Kaplan Fox Announces Investor Actions Against Five Companies
Kaplan Fox Announces Investor Actions Against Five Companies
Anonymous
Key Points
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The Alibaba complaint covers investors who acquired the company’s securities between June 26, 2025, and June 24, 2026. It alleges Alibaba was added to the U.S. Department of Defense’s Chinese military companies list on June 8, 2026, citing its alleged affiliation with China’s Ministry of Industry and Information Technology.
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According to the HDFC Bank complaint, an internal investigation in March and April 2026 reportedly flagged the alleged payments and found more than 10 senior officials responsible, including CEO Sashidhar Jagdishan.
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The Cogent complaint alleges that CEO and Chairman David Schaeffer acknowledged on May 4, 2026, that some customers were delaying acceptance of wavelength installations. Cogent’s stock fell $6.79, or 29%, that day, closing at $16.37.
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The Taboola complaint says the company reported second-quarter 2026 revenue of $476.8 million, below its previously issued guidance of $492 million to $505 million. Taboola’s shares fell $1.46, or 27.5%, to $3.84 on Aug. 5, 2026.
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The Alarum complaint covers investors who purchased securities from March 20, 2025, through July 2, 2026, and alleges that NetNut’s conduct not only increased legal exposure but also threatened the company’s business prospects and made its public statements about operations and future performance misleading.
Kaplan Fox & Kilsheimer has announced five new securities class actions against major companies, alleging investors were deceived about business risks and financial performance. The cases target Alarum Technologies, Alibaba, HDFC Bank, Cogent Communications, and Taboola, with lead-plaintiff deadlines ranging from September 21 to October 20, 2026. Kaplan Fox claims each company hid critical problems that later triggered sharp stock declines and investor losses.
The lawsuits allege everything from hidden network hijacking to fake military-company designation to disguised payments to regulators. Together, they represent a broad sweep of alleged misconduct across tech, banking, and telecom—each one claiming executives misled the market until bad news forced share prices down 27% to 29% in single days.
Alarum's NetNut Used Home Internet Without Consent
Kaplan Fox alleges Alarum Technologies' NetNut subsidiary secretly linked customers' home internet devices to another network without permission. According to the complaint, this practice potentially allowed cybercriminals to hide their locations while increasing Alarum's legal and business risks. Kaplan Fox argues Alarum's public statements about future performance were misleading because they concealed this exposure. The case covers investors who bought shares between March 20, 2025, and July 2, 2026.
Alibaba Hid Pentagon Military Company List and AI Theft
Kaplan Fox sued Alibaba over two allegations: its inclusion on a U.S. Defense Department list of Chinese military companies, and accusations it unlawfully accessed Anthropic's Claude AI models. The Pentagon designation came on June 8, 2026, citing Alibaba's alleged ties to China's Ministry of Industry and Information Technology. Kaplan Fox says Alibaba concealed both risks from investors. Alibaba shares fell sharply after these reports emerged. The class period runs from June 26, 2025, through June 24, 2026.
HDFC Bank Disguised Payments to Boost State Deposits
Kaplan Fox claims HDFC Bank hid roughly 4.5 billion rupees in payments designed to convince a state-owned entity to deposit money. An internal investigation in March and April 2026 flagged the scheme and identified more than 10 senior officials responsible, including CEO Sashidhar Jagdishan. Kaplan Fox alleges this violated bank regulations and internal policies. The complaint says these facts were material and should have been disclosed to investors.
Cogent Overstated Demand, Stock Crashed 29%
Kaplan Fox alleges Cogent Communications inflated demand and backlog figures for its wireline business. On May 4, 2026, CEO and Chairman David Schaeffer revealed some customers were delaying installation orders. That day, Cogent shares plunged $6.79, or 29%, closing at $16.37. Kaplan Fox says Cogent had misrepresented business conditions to hide the slowdown. The complaint argues these omissions deceived investors about the company's near-term growth prospects.
Taboola Dumped Low-Quality Publishers, Missed Targets
Kaplan Fox claims Taboola overstated the value of its publisher relationships while concealing quality problems. In August 2026, Taboola reported Q2 revenue of $476.8 million—well below its guidance of $492 million to $505 million. The company also revealed it had removed low-quality publishers from its network. Kaplan Fox says these facts show Taboola's prior statements were misleading. Shares fell $1.46, or 27.5%, to $3.84 on August 5, 2026. The class period spans May 6 to August 4, 2026.
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