Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against Smart Digital Group Limited due to allegations of securities law violations, urging affected investors to contact them before the March 16, 2026 deadline for lead plaintiff applications in a federal class action lawsuit [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 and fraudulent promotions via social media [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]. - The company's risk disclosures omitted the potential for trading suspensions by the SEC and NASDAQ due to the alleged manipulation, leading to misleading positive statements about its business prospects [5]. Group 2: Stock Price Collapse and Trading Suspension - 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 designed to inflate stock prices [6]. - As of the filing date, trading in Smart Digital securities remains suspended 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 is typical of the class members, overseeing the litigation on behalf of the class [7]. - Any member of the class can apply to serve as lead plaintiff or choose to remain an absent class member without affecting their ability to share in any recovery [7]. - Faruqi & Faruqi encourages individuals with information regarding Smart Digital's conduct to come forward, including whistleblowers and former employees [8].
SHAREHOLDER DEADLINE APPROACHING: Faruqi & Faruqi, LLP Investigates Claims on Behalf of Investors of Smart Digital (SDM)