Johnson Fistel launches investigation into Super Micro

SAN DIEGO, Aug. 27, 2024 (GLOBE NEWSWIRE) — Shareholder rights law firm Johnson Fistel, LLP is investigating whether Super Micro, Inc. (NASDAQ: SMCI) or any of its officers or others violated securities laws by misrepresenting or failing to timely disclose material, adverse information to investors. The investigation is focused on investors’ losses and whether they can be recovered under the federal securities laws.

What happens once I have purchased? Super Micro Securities? If you have purchased securities and suffered losses on your investment, join our investigation now:

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Or contact Jim Baker for more information at [email protected] or (619) 814-4471.

There are no costs or obligations to you.

What does Johnson Fistula examine? On August 27, 2024, Hindenburg Research published a report on Super Micro highlighting a number of concerns about the company’s accounting practices and corporate governance. Allegations include improper revenue recognition and the rehiring of executives previously implicated in accounting scandals.

According to the brief, “Less than three months after settling with the SEC for $17.5 million, Super Micro began rehiring top executives directly involved in the accounting scandal, according to court filings and interviews with former employees.” Hindenburg Research also highlighted issues related to Super Micro’s related-party dealings. The report says Super Micro’s CEO Charles Liang has brothers who control suppliers Ablecom and Compuware, which received $983 million over three years. These relationships, described as circular, involve transactions that are not fully disclosed and pose risks to revenue recognition and reported margins, Hindenburg said.

Super Micro’s integrity has also been questioned over its transactions with sanctioned countries. Despite an admission of guilt for exporting banned components to Iran in 2006 and a pledge to comply with U.S. export bans on Russia following the invasion of Ukraine, the report suggests that exports to Russia have increased, potentially violating sanctions.

Following this news, the company’s share price fell 4.5% in midday trading on August 27, 2024.

What if I have relevant non-public information? Persons with nonpublic information about the Company should consider assisting with our investigation or utilizing the SEC Whistleblower Program. Under the SEC Program, whistleblowers who provide original information may, under certain circumstances, receive rewards of up to thirty percent of any successful SEC recovery. For more information, contact Jim Baker at (619) 814-4471 or [email protected].

About Johnson Fistel, LLP:
Johnson Fistel, LLP is a nationally recognized shareholder rights law firm with offices in California, New York, Georgia and Colorado. The firm represents individual and institutional investors in shareholder class action lawsuits involving derivatives and securities. For more information about the firm and its attorneys, visit http://www.johnsonfistel.com.

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Contact:
Johnson Fistula, LLP
501 W. Broadway, Suite 800, San Diego, CA 92101
James Baker, Investor Relations or Frank J. Johnson, Esq., (619) 814-4471
[email protected] or [email protected]