinese shopping app that “exploited system software vulnerabilities to install backdoors and gain unauthorized access to user data and notifications.” On this news, the price of PDD ADSs declined by $2.28 per share, to close at $71.68 per share on March 27, 2023.
On June 23, 2023, Business Insider published an article based on Congress’s investigation into PDD’s e-commerce shopping platform Temu titled “Temu reportedly relies on customers and suppliers to report if goods from the site were produced by forced labor.” On this news, the price of PDD ADSs declined by $3.09 per share, to close at $69.80 per share on June 23, 2023.
On June 25, 2024, the Attorney General of Arkansas announced that he sued Temu for violations of the Arkansas Deceptive Trade Practices Act and the Arkansas Personal Information Protection Act. The announcement stated that “[t]hough it is known as an e-commerce platform, Temu is functionally malware and spyware. It is purposefully designed to gain unrestricted access to a user’s phone operating system.” On this news, the price of PDD ADSs declined by $1.77 on June 26, 2024, and then an additional $6.29 to close at $131.94 per share on June 27, 2024.
The lawsuit alleges that the Company misrepresented that it complied with all applicable laws relating to privacy and cybersecurity, maintained complete security over confidential or private information of its customers, and did not use “forced, penal, or child labor.”
If you purchased or otherwise acquired PDD securities, have information, or would like to learn more about this investigation, please contact Thomas W. Elrod of Kirby McInerney LLP by email at investigations@kmllp.com, or by filling out this CONTACT FORM, to discuss your rights or interests with respect to these matters without any cost to you.
Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, whistleblower, and consumer litigation. The firm’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm can be found at Kirby McInerney LLP’s website.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Contacts
Kirby McInerney LLP
Thomas W. Elrod, Esq.
212-699-1180
https://www.kmllp.com
investigations@kmllp.com
