Ankara (ANTARA) \u2013 US chipmaker Nvidia and its chief executive, Jensen\nHuang, are facing a class-action lawsuit from shareholders who allege\nthey misled investors by failing to disclose Huang\u2019s alleged\nrelationship with a former Megaspeed executive.<\/p>\n
The lawsuit follows Nvidia\u2019s board announcement that it would launch\nan independent investigation into Huang, after reports emerged that he\nhad been targeted in a foreign intelligence operation, Anadolu reported\non Tuesday, citing court documents filed on Monday.<\/p>\n
The suit, filed in the US District Court for the Northern District of\nCalifornia, accuses Nvidia and Huang of violating provisions of the US\nSecurities Exchange Act of 1934.<\/p>\n
According to the complaint, filed by shareholder Mark Kistenmacher\nthrough the law firm The Rosen Law Firm, the case represents investors\nwho bought or acquired Nvidia securities between 9 October 2025 and 8\nNovember 2026.<\/p>\n
The filing says Nvidia\u2019s statements that an internal review found no\nevidence of the company\u2019s chips being diverted to other parties, and\nHuang\u2019s description of the company\u2019s business relationship with\nSingapore-based Megaspeed International as normal, materially misled\ninvestors.<\/p>\n
The plaintiff alleges that those statements failed to disclose\nHuang\u2019s alleged personal relationship with Alice Huang, a former\nMegaspeed executive suspected of gathering intelligence for China.<\/p>\n
The lawsuit says Nvidia and Huang withheld information about national\nsecurity issues that could threaten the company\u2019s reputation and future\nbusiness prospects.<\/p>\n
The plaintiff also alleges that the defendants\u2019 statements and\nomissions artificially inflated Nvidia\u2019s share price during the period\ncovered by the lawsuit.<\/p>\n
Court documents show that Nvidia shares fell 4.27 per cent on Monday,\nclosing at US$178.67, following the disclosure. The plaintiff is seeking\nan unspecified amount in compensatory damages on behalf of affected\ninvestors.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/nvidia-faces-shareholder-lawsuit-over-ceos-alleged-relationship-1794325882", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }