A securities class action has been filed against Smart Digital Group Limited (SDM) on behalf of persons and entities that purchased or otherwise acquired Smart Digital securities between May 5, 2025 through September 26, 2025. This case has been filed in the USDC – SDNY.
Smart Digital Group Limited, based in Singapore, provides event planning and execution services, which consist of drafting and media based misinformation and impersonators posing as financial professionals; (2) insiders and/or affiliates used and/or intended to use offshore or nominee accounts to facilitate the coordinated dumping of shares during a price inflation campaign; (3) SDM’s public statements and risk disclosures omitted any mention of realized risk of fraudulent trading or market manipulation used to drive the Company’s stock price; (4) as a result, SDM securities were at unique risk of a sustained suspension in trading by either or both of the United States Securities and Exchange Commission (“SEC”) and NASDAQ; 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.
On September 26, 2025, the Company’s stock price fell 86.4%, to close at $1.85 per share, following an intraday halt by the NASDAQ Stock Market (the “NASDAQ”) due to unusually high volatility.
Before trading opened the next day, the SEC suspended trading in SDM securities from September 29, 2025, through October, 10, 2025, due to “potential manipulation” in the Company’s securities “effectuated through recommendations made to investors by unknown persons via social media to purchase the securities of SDM, which appear to be designed to artificially inflate the price and volume of the securities of SDM.”
With the SEC suspension scheduled to expire, on October 11, 2025, NASDAQ suspended trading in SDM securities pending a request for additional information. The shares remain halted.