Qutoutiao Inc. The Law Offices of Vincent Wong announce that a class action lawsuit has been commenced in the United States District Court for the Southern District of New York on behalf of investors who: a) purchased or otherwise acquired Qutoutiao Inc. (NASDAQ: QTT) American Depositary Shares pursuant and/or traceable to the registration statement and prospectus issued in connection with the Company’s September 2018 initial public offering and or b) purchased or otherwise acquired Qutoutiao securities between September 14, 2018 and July 15, 2020.
According to the Qutoutiao Inc. lawsuit, throughout the Class Period defendants made false and/or misleading statements and/or failed to disclose that: (1) Qutoutiao replaced its advertising agent with a related party, thereby bypassing third-party oversight of the content and quality of the advertisements; (2) the Company placed advertisements on its mobile app for products whose claims could not be substantiated and thus were considered false advertisements under applicable regulations; (3) as a result, the Company would face increasing regulatory scrutiny and reputational harm; (4) as a result, the Company’s advertising revenue was reasonably likely to decline; and (5) as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects, were materially misleading and/or lacked a reasonable basis.
“Qutoutiao Inc.
If you suffered a loss in Qutoutiao Inc. you have until October 19, 2020 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn’t require that you serve as a lead plaintiff.
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