{"id":1422,"date":"2024-02-29T10:30:00","date_gmt":"2024-02-29T15:30:00","guid":{"rendered":"https:\/\/waltercounsel.com\/?p=1422"},"modified":"2025-07-06T16:47:24","modified_gmt":"2025-07-06T20:47:24","slug":"alleged-fraud-by-ai-company","status":"publish","type":"post","link":"https:\/\/waltercounsel.com\/?p=1422","title":{"rendered":"Alleged Fraud by AI Company"},"content":{"rendered":"<div class=\"wp-block-image\">\n<figure class=\"alignright size-thumbnail\"><img decoding=\"async\" src=\"https:\/\/waltercounsel.com\/defiant\/wp-content\/uploads\/2024\/04\/robot1-150x150.jpg\" alt=\"\" class=\"wp-image-1488\"\/><\/figure>\n<\/div>\n\n\n<p class=\"wp-block-paragraph\">Innodata Inc. is an American company, headquartered in New Jersey, that provides business process, technology and consulting services.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A class action lawsuit has been brought against Innodata alleging securities fraud related to misrepresentation of the company&#8217;s AI technology and business prospects. The plaintiffs claim that between May 9, 2019, and February 14, 2024, the defendants made false statements or omitted key information regarding several aspects of Innodata&#8217;s AI business. These alleged falsehoods include:<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li><strong>Viability of AI Technology<\/strong>: Innodata purportedly misrepresented the viability of its AI technology.<\/li>\n\n\n\n<li><strong>Goldengate AI Platform<\/strong>: The Goldengate AI platform, which was highlighted as central to Innodata&#8217;s AI technology, was portrayed inaccurately. The complaint claims it was not as advanced as implied and was developed by only a small team of employees.<\/li>\n\n\n\n<li><strong>Utilization of AI for Contracts<\/strong>: Innodata falsely represented its intentions to utilize AI significantly for new contracts in Silicon Valley.<\/li>\n\n\n\n<li><strong>Investment in Research and Development for AI<\/strong>: Innodata misrepresented the extent of its investment in research and development for AI.<\/li>\n\n\n\n<li><strong>Lack of Reasonable Basis for Positive Statements<\/strong>: Overall, the plaintiffs argue that the Innodata lacked a reasonable basis for its positive statements about its AI business, development, and financial results, as well as its growth prospects.<\/li>\n<\/ol>\n\n\n\n<p class=\"wp-block-paragraph\">The lawsuit likely seeks to recover losses incurred by shareholders who were affected by the alleged securities fraud during the specified period.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Innodata Inc. is an American company, headquartered in New Jersey, that provides business process, technology and consulting services. A class action lawsuit has been brought against Innodata alleging securities fraud related to misrepresentation of the company&#8217;s AI technology and business prospects. The plaintiffs claim that between May 9, 2019, and February 14, 2024, the defendants &#8230; <a title=\"Alleged Fraud by AI Company\" class=\"read-more\" href=\"https:\/\/waltercounsel.com\/?p=1422\" aria-label=\"Read more about Alleged Fraud by AI Company\">Read more<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[152,6,57],"tags":[],"class_list":["post-1422","post","type-post","status-publish","format-standard","hentry","category-artificial-intelligence","category-securities","category-technology"],"_links":{"self":[{"href":"https:\/\/waltercounsel.com\/index.php?rest_route=\/wp\/v2\/posts\/1422","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/waltercounsel.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/waltercounsel.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/waltercounsel.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/waltercounsel.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1422"}],"version-history":[{"count":2,"href":"https:\/\/waltercounsel.com\/index.php?rest_route=\/wp\/v2\/posts\/1422\/revisions"}],"predecessor-version":[{"id":2152,"href":"https:\/\/waltercounsel.com\/index.php?rest_route=\/wp\/v2\/posts\/1422\/revisions\/2152"}],"wp:attachment":[{"href":"https:\/\/waltercounsel.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1422"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/waltercounsel.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1422"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/waltercounsel.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1422"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}