#USA #New York #Class Action #Levi & Korsinsky #SoundHound AI

SoundHound AI, Inc. Investors Seek Accountability through Class Action

Recent developments have arisen for shareholders of SoundHound AI, Inc. (NASDAQ: SOUN) who experienced financial losses. Levi & Korsinsky, LLP, a renowned law firm specializing in securities litigation, has announced the filing of a class action lawsuit aimed at recovering damages for affected investors.

Overview of the Class Action

The class action pertains to allegations of securities fraud occurring between May 10, 2024, and March 3, 2025. During this period, it is claimed that the company misled investors with false statements and failed to disclose material weaknesses in its financial reporting mechanisms. This misinformation allegedly inflated SoundHound’s reported goodwill across various acquisitions, further complicating its financial disclosures to the SEC.

Key Allegations

The lawsuit specifically points out several issues, including:
1. Material Weaknesses: The company allegedly lacked effective internal controls, hindering its ability to properly account for corporate acquisitions.
2. Misrepresentation of Remediation Efforts: SoundHound reportedly overstated its efforts to rectify these weaknesses, presenting a misleading picture to its shareholders.
3. Inflated Goodwill: The goodwill reported following the Amelia Acquisition was claimed to be significantly overstated, which later required adjustments.
4. Timeliness of Reporting: These internal control issues raised concerns that SoundHound might struggle to file certain financial reports with regulatory authorities in a timely manner.

As the lawsuit unfolds, shareholders are encouraged to take swift action to ensure their voices are heard in court. Investors who suffered losses during the specified timeframe have until May 27, 2025, to apply for lead plaintiff status, although participation in recovery is not contingent upon this designation.

No Financial Burden for Class Members

For those joining the class action, there is no upfront cost to participate. Eligible shareholders may receive compensation without incurring out-of-pocket expenses or legal fees. This financial support underscores the commitment of Levi & Korsinsky to advocate on behalf of aggrieved investors.

Why Choose Levi & Korsinsky?

Levi & Korsinsky has built a reputation over two decades for successfully securing significant settlements for shareholders facing injustices in the market. With a specialized team of more than 70 professionals, they have represented countless clients in complex securities litigation cases, earning accolades in the industry. Their consistent ranking as a top firm in ISS Securities Class Action Services’ Top 50 Report is testament to their capability and dedication.

Next Steps for Investors

Affected investors who wish to learn more about their options or desire guidance on how to proceed should reach out to Levi & Korsinsky. They can contact the firm’s representative Joseph E. Levi, Esq. via email or telephone, as provided:

• - Email: [email protected]
• - Phone: (212) 363-7500

Additionally, specific details regarding the lawsuit and the submission process can be accessed through the following link: SoundHound AI Lawsuit Information.

Conclusion

With the legal action underway, SoundHound AI shareholders find themselves at a critical juncture. The pending class action lawsuit serves as a pivotal opportunity to seek justice and potentially recover their losses. Active participation in the proceedings ensures that the concerns of investors are addressed, paving the way for increased accountability in corporate governance practices.