Defendant Name: Gridsum Holding Inc.

Defendant Type: Public Company
SIC Code: 9999
CUSIP: 39813210

Document Reference: comp25822

Document Details

Legal Case Name SEC (Plaintiff) v. Guosheng Qi and Gridsum Holding Inc. (Defendants) and Huijie He (Relief Defendant)
Document Name Complaint
Document Date 07-Sep-2023
Document Format Civil Proceeding
Case Number 23-cv-07924
Federal District Court New York, Southern District of New York
Allegation Type Issuer Reporting and Disclosure
Document Summary The SEC stated: "This case involves Defendants’ misuse and unreported use of funds raised in a 2016 initial public offering (IPO) as well as Defendants’ failure to disclose millions of dollars in related-party transactions that benefitted Defendant Qi’s family members."

Related Documents:

LR-25822 07-Sep-2023 Litigation Release
SEC Charges China-Based Big Data Analytics Company with Failure to Disclose Related Party Payments, including more than $5 million that benefitted the CEO's Family
On September 7, 2023, the SEC stated: "The SEC today filed a complaint against Gridsum Holding, Inc. (formerly Nasdaq: GSUM) and its CEO Guosheng Qi charging them with misuse and unreported use of funds raised in a 2016 U.S. initial public offering (IPO) as well as failure to disclose millions of dollars in related-party transactions that benefitted Defendant Qi’s family members. According to the complaint, from September 2016 to June 2020, Gridsum, and Qi directed a series of undisclosed payments to Qi’s wife and mother-in-law for supposed consulting contracts between Gridsum and a company controlled by Qi’s mother-inlaw. The complaint alleges that the total value of these related party transactions equaled $7.1 million, and Qi and his family directly or indirectly received at least $5.2 million."

Other Defendants in Action:

Guosheng Qi
Huijie He