Robbins LLP is Investigating Allegations that Insiders Facilitated a Market Manipulation and Fraudulent Promotion Scheme Against Smart Digital Group Limited (SDM)

Robbins LLP informs stockholders that a class action was filed on behalf of all investors who purchased or otherwise acquired Smart Digital Group Limited (NASDAQ: SDM) securities between May 5, 2025 and September 26, 2025 at 9:34 AM EST.  Smart Digital, together with its subsidiaries, provides internet media, business planning and consulting, event planning and execution, and software customization and marketing services in Mainland China and Macau. 

The Allegations:

According to the complaint, defendants failed to disclose to investors that: (1) SDM was the subject of a market manipulation and fraudulent promotion scheme involving social-media based misinformation and impersonators posing as financial professionals; (2) insiders and/or affiliates used and/or intended to use offshore or nominee accounts to facilitate the coordinated dumping of shares during a price inflation campaign; (3) SDM’s public statements and risk disclosures omitted any mention of realized risk of fraudulent trading or market manipulation used to drive the Company’s stock price; and (4) as a result, SDM securities were at unique risk of a sustained suspension in trading by either or both of the SEC and NASDAQ.

Plaintiff alleges that on September 26, 2025, the Company’s stock price collapsed 86.4% to close at $1.85 per share following an intraday halt by the NASDAQ Stock Market for volatility just minutes after the market opened. Before the next trading day began, the SEC suspended trading in SDM securities from September 29, 2025 through October, 10, 2025, due to “potential manipulation” in the Company’s securities “effectuated through recommendations made to investors by unknown persons via social media to purchase the securities of SDM, which appear to be designed to artificially inflate the price and volume of the securities of SDM.” On October 11, 2025, NASDAQ suspended trading in SDM securities pending a request for additional information. At the time of this filing, trading in SDM securities remains suspended.

What Now: You may be eligible to participate in the class action against Smart Digital Group Limited. Shareholders who wish to serve as lead plaintiff for the class should contact Robbins LLP. The lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation.  You do not have to participate in the case to be eligible for a recovery. If you choose to take no action, you can remain an absent class member.

All representation is on a contingency fee basis. Shareholders pay no fees or expenses.