Important Information Regarding Section 20(a) Individual Liability Claims Against Nano-X Imaging's CEO and CFO for Alleged $33.4 Million Q4 Net Loss
NEW YORK, June 18, 2026 /PRNewswire/ -- SueWallSt alerts investors in Nano-X Imaging Ltd. (NASDAQ: NNOX) of a pending securities class action naming two senior executives as individual defendants. Class Period: March 31, 2025 through April 17, 2026. Find out if you qualify to recover losses or contact Joseph E. Levi, Esq. at jlevi@SueWallSt.com | (888) SueWallSt.
Nano-X shares fell $0.695 per share, or 24.39%, following an April 20, 2026 disclosure of a $17.5 million impairment charge and manufacturing restructuring. The Court has set August 11, 2026 as the deadline to apply for lead plaintiff appointment.
The Named Individual Defendants
Erez Meltzer, who has served as Nano-X's Chief Executive Officer and Acting Chairman at all relevant times, and Ran Daniel, who served as Chief Financial Officer at all relevant times before announcing his resignation effective July 31, 2026, are both named as individual defendants in the securities action filed in the United States District Court for the District of New Jersey. The complaint charges that both officers possessed the power and authority to control the contents of Nano-X's SEC filings, press releases, and other market communications throughout the Class Period.
Section 20(a) Control Person Framework
Section 20(a) of the Securities Exchange Act of 1934 imposes liability on individuals who control entities that violate securities laws. The action contends that Meltzer and Daniel, by virtue of their senior positions, directly controlled Nano-X's public disclosures about manufacturing efficiency, operational scaling, and demand alignment. They were provided with copies of SEC filings and press releases prior to issuance and had the ability and opportunity to prevent misleading statements or cause them to be corrected.
Sarbanes-Oxley Certification Obligations
Both individual defendants signed certifications appended to Nano-X's 2024 annual report on Form 20-F, as required by the Sarbanes-Oxley Act of 2002, Sections 302 and 906. In those certifications, each officer attested that:
- The annual report did not contain any untrue statement of material fact or omit to state a material fact necessary to make statements not misleading
- Financial statements and other financial information fairly presented in all material respects the financial condition and results of operations of the Company
- They were responsible for establishing and maintaining disclosure controls and procedures
- They had disclosed any significant changes in internal controls to Nano-X's auditors and audit committee
The complaint asserts these certifications were false when made because both officers allegedly knew, or recklessly disregarded, that Nano-X's production and manufacturing operations were poorly aligned with actual product demand.
Scienter Allegations
As pleaded in the action, both defendants were highly focused on driving efficiencies in Nano-X's manufacturing processes throughout the Class Period, making repeated and specific statements about these efforts during quarterly earnings calls. The complaint contends they were undoubtedly aware that the Korean chip facility's operations were unsustainable and that significant restructuring and impairment charges were likely, yet they consistently touted operational efficiency improvements while omitting this material negative information.
Submit your information to join the recovery or call (888) SueWallSt.
"Corporate officers have a duty to ensure their companies' public statements are accurate and complete. When executives sign SOX certifications attesting to the accuracy of financial disclosures while allegedly aware of material misalignments in manufacturing operations, the PSLRA provides shareholders a path to accountability." -- Joseph E. Levi, Esq.
SueWallSt -- Top 50 securities litigation firm (ISS, seven consecutive years). Over 70 professionals. Hundreds of millions recovered.
Frequently Asked Questions About the NNOX Lawsuit
Q: Who are the defendants named in the NNOX lawsuit? A: The complaint names Nano-X Imaging Ltd. and individual defendants including CEO Erez Meltzer and CFO Ran Daniel, senior executives who signed SEC filings, made public statements, and certified financial disclosures under Sarbanes-Oxley.
Q: What is the NNOX lead plaintiff deadline? A: The deadline to apply for lead plaintiff appointment is August 11, 2026. This deadline applies only to investors seeking to serve as lead plaintiff. Class members who do not apply may still participate in any recovery without taking action before this date.
Q: What do NNOX investors need to do right now? A: Gather brokerage records including purchase dates, share quantities, and prices paid. Contact SueWallSt for a free, no-obligation evaluation at jlevi@SueWallSt.com or (888) SueWallSt. No immediate action is required to remain eligible as a class member.
Q: What does it cost me to participate? A: Nothing. Securities class actions are handled on a pure contingency basis. No upfront fees, no retainer, no out-of-pocket costs.
Q: What if I already sold my NNOX shares -- can I still recover losses? A: Yes. Eligibility is based on when you purchased, not whether you still hold them. Investors who bought during the class period and sold at a loss may still participate.
Q: Do I need to go to court or give testimony? A: No. The overwhelming majority of class members never appear in court or give depositions. You submit a claim form to receive your portion of recovery.
Q: Can I join a different law firm's lawsuit instead? A: Multiple firms often file competing complaints. The court consolidates and appoints a single lead counsel. Contacting SueWallSt before August 11, 2026 ensures your losses are considered.
CONTACT:
SueWallSt
Joseph E. Levi, Esq.
33 Whitehall Street, 27th Floor
New York, NY 10004
jlevi@SueWallSt.com
Tel: (888) SueWallSt
Fax: (212) 363-7171
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