Netcapital Investors Have Until Dec. 7 to Seek Lead Plaintiff Role

Investors who bought Netcapital Inc. (Nasdaq: NCPL) securities from Dec. 15, 2021, through Sept. 3, 2026, have until Dec. 7 to ask a court to appoint them lead plaintiff in a securities class action. The proposed class period includes both dates.

Rosen Law Firm reminded investors of the deadline Nov. 7. A lead plaintiff represents other proposed class members and directs the litigation. Investors seeking that role must file a motion with the court by Dec. 7, 2026.

The deadline applies to seeking appointment, not to participation in a potential recovery. Investors may remain absent class members without seeking the lead role, and their ability to share in any future recovery does not depend on being appointed. No class has been certified, and investors are not represented by counsel in the case unless they retain one.

The lawsuit alleges Netcapital improperly recognized material revenue from sham consulting agreements with entities controlled by John Fanning. It alleges the agreements were backdated and some were forged, and that Netcapital Advisors provided little, if any, meaningful consulting services.

The suit also alleges that Portfolio Company transactions involving Fanning were improperly undisclosed related-party transactions. It further claims Netcapital's certifications under the Sarbanes-Oxley Act of 2002 were false.

The lawsuit alleges that the challenged conduct made statements about Netcapital's business, operations and prospects materially false or misleading, or left them without a reasonable basis. It also claims investors suffered damages when the true details entered the market. The motion deadline is Dec. 7.