Supermicro investigation clears CEO in alleged $2.5 billion smuggling scheme while a criminal trial involving a cofounder is set for next year

Super Micro Computer's board investigation has found no evidence that current senior management knew about an alleged $2.5 billion smuggling scheme involving Nvidia chips being shipped to China. The company announced the results of the investigation on Thursday, seeking to reassure investors after a tumultuous period following the DOJ's March 2025 indictment of co-founder and board member Yih-Shyan "Wally" Liaw.

However, questions remain about the investigation's scope and the ongoing legal troubles Supermicro faces. The investigation, led by independent directors Scott Angel and Tally Liu, reviewed specific customer transactions and found no evidence of management's awareness or involvement in the alleged smuggling ring. Despite the positive findings, Supermicro has already taken personnel actions against employees who failed to follow company policies and codes of conduct.

The company is also under a grand jury subpoena from the U.S. Attorney's Office for the Southern District of New York, seeking documents related to customers, including those implicated in the indictment. Supermicro's investigation appears to be the second in two years, with a previous probe in 2024 clearing the management team of fraud or misconduct allegations.

Liaw has pleaded not guilty to the charges against him and faces up to 20 years in prison if convicted. He is currently scheduled to go to trial in March 2027, a trial that was delayed due to the grand jury subpoena. Supermicro's CEO Charles Liang and his wife, Sara Liu, who both served on the board, were also accused in the indictment but have not been named by the company in connection with the investigation.