Tingo hires law firm to conduct independent review after Hindenburg's claims

Tingo

08/06/2023 15:01

June 8 (Reuters) - Tingo Group  TIO.N  said on Thursday
it had hired law firm White & Case LLP to conduct an independent
review after short-seller Hindenburg Research earlier this week
alleged that the fintech firm had "fabricated" its financials.
    The company, which has refuted the allegations of
misrepresentation and tax delinquency outlined in the report,
said it will make no further comment until the review was
complete.
    The New Jersey-based holding company, which operates in
Africa, Southeast Asia and the Middle East, halved in value on
Tuesday after the short-seller called it an "exceptionally
obvious scam" and criticized founder Dozy Mmobuosi's claims of
having developed "the first mobile payment app in Nigeria". 
    "Prior to today's appointment of White & Case LLP, the
Company had commenced its own review to confirm, among other
things, the number of farmers on Tingo Mobile and the Nwassa
platform, the relationships with its contracted cooperatives,
the relationship with the All Farmers Association of Nigeria,
and the Company's cash balances," Tingo said.
    The company is Hindenburg's fourth target this year, after
Indian conglomerate Adani Group, Jack Dorsey-led Block Inc
 SQ.N  and Carl Icahn's flagship Icahn Enterprises  IEP.O .
      

 (Reporting by Mehnaz Yasmin in Bengaluru; Editing by Shinjini
Ganguli)
 ((Mehnaz.Yasmin@thomsonreuters.com;))