SOS Restricted (SOS) Securities Fraud Class Motion:
The grievance facilities on SOS’s purported entry into the bitcoin mining enterprise. The grievance alleges that, in fact, SOS is a fraudulent inventory promotion scheme that has hid associated social gathering transactions, and has misrepresented the bitcoin mining rigs SOS claimed to have bought.
Traders allegedly started to be taught the reality on Feb. 26, 2021, when Hindenburg Analysis and Culper Analysis launched scathing commentary, claiming that SOS was an intricate “pump and dump” scheme that used faux addresses and doctored images of crypto miners to create an phantasm of success. The analysts identified that the corporate’s SEC filings, as an example, listed a resort room because the agency’s headquarters. Most damaging, the analysts alleged that the images SOS had printed of their “mining rigs” had been phony. Culper famous that the photographed SOS “miners” weren’t the A10 Execs the corporate claimed to personal. As a substitute, they had been photos of Avalon’s A1066 miners. Hindenburg additional discovered the authentic pictures from SOS’s web site belonged to a official rival, RHY.
After the category interval, Hindenburg and Culper offered extra data on SOS that additional supported their earlier allegations, together with proof of associated social gathering transactions and SOS trying to cover the misconduct famous within the February 26, 2021 corrective disclosures.
“We’re centered on traders’ losses and proving SOS is a false promotion scheme,” mentioned Reed Kathrein, the Hagens Berman associate main the investigation.
In case you are a SOS investor, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Individuals with personal data relating to SOS ought to take into account their choices to assist in the investigation or benefit from the SEC Whistleblower program. Below the brand new program, whistleblowers who present authentic data could obtain rewards totaling as much as 30 p.c of any profitable restoration made by the SEC. For extra data, name Reed Kathrein at 844-916-0895 or e mail [email protected].
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SOURCE Hagens Berman Sobol Shapiro LLP