Nvidia, Jensen Huang hit with shareholder suit after spy scandal

Nvidia and Chief Executive Jensen Huang were sued in federal court in San Jose, California, in a proposed class action alleging they misled shareholders by concealing Huang’s relationship with Alice Huang, a business executive identified by US authorities as a Chinese intelligence asset. The complaint, filed Monday after the market close, argues the company failed to disclose national security concerns tied to the matter and the potential damage to Nvidia’s reputation and business. Nvidia had opened an independent investigation on Sunday. Shares fell 4.3% on Monday, cutting roughly $190 billion from the chipmaker’s market value. Shareholders led by Mark Kistenmacher are seeking unspecified damages.