NVIDIA shareholders are suing the company and CEO Jensen Huang
The company's shares have plummeted in response to the exec's affair with an alleged Chinese spy.
NVIDIA shareholders are taking legal action against the company and its CEO, Jensen Huang, alleging that the executives misled investors about the nature of Huang's relationship with a former Megaspeed executive, Alice Huang. The woman is suspected of being a spy for the Chinese government. Mark Kistenmacher, a shareholder, has filed a lawsuit seeking class action status for those who purchased NVIDIA shares between October 9 and November 8.
The lawsuit claims that NVIDIA and Huang misled investors about the CEO's relationship with Alice Huang, who is now accused of espionage. The shares of NVIDIA have plummeted in response to the allegations, with the company potentially losing over $470 billion in market value over the past two days. The lawsuit alleges that the company's CEO admitted to an affair and disclosed that NVIDIA was investigating whether its top executive had been targeted by a foreign intelligence operation.
However, NVIDIA representative John Rizzo stated that Huang's interactions with Ms. Huang are not unusual and are part of a CEO's job, meeting with thousands of customer executives every year.
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