#United States #Class Action #Kessler Topaz #Radnor #SoundHound AI

Investor Alert: SoundHound AI Class Action Lawsuit

The legal landscape for investors in SoundHound AI, Inc. (NASDAQ: SOUN) is undergoing significant changes as Kessler Topaz Meltzer & Check, LLP has announced a securities class action lawsuit against the company. This alert serves as a call to action for those who suffered losses due to alleged discrepancies in SoundHound’s financial disclosures made between May 10, 2024, and March 3, 2025, a period known as the 'Class Period'.

Key Issues Raised by the Lawsuit

The lawsuit primarily arises from claims that SoundHound's management made various misleading statements regarding the company's internal controls over financial reporting. Specifically, the allegations indicate the following critical issues:

1. Material Weaknesses in Internal Controls: It is alleged that SoundHound had pervasive weaknesses in its internal controls, which severely impaired its ability to handle accounting for corporate acquisitions effectively. This situation raised concerns about the company's overall financial integrity and transparency over the class period.
2. Overstated Remediation Efforts: The complaint suggests that SoundHound exaggerated its efforts to rectify these material weaknesses, providing false assurances to investors regarding the reliability of its financial reporting.
3. Inflated Goodwill Valuations: Following the acquisition of Amelia Holdings, Inc., in August 2024, it is claimed that SoundHound reported inflated goodwill values that would require eventual correction, impacting its reported financial health adversely.
4. Audit and Reporting Delays: Also, there are implications that due to the aforementioned issues, SoundHound might face difficulties in timely filing certain crucial financial reports with the SEC, further complicating investors' trust in the company’s disclosures.
5. Potential Loss Claims: As a result of these actions, investors who incurred losses during the class period may be entitled to compensation, and the implications of these mismanagement claims can have substantial effects on the company's reputation and stock value.

How to Participate as a Lead Plaintiff

If you are a SoundHound investor who purchased shares during the class period and have experienced losses, now is the time to consider your options. You have the opportunity to become a lead plaintiff by stepping forward to represent the interests of all affected investors. The deadline for seeking lead plaintiff status is May 27, 2025. This role involves actively participating in the litigation process, which may provide a chance for a significant recovery if the plaintiffs prevail in court.

Important Steps to Consider:

• - Contact Legal Counsel: Investors are advised to reach out to Kessler Topaz Meltzer & Check, LLP for more details on the class action and to potentially join the lawsuit. You can connect with attorney Jonathan Naji directly at (484) 270-1453 or via email at jnaji@ktmc.com.
• - Stay Informed: Monitoring updates on the case can help you make informed decisions about your investments and involvement. This case could lead to pivotal changes in how SoundHound manages its investor relations and financial reporting going forward.

About Kessler Topaz Meltzer & Check, LLP

Kessler Topaz Meltzer & Check, LLP is known for its commitment to protecting the interests of investors. With a strong track record of successfully prosecuting class action lawsuits, the firm has recouped billions of dollars on behalf of victims of corporate misconduct. This lawsuit against SoundHound AI exemplifies their ongoing dedication to holding companies accountable and ensuring transparency in the financial marketplace.

In conclusion, if you are a SoundHound investor facing losses, it’s essential to act promptly. Engaging with a legal representative can provide you with invaluable support and information during this critical time. Stay vigilant and proactive regarding your investment interests, as the developments in this lawsuit unfold.

For further details on this lawsuit, visit Kessler Topaz Meltzer & Check, LLP’s website.