Nvidia class action lawsuit: DOJ and SEC support investors, Supreme Court will be a key battleground
The U.S. Department of Justice and Securities and Exchange Commission (SEC) recently filed a statement with the Supreme Court in support of a class action lawsuit against Nvidia by investors, alleging that the company misrepresented its sales to crypto miners. The lawsuit has been in legal dispute since 2018 and has now been appealed to the Supreme Court.
In a court statement on October 2, the DOJ and SEC said the lawsuit had "sufficient details" to be exempt from the district court's dismissal. They emphasized that private lawsuits that can continue are critical to ensuring the fairness of the securities market and can supplement government enforcement actions.
The investor group accused Nvidia of concealing more than $1 billion in GPU sales and believed that CEO Jensen Huang underestimated its sales to the crypto industry in 2018, an accusation that has become particularly prominent after the crypto market crash. Although the early lawsuit was dismissed, investors appealed the decision and successfully resumed the trial, and Nvidia then asked the Supreme Court to overturn the decision.
In addition, 12 former SEC officials and multiple other organizations also expressed support for investors, believing that private execution is essential to maintaining the integrity of the U.S. capital market. Nvidia has not yet commented on this.
Lao Lin posted a message, pay attention to the follow-up development of this important lawsuit, which may have a profound impact on the entire crypto market and technology stocks! Stay vigilant and respond flexibly to market changes!
