Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against Smart Digital Group Limited due to allegations of securities law violations, encouraging affected investors to seek legal recourse before the March 16, 2026 deadline [2][5]. Group 1: Allegations Against Smart Digital - The complaint alleges that Smart Digital and its executives made false and misleading statements, failing to disclose involvement in a market manipulation scheme [5]. - Specific allegations include the use of social media misinformation and impersonation by individuals posing as financial professionals to inflate stock prices [5]. - It is claimed that insiders used offshore accounts to facilitate the dumping of shares during a price inflation campaign, which was not disclosed in the company's public statements [5]. Group 2: Stock Price Collapse and SEC Actions - On September 26, 2025, Smart Digital's stock price fell by 86.4%, closing at $1.85 per share, following a trading halt by NASDAQ due to volatility [6]. - The SEC suspended trading in Smart Digital securities from September 29, 2025, to October 10, 2025, citing potential manipulation through social media recommendations [6]. - Following the SEC's suspension, NASDAQ also suspended trading pending further information, with no clear timeline for resumption [6]. Group 3: Legal Proceedings and Investor Participation - The lead plaintiff in the class action will be the investor with the largest financial interest who can adequately represent the class [7]. - Any member of the class can apply to serve as lead plaintiff or remain an absent class member without affecting their ability to recover [7]. - Faruqi & Faruqi encourages individuals with information regarding Smart Digital's conduct to come forward, including whistleblowers and former employees [8].
SHAREHOLDER ACTION REMINDER: Faruqi & Faruqi, LLP Investigates Claims on Behalf of Investors of Smart Digital (SDM)