(Bloomberg) -- Super Micro Computer Inc. has launched an independent investigation after two former employees and a contractor were charged with violating U.S. export laws, a move that sent the company’s shares down 28.5%.
"The company is conducting an independent investigation into the matter," a Super Micro spokesperson said in a statement. The investigation follows charges from the U.S. Justice Department alleging the individuals helped smuggle at least $2.5 billion of U.S. AI technology to China.
The investigation focuses on whether Super Micro issued false or misleading statements or failed to disclose pertinent information to investors. The U.S. Justice Department alleges that the former associates routed U.S.-made servers through Taiwan to Southeast Asia before being smuggled into China.
The news of the charges and the subsequent investigation caused Super Micro's stock to fall significantly. The decline puts the stock at its lowest since the beginning of the year, testing key technical support levels. Investors will be closely watching the outcome of the independent investigation for any further impact on the company.
This article is for informational purposes only and does not constitute investment advice.
