Latch Falls To Penny Stock After Admitting "Material Errors and Possible Irregularities"

By John Honovich, Published Aug 29, 2022, 09:55am EDT (Info+)

Latch's stock, already down 90% for the year, fell another 10%+ on Friday, closing under a dollar after it quietly disclosed "preliminary findings" that found "material errors and possible irregularities" in its financial reports.

IPVM Image

Earlier this month, an IPVM investigation revealed that Latch Manipulated and Inflated Bookings, Allege Ex-Employees.

Inside this note, we examine the severe stock fall, the admission, and the risk of fraud and shareholder lawsuits.

*** *-* ****** ********"*********** ********" ** *** ***** ********* warning ********* ****:

********* ********** *** *** ***** ******* of **** ******** ** *** *******’* Quarterly ****** ** **** **-* *** the ***** ****** ***** ***** **, 2022, ****** ** ****** ** ****** upon ** *result ** ******** ****** *** ******** ************** [emphasis added]

************, *** ****** ****** *** ***:

****** ** ***** *** ******* ********** revenue ********** **** *** **** ** hardware *******

********** ****:

******* ******* *********** ****** ******** ** a ****** ** ********** ***** ************ due ** ***** ******** **** *** inconsistent **** *** *******’* ******** ******** and **********

****** ** ****** ** *** ** more ******** ********** ** *** *******’* internal ******* **** ********* ********* ****** the ********** *******

*** ****** **** *** ****** **** specific ***** ************ **** **********.

"Material ****** *** ******** **************"

** ********, *** ********** ******* ****** and ************** ** ***** ** ******,** *** ** ********:

****** ****** ** ************* ************* ** omissions ** ******* ** *********** ** financial **********.

************** ****** ** *********** ************* ** omissions ** ******* ** *********** ** financial **********. ************** ******* ********** ********* reporting ********** ** ****** ********* ********** misleading, ********* ****** ********** *****, ******************* of ******, ********* ****** ************.

************** *** ** ************ *** ** ********:

*** ************* *** *** ***** ***** than *****—*** *******, ************, *********** ************, misappropriation, ** ************—** ***** ** ******** confusion **** * ***** ********** ** fraud ** ***** ****** ** ****** alternative *****.

Intentional ****?

**** *** ********** ***** *******, * key ******* **** ** ******* **** find ***** "******** **************" **** ************* done ** ******** *** *******. ** the ****** **** *** ***** ********* or **** *********** *** *** ******* this *** *********** *** ******* ***** charges ** *****.

Shareholder ********

*********, ***** **** *** ******* *** already ******** **** *** ******* *** the **** * ******** (*.*., *** of **** *** ** ****) ****** not ** ****** ** (**'* ****** was ******* ******* ** **** ******), Latch ***** *********** ********.

Stock *******

** *** **** ****, ********* **** morning, *****'* ***** ** **** **** 20%:

IPVM Image

** *** **** ****, *** ***** is **** **** **%:

IPVM Image

*** ****** ************** ** *** ~$*** million, **** **** * ******* ******* from **** ***** ****** **** ****.

**** **** ****** ** **** *********** is ******** **** *** ***** *********.

Comments (15)

John Honovich

IPVM | 08/29/22 03:16pm

*******: *****, **** **** *********** "************* [****] ******** ******* ***** *** violated *** ******* ********** **** ***/** engaged ** ***** ******** ******** *********."

Agree
Disagree
Informative
Unhelpful
Funny

Undisclosed Manufacturer #1

In reply to John Honovich | 08/29/22 03:30pm

*** ******* *** ****

****** *****: ***** *** **** ********** Latch, ***. */*/* ** ********** ************ Corp. ********* ** ******* ***** ***** Action ************* ****, *****, ****, *****, TSIAU

Agree
Disagree
Informative: 1
Unhelpful
Funny

Undisclosed Manufacturer #2

08/29/22 03:30pm

*** ******* *** ***** **** ******. Over $** ** ***** **** ** a ****. ********* (*** ******) ***** be **** ** *** ****** *** arrogant ** *** ***** **** ** success. ** *** *** ****** *******.

Agree: 1
Disagree
Informative
Unhelpful
Funny: 1

John Honovich

IPVM | 08/29/22 04:03pm

******* **** ** *** ***** ** (eventually) ** ******** ** *** ***** continues ***** $*,*.*.:

****** ********* *** *** $* ******* bid ** *** ** *** **** common ******* *** *********, **** ** was *** ***** ****** *** **** the ***** ** *** **********. ** a *******'* ***** ***** ***** ***** $1 *** ** *********** ******* ****, it *** ** ********.

