Datavault AI Inc. (NASDAQ: DVLT) has recently filed a federal lawsuit in the Northern District of Illinois, targeting unknown defendants for alleged securities fraud, defamation, and intentional tort. The lawsuit, represented by Dickinson Wright, accuses Does 1-50, Roe Corporations 1-50, and XYZ LLCs 1-50 of engaging in manipulative trading practices such as 'naked' short selling, spoofing, layering, and marking the close. Additionally, the defendants are accused of spreading defamatory statements on social media platforms including Stocktwits and LinkedIn.
Jacob Frenkel, Chair of Dickinson Wright’s Securities Enforcement Practice, highlighted the lawsuit's objective to hold accountable those whose actions have adversely affected Datavault AI’s stock. Despite the company's positive disclosures and strategic partnerships planned for 2025, these alleged manipulative practices have posed significant challenges. The legal action not only seeks damages but also explores potential civil RICO claims, pointing to the wider implications of such activities on investor confidence and the integrity of the market.
This lawsuit underscores the growing concern over the impact of online misinformation and manipulative trading tactics on companies, especially those in the technology and AI sectors. For further details on the lawsuit, visit https://ibn.fm/rbueY.
