On November 10, 2026, Labaton Keller Sucharow was appointed Co-Lead Counsel in a securities class action against Alibaba Group Holding Limited (Alibaba or the Company) and its Chief Executive Officer Eddie Wu (collectively, Defendants). The action asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, 15 U.S.C. Sections 78j(b) and 78t(a), and Rule 10b-5 promulgated thereunder on behalf of all purchasers of Alibaba securities between June 26, 2025, and June 24, 2026, inclusive (the Class Period).

Alibaba is a Chinese multinational technology conglomerate.  The action alleges that Alibaba failed to disclose that its affiliation with the Chinese Ministry of Industry and Information Technology (MIIT) exposed it to designation as a Chinese military company by the U.S. government.  The action also alleges that Alibaba warned of potential harm from unauthorized distillation of third-party artificial intelligence (AI) models, while Alibaba was reportedly already systematically accessing Anthropic PBC’s (Anthropic’s) Claude AI to train its own models. 

Investors began to learn the truth on June 8, 2026, when the U.S. Department of Defense released a list identifying Chinese military companies that included Alibaba due to its affiliation with MIIT.  On this news, the price of Alibaba American Depositary Shares (ADSs) fell approximately 4% over two trading days. Then, on June 24, 2026, Bloomberg reported that Anthropic was accusing Alibaba of illicitly accessing its models to develop the Company’s own models. On this news, the price of Alibaba ADSs fell approximately 7% over two trading days.

The case is Wistisen v. Alibaba Group Holding Limited, No. 26-cv-06654 (S.D.N.Y.).  Labaton represents Co-Lead Plaintiff Pavers and Road Builders District Council Pension Fund.