Huanju Times was sued by investors in a securities fraud case to court
According to the WeChat official account of”International Lawyers”, Huanju Times JOYY Inc (NASDAQ:YY) has just been invested in a securities fraud case The person sued to the court. At present, Beijing Hao Junbo Law Firm is soliciting clues from investors of the Happy Times, mainly investors who bought or obtained securities such as stocks or options and suffered investment losses from April 28, 2016 to November 18, 2020.
In the current lawsuit, the investor accused the company of making false statements during the period from April 28, 2016 to November 18, 2020, and failed to disclose the following material unfavorable facts to investors:(1 ) The company dramatically exaggerated its live broadcast revenue; (2) the vast majority of its users are robots; (3) the company inflated the amount of its cash reserves; (4) the company acquired Bigo mainly to benefit insiders; ( 5) Therefore, the company made false statements during the above-mentioned period, and when the truth was revealed, its stock price fell and investors suffered.
Previously, Muddy Water’s official website released a short-sale report against Huanju Era, accusing about 90%of YY’s live broadcast of fraud. According to the agency, through analysis of nearly 150 million transactions, data shows that about 50%of YY Live’s gift reward income comes from YY servers, and about 40%of its income comes from external robots or anchors.