**** ** * ******-**** **** *** Latch. *** **** ********* **** *** Latch ** **** ** *** *** released *** ********* ** ****** ** the ******* ********* ******:*****://***.******.***/*****-*******/*****-********-********-******-************-**-***-**********-****-**-**

Agree
Disagree
Informative: 1
Unhelpful
Funny

John Honovich

IPVM | 08/29/22 10:19pm

******: ***** ******* ** *** *** day **** * ******:

IPVM Image

Agree
Disagree
Informative: 1
Unhelpful
Funny
Avatar

Charles Rollet

08/30/22 03:25am

******* ********* ********** ***** **** ***** is *** ***-*********** ******** ** ******* recognition. **** ***** **** ******** **** Latch ********** $*.* ******* ** ********* as ******* *** **** *** ****, categorizing **** ** ** ******** ******* rather **** ******* **** ******* ** the ***** ** ** **** *******:***** *** ****** "**** *********" **** 38% "*** ****" ******** *******

Agree
Disagree
Informative: 4
Unhelpful
Funny

Undisclosed #3

08/30/22 12:43pm

**** ***** **** ******** *********** ****** Latch **** ******* * ***** *** to ************ *********.

****** **** ** ******** ******* ** furthering **** ** ***** *** ***** of ***** ******’* ****.

Agree
Disagree
Informative
Unhelpful
Funny

John Honovich

IPVM | 09/02/22 11:35pm

***** **** *** **** ***** * dollar:

IPVM Image

** ** ******* **********, *** ***** lawsuit *** **** ***** ******* ** this *********, ***:*****, ***, *** *** ****; ******* Fraud

Agree
Disagree
Informative
Unhelpful
Funny

John Honovich

IPVM | 09/23/22 11:27pm

***** ***** *** * *** ***-**** low *****:

IPVM Image

** *** ***** ******* **** *****, briefly ** **** **% *** *** has ********* ** * *** ***.

Agree
Disagree
Informative
Unhelpful
Funny

Undisclosed Integrator #4

09/23/22 11:58pm

*** **** **** * ***** **** below * ****** ****** ** ** delisted? ***** ****** **** **** ******** are **** ***** *.** *** **** been ***** *** * *****.

Agree
Disagree
Informative
Unhelpful
Funny

John Honovich

IPVM | In reply to Undisclosed Integrator #4 | 09/24/22 12:02am

***:************ ** ** *******

*** **** *** ****** ******** ** but*** ****:

** * ******* ****** *** ** consecutive ******** **** ***** *** $*.** minimum ******* *** ***** ***********, ****** will **** * ********** ****** ** the *******, ******** **** ** *** been ******** * "********** ******" **180 ******** ****** ****** ********** **** *** ********** requirements.

Agree
Disagree
Informative
Unhelpful
Funny

Undisclosed Manufacturer #5

In reply to John Honovich | 09/24/22 12:43am

** * ****, *** ***** *** Latch ** *** ******* ** **** the ****** *******.

***** ******** ******** ****** ************ ** non-compliance

*** ****, ***. **, **** (***** NEWSWIRE) -- *****, ***. (******: ****) (the “*******”), ***** ** *******, *** full-building ********** ********-**-*-******* (****) ********, ***** announced **** ** ****** **, ****, it ******** * ****** **** *** Listing ************** ********** ** *** ****** Stock ****** *** (“******”) ********* *** Company **** ** *** *** ****** with ******’* ******* **** ****(*)(*) *** continued ******* ******* *** ******* *** not ***** *** ********* ****** ** Form **-* *** *** ******* ***** June **, **** (*** “**** **-*”) by *** ******** *** ****.​

*** ******* ********** ********* *** ********* to ****** **** *** **** **-* in *** ************ ** **** ****** on **** ***-** ***** **** *** Securities *** ******** ********** ** ****** 10, ****.

****** ******** *** ******* **** ** has ***** ******* **, **** ** submit * **** ** ****** ********** with ******* ** *** ****** ** the **** **-*. ** ****** ******** the *******’* ****, ** *** ***** the ******* ** ********* ** ** to *** ******** **** **** *** due **** ** *** **** **-* to ****** **********.

*** ****** ******** **** ****** *** no ********* ****** ** *** ******* or ******* ** *** *******’* ****** of ****** ***** ** ********. *******, if *** ******* ***** ** ****** regain ********** **** *** ****, *** Company’s ****** ** ****** ***** *** warrants **** ** ******* ** ********* from ******.

*** ******* ******* ** **** *** Form **-* ** **** ** ***********.

***** *****, ***.

***** ***** ****** ****** ****** ** live, ****, *** ***** ******* * system ** ********, *******, *** ********. For **** ***********, ****** ********** | ****** ********* ****** ****** to ****, ****, *** *****..

Agree
Disagree
Informative
Unhelpful
Funny

John Honovich

IPVM | In reply to Undisclosed Manufacturer #5 | 09/24/22 12:31pm

***** *** ******** ******, ***, ** you ***, ** **** **** ***** have *** ***** ***** ** ********* results ******* ** ****** **** ****.

******* **** ** ** *** ***** says ***** $*.

*** *******, *** ***** *** ******* is **** "******** ****** *** ******** irregularities" *****. **** **** *** ** release ***** ***** ******** ***, ********* on **** **** **** ***** ***** create ******* ******.

Agree: 1
Disagree
Informative
Unhelpful
Funny
Avatar

Donald Maye

10/10/22 06:12pm

***** * *** *** **** *** today ** $.** *** ********* ******* at $.**

IPVM Image

Agree
Disagree
Informative
Unhelpful
Funny

John Honovich

IPVM | 10/24/22 06:22pm

** ******* **** ***** ***** **** in * ****** *** ** *** SEC ******* *****.

Agree
Disagree
Informative
Unhelpful
Funny
Login to read this IPVM report.
Why do I need to log in?
IPVM conducts reporting, tutorials and software funded by subscriber's payments enabling us to offer the most independent, accurate and in-depth information.
Loading Related Reports