SoundHound AI(SOUN) Prnewswire·2025-04-03 09:45Core Viewpoint - The Gross Law Firm has issued a notice to shareholders of SoundHound AI, Inc. regarding a class action lawsuit due to alleged misleading statements and material weaknesses in financial reporting [1][2]. Group 1: Allegations - The complaint alleges that during the class period from May 10, 2024, to March 3, 2025, SoundHound issued materially false and misleading statements [2]. - Specific allegations include that SoundHound's internal controls over financial reporting were materially weak, impairing its ability to account for corporate acquisitions [2]. - The company overstated its remediation efforts regarding these internal control weaknesses, leading to inflated reported goodwill following the Amelia Acquisition [2]. - SoundHound is expected to require additional time and resources to account for the SYNQ3 and Amelia Acquisitions due to these weaknesses [2]. - There is an increased risk that the company may not file certain financial reports with the SEC in a timely manner as a result of these issues [2]. Group 2: Next Steps for Shareholders - Shareholders are encouraged to register for the class action by May 27, 2025, to potentially become lead plaintiffs [3]. - Once registered, shareholders will receive updates through a portfolio monitoring software regarding the case's status [3]. - Participation in the case incurs no cost or obligation for the shareholders [3]. Group 3: Law Firm Background - The Gross Law Firm is a nationally recognized class action law firm dedicated to protecting investors' rights against deceit and fraud [4]. - The firm aims to ensure companies adhere to responsible business practices and seeks recovery for investors who suffered losses due to misleading statements [4].