Nvidia and CEO Huang sued over alleged ties to suspected Chinese spy

Nvidia and CEO Jensen Huang were sued Monday in a proposed class action alleging they defrauded shareholders by concealing Huang's ties to a suspected Chinese intelligence asset, a disclosure that triggered a stock decline. The complaint, filed in federal court in San Jose, California, claims the defendants misled investors about Huang's alleged affair with Alice Huang, a former Megaspeed executive, and failed to disclose national security concerns threatening Nvidia's reputation. Nvidia announced a probe Sunday, and shares fell 4.3% Monday, erasing about $190 billion in market value. The lawsuit follows a New York Times report on the alleged relationship and U.S. authorities' conclusion that Alice Huang was a Chinese intelligence asset. Shareholder Mark Kistenmacher seeks unspecified damages, with the suit filed five minutes after market close.