Xiao-I (US:AIXI) Prnewswireยท2024-10-23 09:45Core Viewpoint - A class action securities lawsuit has been filed against Xiao-I Corporation, alleging securities fraud that affected investors between March 9, 2023, and July 12, 2024 [1][2]. Group 1: Allegations of Fraud - The lawsuit claims that defendants downplayed the risks Xiao-I faced due to non-compliance by certain Chinese shareholders, affecting the company's ability to use offering proceeds for intended business purposes [2]. - It is alleged that Xiao-I failed to comply with Generally Accepted Accounting Principles in its financial statements [2]. - The complaint states that defendants overstated Xiao-I's efforts to address material weaknesses in financial controls [2]. - Significant R&D expenses incurred by Xiao-I to compete in the AI industry were downplayed, impacting the company's business and financial results [2]. - The lawsuit asserts that Xiao-I overstated its AI capabilities, R&D resources, and overall competitiveness in the AI market [2]. - There is a claim that Xiao-I may fail to comply with NASDAQ's Minimum Bid Price Requirement due to these issues [2]. - The offering documents and public statements made during the class period are alleged to be materially false and misleading [2]. Group 2: Next Steps for Investors - Investors who suffered losses in Xiao-I Corporation during the relevant time frame have until December 16, 2024, to request appointment as lead plaintiff [3]. - Class members may be entitled to compensation without any out-of-pocket costs or fees [3]. - Participation in the lawsuit does not require serving as a lead plaintiff [3]. Group 3: Legal Representation - Levi & Korsinsky, LLP has a track record of securing hundreds of millions of dollars for shareholders and is recognized as one of the top securities litigation firms in the United States [3].