#USA #New York #Securities Class Action #Lithium Battery #Fly-E Group

Fly-E Group, Inc. Sued for Securities Law Violations

In the latest development in the financial world, Fly-E Group, Inc. (NASDAQ: FLYE) has found itself at the center of a securities class action lawsuit, raising alarming concerns for its shareholders. The Gross Law Firm has issued a notice urging investors who purchased Fly-E shares during a specific period to reach out for guidance and potentially to join the class action. The allegations against the company suggest that it misled investors about the safety and reliability of its lithium battery technology.

Background of the Allegations

The lawsuit points to a significant period from July 15, 2025, to August 14, 2025, during which Fly-E Group is accused of disseminating excessively positive statements regarding its business while concealing critical issues. Central to the allegations is Fly-E's lithium battery, which has reportedly been linked to safety concerns. Notably, these issues arose against a backdrop of declining electric vehicle sales, driven by increasing operating expenses and a less-than-ideal forecasting process that failed to anticipate dropping sales figures.

On August 14, 2025, Fly-E Group disclosed a troubling announcement via a form NT 10-Q, which stated its inability to file the required financial documentation on time. This notification revealed a shocking 32% decrease in net revenues, majorly attributed to a drop in total units sold, following a series of well-publicized lithium-battery accidents involving their E-Bikes and E-Scooters. The timing of this revelation sparked a steep decline in Fly-E's stock price, collapsing from $7.76 per share to a mere $1.00 within a single day.

Implications for Shareholders

The ramifications of such a steep decline in stock value are profound. Shareholders who invested during the class period are encouraged to register with The Gross Law Firm to explore their potential rights and recovery options. They assure that the participation in this class action comes with no obligation or cost, and those who register will benefit from ongoing portfolio monitoring services that will keep them informed throughout the case.

The deadline for filing as a lead plaintiff in this lawsuit is set for November 10, 2025. This individual role is crucial, as lead plaintiffs carry the responsibility for overseeing the case on behalf of all investors. However, it’s important to note that being a lead plaintiff isn’t necessary to partake in potential recoveries; all shareholders who have suffered losses during the defined period can join the class action.

The Role of The Gross Law Firm

The Gross Law Firm is recognized nationally for its dedication to protecting investors' rights, particularly in cases of alleged corporate misconduct. Their mission is clear: to hold companies accountable for any unethical practices that impair shareholder value and to pursue justice for the affected investors.

Fly-E Group's troubling financial narrative underlines the importance of due diligence and transparency in corporate communication, particularly in rapidly evolving sectors like electric vehicles where consumer safety and confidence are paramount.

In conclusion, the lawsuit against Fly-E Group serves as a stark reminder of the risks associated with investing in companies that fail to prioritize truthful communication with their stakeholders. Investors are urged to stay vigilant and actively engage with reputable legal firms to safeguard their interests during such tumultuous periods. For more information, shareholders can visit the official Gross Law Firm's website or reach out directly via email or phone for consultation and support regarding the class action lawsuit.