LOS ANGELES–(BUSINESS WIRE)–The Law Offices of Frank R. Cruz announces that it has filed a class action lawsuit in the United States District Court for the Northern District of California, captioned Bhuva v. Super Micro Computer, Inc., et al., Case No. 3:26-cv-02606, on behalf of persons and entities that purchased or otherwise acquired Super Micro Computer, Inc. (“Super Micro” or the “Company”) (NASDAQ: SMCI) securities between April 30, 2024 and March 19, 2026, inclusive (the “Class Period”). Plaintiff pursues claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (the “Exchange Act”).
Investors are hereby notified that they have until 60 days from this notice to move the Court to serve as lead plaintiff in this action.
IF YOU SUFFERED A LOSS ON YOUR SUPER MICRO INVESTMENTS (SMCI) INVESTMENTS, CLICK HERE TO SUBMIT A CLAIM TO POTENTIALLY RECOVER YOUR LOSSES IN THE ONGOING SECURITIES FRAUD LAWSUIT.
What Happened?
On March 19, 2026, after the market closed, the U.S. Justice Department announced the unsealing of an indictment against three individuals associated with Super Micro for engaging in a “scheme to divert massive quantities of servers housing U.S. artificial intelligence technology to customers in China” in violation of U.S. export control laws. The announcement stated these activities were done “all to drive sales and generate revenues in violation of U.S. law” and enabled the sale of “approximately $2.5 billion worth of servers” between 2024 and 2025. According to the DOJ, Yih-Shyan Liaw (the Company’s co-founder, director, and Senior Vice President of Business Development), Ruei-Tsang Chang (“a general manager in the [Super Micro’s] Taiwan office,” and Ting-Wei Sun (“a third-party broker” and “fixer”) “conspired to systematically divert [Super Micro’s] servers with certain GPUs to China without a license to do so from the U.S. Department of Commerce.” According to media reports, the GPUs are Nvidia’s most advanced AI chips.
On the same date, Super Micro released a statement seeking to distance itself from the indictment by noting that the Company has not directly been named a defendant in the Justice Department action. However, the Company confirmed that the charged individuals had been affiliated with Super Micro, stating that the two employees were placed on administrative leave and the contractor’s relationship was terminated. The statement claimed the “Company has been cooperating fully with the government’s investigation and will continue to do so.”
On this news, Super Micro’s stock price fell $10.26, or 33.3%, to close at $20.53 per share on March 20, 2026, on unusually heavy trading volume.
What Is The Lawsuit About?
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 that: (1) a significant portion of the Company’s sales of servers were to companies based in China; (2) these transactions violated U.S. export control laws; (3) there were material weaknesses in the Company’s controls to ensure compliance with applicable export control laws and regulations; and (4) 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.
Contact Us To Participate or Learn More:
If you purchased Super Micro securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please click HERE or contact us at:
Law Offices of Frank R. Cruz
2121 Avenue of the Stars, Suite 800
Century City, California 90067
Telephone: 310-914-5007
Email: [email protected]
Visit our website at: www.frankcruzlaw.com
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Contacts
Law Offices of Frank R. Cruz
2121 Avenue of the Stars, Suite 800
Century City, California 90067
Telephone: 310-914-5007
Email: [email protected]
Visit our website at: www.frankcruzlaw.com
