Skip to main content

Market Overview

SUPER MICRO INVESTIGATION CONTINUES by Former Louisiana Attorney General: Kahn Swick & Foti, LLC Continues to Investigate the Officers and Directors of Super Micro Computer, Inc. - SMCI

Share:

Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC ("KSF"), announces that KSF continues its investigation into Super Micro Computer, Inc. (NASDAQ:SMCI).

On October 26, 2017, the Company disclosed an investigation into revenue recorded in 2Q 2017 (ended 12/31/2016), extending a prior delay for filing its 2017 10-K. Then, on August 22, 2018, the Company disclosed that its stock was being delisted for its ongoing failure to file its 2017 10-K and 10-Q reports. Then, on November 15, 2018, the Company disclosed that its financial statements for each of the quarterly and annual periods during FY15, FY16 and the first three quarters of FY17 should no longer be relied upon because of errors "primarily related to the timing of recognition of revenue and classification of certain inventory." Then, on May 17, 2019, the Company filed restated financial results for FY15-FY17, also describing material weaknesses in internal controls, including "a culture of aggressively focusing on quarterly revenue without sufficient focus on compliance," among other things.

On August 25, 2020, the SEC issued cease and desist orders against the Company and certain executives for violations of federal securities laws, including "antifraud, reporting, books and records, and internal accounting controls provisions," and fined the Company $17.5 million.

The Company has also been sued in a securities class action lawsuit for failing to disclose material information to investors, violating federal securities laws, which is ongoing.

KSF's investigation is focusing on whether Super Micro's officers and/or directors breached their fiduciary duties to Super Micro's shareholders or otherwise violated state or federal laws.

If you have information that would assist KSF in its investigation, or have been a long-term holder of Super Micro shares and would like to discuss your legal rights, you may, without obligation or cost to you, call toll-free at 1-877-515-1850 or email KSF Managing Partner Lewis Kahn (lewis.kahn@ksfcounsel.com), or visit http://ksfcounsel.com/cases/nasdaqgs-smci/ to learn more.

About Kahn Swick & Foti, LLC

KSF, whose partners include the Former Louisiana Attorney General Charles C. Foti, Jr., is a law firm focused on securities, antitrust and consumer class actions, along with merger & acquisition and breach of fiduciary litigation against publicly traded companies on behalf of shareholders. The firm has offices in New York, California and Louisiana.

To learn more about KSF, you may visit www.ksfcounsel.com.

View Comments and Join the Discussion!
 
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
SPAC
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com