Securities Fraud Complaint Filed Against Meta Materials (MMAT)
A securities fraud lawsuit has been filed against Meta Materials, Inc. f/k/a Torchlight Energy Resources, Inc. (NASDAQ: MMAT) for potential securities violations on behalf of shareholders who purchased shares anytime during the period from September 21, 2020 through December 14, 2021. The release of potentially misrepresentative and misleading information, as well as failure to disclose material adverse facts to the public may have resulted in material losses for shareholders. The class action lawsuit has already been filed.
Complaint Against Meta Materials F/k/A Torchlight Energy Resources
SEC Subpoena Received by Meta Materials
On November 15, 2021, Meta Materials released its third quarter financial report and subsequently revealed that the Company had received a subpoena from the SEC in September regarding an investigation of Meta’s merger with Torchlight Energy Resources, Inc. Then, On December 14, 2021, Kerrisdale Capital published a report alleging numerous issues including: “disappearing segments, misleading product claims, fake medical devices, research funding for subsidiaries that don’t exist, and circumstances so questionable around a penny stock reverse merger that it’s now the subject of an SEC Enforcement subpoena.” Based upon this news, Meta’s stock fell from $4.96 on November 16, 2021 to $2.91 per share on December 14, 2021.
Allegations Against MMAT
The complaint filed alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that:
- The business combination of Torchlight Energy Resources, Inc. and Metamaterial Inc. would result in an SEC investigation and subpoena in the matter captioned In the Matter of Torchlight Energy Resources, Inc.;
- the Company has materially overstated its business connections and dealings;
- the Company has materially overstated its ability to produce and commercialize its products;
- the Company has materially overstated its products’ novelty and capabilities;
- the Company’s products did not have the potential to be disruptive because, among other things, the Company priced its products too high; and
- as a result, Defendants’ public statements were materially false and/or misleading at all relevant times.
What Should You Do?
If you purchased shares of Meta Materials common stock during the relevant time period, you may be entitled to compensation, without payment of any out-of-pocket litigation fees or costs. You may request the Court to appoint you as lead plaintiff for the class action no later than March 4, 2022. We urge investors to contact us immediately to discuss this case on a confidential basis. MDF Law PLLC, is a New York City based investment fraud law firm whose practice focuses on advocating for investors. We have helped to recover hundreds of millions of dollars for investors. We take all our cases on contingency, which means we do not collect a legal fee unless our clients recover money.