TWERSKY LAW GROUP Notifies Tingo Group, Inc. (TIO) Investors of Class Action
Twersky Law Group, a highly regarded and reputable law firm based in New York, wishes to inform investors about a significant development in the form of a class action lawsuit against Tingo Group, Inc. (“Tingo” or “the Company) (NASDAQ: TIO) and certain officers of the company. This lawsuit has been filed on behalf of all individuals and entities that purchased or otherwise acquired Tingo securities from December 1, 2022, through June 6, 2023 (the “Class Period”). Investors who acquired Tingo securities during this defined timeframe are strongly encouraged to participate in this case by contacting email@example.com. The deadline to file a motion for appointment of lead plaintiff is August 7, 2023.
The fundamental objective of this class action lawsuit is to recover for the benefit of investors who purchased Tingo Group Inc. securities during the Class Period, the losses they sustained as a consequence of the misleading statements made by Defendants in violation of the federal securities laws.
On June 6, 2023, Hindenburg Research (Hindenburg) published a report titled Tingo Group: Fake Farmers, Phones, and Financials The Nigerian Empire That Isn’t. Therein, Hindenburg disclosed, among other things, that Tingo is allegedly an “exceptionally obvious scam” with completely fabricated financials. Hindenburg further stated that Dozy Mmobuosi (Mmobuosi) appears to have fabricated his biographical claim, including that he developed the first mobile payment app in Nigeria and that he received a PhD in rural advancement from a Malaysian university in 2007. On this news, the Company’s stock price fell $1.23, or 48.2%, to close at $1.32 per share on June 6, 2023, thereby injuring investors.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that Defendant Mmobuosi fabricated biographical claims about himself; (2) that Tingo had photoshopped its logo onto pictures of airplanes it did not own; (3) that Tingo inflated its food division margins; (4) that Tingo published misleading images of its planned Nigerian food processing facility and overstated its progress on the facilities construction; (5) that Tingo inflated its food inventory; (6) that Tingo did not have relationships with the two farming cooperatives it claimed; (7) that Tingo did not generate $128 million in revenue for its handset leasing, call and data segments as it claimed; (8) that Tingos Mobile operation in Nigeria was delinquent on its tax obligations; (9) that Tingo photoshopped its logo over pictures from a different point of sale system operators website; (10) that Tingo did not generate $125.3 million in revenue from NWASSA; (11) that Tingos agricultural export business was not on track to deliver $1.34 billion in exports by Q3 2023; (12) that Tingo lacked effective controls over accounting and financial reporting; and (13) that, as a result of the foregoing, Defendants positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
HISTORY OF TINGO GROUP, INC.
Tingo Group, Inc. is a multinational group of companies specializing in Fintech and Agri-Fintech services. With a presence in Africa, Southeast Asia, and the Middle East, Tingo Group operates globally. One of its key subsidiaries, Tingo Mobile, is a prominent Agri-Fintech company operating primarily in Africa. Tingo Mobile offers an array of innovative products, including a smartphone service called ‘device as a service’ and a pre-loaded platform.
To expand its reach worldwide, Tingo Mobile has recently initiated international expansion efforts and formed trade partnerships. These partnerships aim to increase the number of subscribed farmers from 9.3 million in 2022 to over 32 million. Through these partnerships, farmers gain access to various services such as the Nwassa ‘seed-to-sale’ marketplace platform, insurance, micro-finance, and mobile phone and data top-up.
Tingo Group encompasses other business verticals alongside Tingo Mobile. TingoPay, in collaboration with Visa, operates as a SuperApp and offers a wide range of services including payment solutions, an e-wallet, foreign exchange, and merchant services. Tingo Foods is involved in food processing, transforming raw ingredients like rice, pasta, and noodles into finished products. Tingo DMCC operates as a commodity trading platform and agricultural commodities export business based in the Dubai Multi Commodities Center. Tingo Group additionally owns and operates an insurance brokerage platform in China, boasting over 130 offices in the country’s cities and major towns.
JOIN THIS CASE
It is important to note that a class action lawsuit has already been filed in connection with these allegations. Therefore, for those individuals who suffered financial losses in their investments in Tingo during the Class Period, there is a limited opportunity to seek appointment as a lead plaintiff. This process entails requesting the Court to designate them as the primary representative on behalf of the entire class. The deadline for submitting such a request is August 7, 2023. It is important to emphasize that while becoming a lead plaintiff can offer certain advantages, participation in the recovery process and the potential for financial compensation does not mandate serving as a lead plaintiff.
Twersky Law Group, a distinguished legal firm renowned for its expertise in handling securities fraud class actions and shareholder derivative suits, has a long-standing track record of successfully recovering significant sums of money for investors nationwide. With an unwavering commitment to seeking justice for their clients, the firm’s attorneys are resolute in pursuing fair compensation on behalf of those affected by alleged securities law violations. As with any legal matter, it is essential to understand that this announcement constitutes attorney advertising. Past case outcomes and results achieved do not guarantee similar outcomes in this particular case.
Investors who believe they may qualify as potential class members in the class action lawsuit against Tingo are strongly encouraged to reach out directly to the firm for further information and assistance. The knowledgeable legal professionals at Twersky Law Group stand ready to provide guidance and support to investors seeking to protect their rights and pursue the recovery they deserve.
For more information as well as to join this case please contact Atara Twersky, Esq. at firstname.lastname@example.org. Atara is Principal at Twersky Law Group and of counsel at AF&T Law Firm where she is director of Investor Services. Atara focuses her practice on assisting her clients with increasing their investment portfolio recoveries and ensuring that their portfolios remain healthy and robust. For more information on shareholder recoveries, listen to Atara ’s Pension and Investments Podcast with notable guests in the pension fund Industry that discusses various matters relating to investment portfolios. For more information on Atara and her legal work pertaining to shareholder protection click here.