ALT5 Sigma Corporation (ALTS) Investigation

The investigation focuses on the propriety of ALT5’s repeated assurances that its financial reports are prepared in conformity with generally accepted accounting principles (“GAAP”).

By August 29, 2025, just weeks after closing a $1.5 billion offering, ALT5 revealed that “on May 7, 2025, the Intermediate Court of Nyarugenge, Rwanda, rendered a judgment finding ALT5 Sigma Canada Inc., a subsidiary of the Company, and its former principal, Mr. Andre Beauchesne, criminally liable for offenses including illicit enrichment and money laundering[.]”

In addition, ALT5 said that it was reviewing “potential misstatements or omissions in the financial statements of the Company and omissions of material information by certain members of management and personnel of the Company.”

Then, on October 22, 2025, the company announced that it suspended CEO Peter Tassiopoulos and CFO Jonathan Hugh assumed Tassiopoulos’ duties.

Subsequently, on November 12, 2025, ALT5 disclosed that it would not timely file its quarterly report as a result of the ongoing review of the matters disclosed in August and delays related to the timeliness and responsiveness of its outside auditor.

Hugh’s tenure was short-lived. On November 26, 2025, ALT5 announced that it fired Hugh effective November 21. The company also said its Audit Committee Chair, who joined the board in July, resigned from the board and all committees he served on.

Finally, on November 28, 2025, ALT5 disclosed that its outside auditor resigned the same day the company fired CFO Hugh.

FREQUENTLY ASKED QUESTIONS ABOUT THE CASE

What is the ALTS investigation about?

The investigation focuses on whether ALT5 misled investors about the stability and reliability of its financial reporting and internal controls—specifically in the context of its $1.5 billion registered offering in mid-August.

WHAT SHOULD I DO?

I worked at ALTS. What should I do?

If you were an employee of ALTS, you may have valuable information that could be relevant to the investigation. Hagens Berman is one of the nation’s top whistleblower law firms, and has successfully represented many individuals who come forward with information regarding corporate malfeasance. Under the new SEC Whistleblower program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, contact Reed Kathrein at 844-916-0895 or ALTS@hbsslaw.com.

There are multiple law firms participating, do I need to contact all of them?

No, you do not need to contact all participating law firms. Generally, class-action investigations and lawsuits are consolidated into a single case to streamline the legal process, and attorneys from only a few law firms are selected to serve in a leadership role on the consolidated case. Hagens Berman has a proven track record of being appointed to leadership roles in complex, multidistrict litigation regarding investor fraud and other consumer rights issues, and your claim will be handled by attorneys who have helped secure approximately $325 billion in class-action settlements on behalf of individuals who have suffered due to corporate malfeasance and the wrongdoing of other powerful institutions.

AM I ELIGIBLE?

What is the threshold amount to be eligible? What are “substantial” losses?

The threshold amount and the definition of "substantial" losses may vary depending on a number of factors specific to the case, including the size of the company, market cap, shares outstanding and who holds them and the damages alleged by the fraud. In general, to be eligible to participate in a class-action lawsuit, you must be able to demonstrate that you suffered financial losses as a result of the alleged wrongdoing and that your losses meet the criteria set by the court or law firm. Fill out the form and submit your losses.

CAN I PARTICIPATE?

Am I affected? What do I need to do to participate?

If you were an investor in ALTS, you may be affected and eligible to participate in the case. To determine your eligibility and potential involvement, fill out the form and submit your losses.

Can any ALTS investor participate?

In most class-action investigations and cases, any investor who meets the eligibility criteria, including purchasing the shares during the relevant period, can participate, regardless of the size of their investment. Fill out the form to find out your rights.

I bought on a non-U.S. Exchange. Can I participate?

No. This investigation only covers shares bought on a U.S. exchange, i.e. NASDAQ or NYSE. Fill out the form to find out your rights.

Am I included if I still hold my shares, or do I need to sell to participate?

Participation is based on purchasing shares during the relevant period, rather than your current holdings. Accordingly, you do not need to sell to participate. Fill out the form to find out your rights.