The SEC stated: "This matter involves accounting fraud, financial reporting violations, and internal control failures by iFresh and its founder and CEO, Long Deng. iFresh and Deng misled the investing public about iFresh’s finances by hiding and misstating information about related party transactions that iFresh entered into with entities owned and controlled by Deng and his brother."

The SEC stated that: "On May 31, 2022, the Securities and Exchange Commission charged iFresh, Inc.(iFresh), a public issuer and a grocer that operates wholesale businesses and retail supermarkets across New York, Massachusetts, and Florida, with repeatedly filing materially inaccurate financial statements that failed to fully disclose related party transactions connected to its CEO, Long Deng (Deng). The SEC also charged Deng for his alleged misconduct related to the scheme."

On October 17, 2022, the Court issued a judgment as to Defendant iFresh, Inc., stating: "Defendant iFresh, Inc. ("iFresh") having entered a general appearance; consented to the Court's jurisdiction over Defendant and the subject matter of this action; consented to entry of this Judgment without admitting or denying the allegations of the Complaint (except as to jurisdiction and except as otherwise provided herein in paragraph VII); waived findings of fact and conclusions of law; and waived any right to appeal from this Judgment."