iLearningEngines (AILE) Faces Investor Class Action - Hagens Berman

AILE Investors with Losses Encouraged to Contact the Firm Before Dec. 6, 2024 Deadline

San Francisco, California--(Newsfile Corp. - December 2, 2024) - The price of iLearningEngines (NASDAQ: AILE) shares crashed over 30% lower on November 18, 2024 after announcing that (i) the company had placed CFO S. Farhan Naqvi on administrative leave effective immediately, (ii) its outside auditor had withdrawn its prior opinions, (iii) investors should no longer rely on previously-filed financial statements, and (iv) the SEC had subpoenaed the company seeking various documents and information.

The company's recent announcement follows a scathing report from a renowned activist short seller that cast doubt on the financial health and business model of iLearningEngines and gave rise to an investor class action.

Hagens Berman urges iLearningEngines investors who suffered substantial losses to submit your losses now.

Class Period: Apr. 22, 2024 - Aug. 28, 2024
Lead Plaintiff Deadline: Dec. 6, 2024
Visit: www.hbsslaw.com/investor-fraud/aile
Contact the Firm Now: [e-mail]
844-916-0895

Securities Class Action Against iLearningEngines:

The pending litigation focuses on the propriety of iLearningEngines' disclosures about, among other matters, the source and veracity of its revenues and expenses and its relationship with an entity the company has called its "Technology Partner."

The complaint alleges that iLearningEngines made false and misleading statements and failed to disclose that: (1) the "Technology Partner" was in fact a related party; (2) the company used the "Technology Partner" to report largely fake revenues and expenses; and (3) as a result of the foregoing, the company significantly overstated its revenue.

Investors began to learn the truth on August 29, 2024, when Hindenburg Research published a report accusing the AI-powered learning automation company of fabricating revenue and engaging in questionable accounting practices. Among other things, Hindenburg alleged that a significant portion of the company's revenues and expenses are routed through an undisclosed related party (Experion Technologies), the company lied to the SEC abut its relationship with Experion, and the company artificially inflated its revenues.