The Red Flags: What Insiders Allegedly Knew Before Shareholders Did

NEW YORK , April 30, 2026 /PRNewswire/ -- SueWallSt announces that a securities class action has been filed against ChowChow Cloud International Holdings Limited (NYSE American: CHOW).

YOU MAY BE AFFECTED IF YOU:

• Purchased CHOW stock between September 16, 2025, and December 10, 2025
• Lost money on your CHOW investment
• Acquired shares in or traceable to the Company's September 2025 IPO

Submit your information to recover losses or contact Joseph E. Levi, Esq. at jlevi@SueWallSt.com or (888) SueWallSt.

CHOW shares collapsed 84.3% on December 10, 2025, falling from $11.70 to $1.83 per share after NYSE American halted trading twice due to volatility linked to a fraudulent promotion scheme. The lead plaintiff deadline is May 12, 2026.

What They Allegedly Knew

The securities action alleges that CHOW's officers possessed the power to control the Company's SEC filings, press releases, and public communications throughout the Class Period. Because of their positions and access to material non-public information, the lawsuit maintains, the Individual Defendants knew that adverse facts had not been disclosed to the investing public while positive representations were being made.

Critically, the Company's sole IPO underwriter, US Tiger Securities, Inc., had been censured and fined by FINRA in April 2025, just months before CHOW's September 2025 IPO, for failing to maintain adequate systems to detect potentially suspicious activity in thinly traded, low-priced securities. As pleaded in the complaint, this disciplinary history was never disclosed to IPO investors.

The Red Flags That Emerged

• On its first trading day, CHOW opened at $8.00 per share, double the $4.00 IPO price, and surged to an intraday high of $21.91 on volume of 1.4 million shares, despite no fundamental news from the Company
• Trading volume swung wildly, from an average of just 65,460 shares per day during October 16-22, 2025, to over 424,600 shares on October 23, 2025, a six-fold spike with no Company news or filings to explain it
• Stock promoters using false identities allegedly conducted "in-depth engagements" with the Company's Board and senior management, then disseminated memoranda promising investors returns of "120%-150%"
• The underwriter had previously served as sole book-runner on other microcap IPOs, including Smart Digital and DarkIris, both of which experienced catastrophic price collapses and trading halts

Inside Knowledge vs. Public Statements

The action contends that the Company's Prospectus and Registration Statement contained only generic, boilerplate risk factor language about potential volatility while omitting any reference to the specific, realized risk that CHOW securities were being driven by coordinated market manipulation. The complaint charges that defendants had the ability and obligation to prevent the issuance of misleading filings or to promptly correct them, yet failed to do so.

"The timeline raises important questions about when certain risks were known internally versus when they were disclosed to the investing public. Erratic volume surges in a low-float IPO with no corresponding Company news are precisely the type of red flags that warrant scrutiny," stated Joseph E. Levi, Esq.

Act now to protect your rights or call (888) SueWallSt.

ABOUT THE FIRM -- SueWallSt represents investors in securities class actions nationwide, with a track record of recovering hundreds of millions for shareholders harmed by alleged corporate concealment. Lead plaintiff applications must be submitted by May 12, 2026.

CONTACT:
SueWallSt
Joseph E. Levi, Esq.
Ed Korsinsky, Esq.
33 Whitehall Street, 27th Floor
New York, NY 10004
jlevi@SueWallSt.com
Tel: (888) SueWallSt
Fax: (212) 363-7171

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SOURCE SueWallSt.com