Nasdaq-listed shares of the Nigerian fintech company Tingo stocks fell by as much as 60 percent after Hindenburg research labeled it an evident fraud. As per the Tingo Hindenburg Report, Tingo fabricated partnerships, lacked the necessary mobile license, and fraudulently claimed the proprietorship of a food-manufacturing facility. Inaccuracies in Tingo’s accounting records were also highlighted in the report, casting doubt on the company’s credibility. Before publishing the report, Tingo’s market capitalization exceeded $400 million.

Tingo’s business model is predicated on providing smartphones to Nigerian farmers, thereby granting them the ability to obtain microloans, credit, and market information via its online platform, Nwassa. Hindenburg questioned the veracity of Tingo and observed that the Nwassa interface had been undergoing maintenance for a considerable amount of time.

When the CEO of Tingo’s holding company, Dozy Mmobuosi, made an offer for Sheffield United football club, further doubts arose. According to investigations, Tingo Airlines Limited, a company registered by Mmobuosi, did not exist. Tingo denied these allegations as the work of short sellers, but he acknowledged the necessity for an internal inquiry. In addition, the Hindenburg short report cast doubt on the veracity of Deloitte, which conducted an unqualified audit of Tingo’s Israeli subsidiary. Deloitte declined to speak on the situation.

The Financial Times was unable to obtain satisfactory responses from Tingo’s Nigerian chief technology officer during a visit to the company’s Lagos headquarters. The Financial Times also examined Tingo’s Dubai office, which was unoccupied despite the organization’s announcement of a significant export pipeline for commodities. Hindenburg Research’s allegations have significantly impacted Tingo Group’s stock price and raised major questions about the business’s trustworthiness and future prospects.

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