Frequently Asked Questions
- Why did I receive a Distribution Plan Notice and Claim Form?
- What is this all about?
- What is the Fair Fund?
- Who should submit a claim?
- How do I file a claim?
- How are payment amounts determined?
- How do I get more information?
- I am a broker. How do I obtain additional Distribution Plan Notices?
- Why did I receive a Distribution Plan Notice and Claim Form?
You received a Distribution Plan Notice and Claim Form because you or someone at your household may have purchased or otherwise acquired Super Micro Computer Inc. common stock during the period October 22, 2014 through January 30, 2018, inclusive. Claimants who fit this criteria may be eligible for distribution from a Fair Fund that was established in Securities and Exchange Commission enforcement actions against Super Micro Computer, Inc. and its former Chief Financial Officer, Howard Hideshima.
Top - What is this all about?
On August 25, 2020, the Securities and Exchange Commission issued an Order Instituting Cease-and-Desist Proceedings Pursuant to Section 8A of the Securities Act of 1933 and Section 21C of the Securities Exchange Act of 1934, Making Findings, and Imposing a Cease-and-Desist Order against Super Micro Computer, Inc. Super Micro Computer, Inc. consented to the entry of the Order. In the Order, the SEC determined, among other things, that the company engaged in improper accounting—prematurely recognizing revenue and understating expenses from at least fiscal years 2015 through 2017. As a result, the company filed with the SEC materially misstated financial statements in its annual, quarterly and current reports during the period.
Also on August 25, 2021, the SEC issued an Order against Howard Hideshima, the former Chief Financial Officer of Super Micro Computer, Inc. Howard Hideshima consented to the entry of the Order. In the Order against Howard Hideshima, the SEC determined, among other things, that, from at least fiscal years 2015 through 2017, Howard Hideshima signed, and/or approved, annual, quarterly and current reports with the SEC that contained materially misstated financial statements.
As a result of the SEC Orders, the SEC ordered Super Micro Computer and Hideshima to pay, variously, disgorgement, prejudgment interest, and civil penalties totaling $17,851,056.00. The SEC further established a Fair Fund so that the entirety, including the civil penalties, could be combined into one fund for distribution to investors harmed by the conduct described in the SEC Orders.
By Order dated April 8, 2021, the SEC approved a plan of distribution for the distribution of the Fair Fund to investors harmed by the conduct described in the SEC Orders. You can see review the approved plan through the Important Documents tab on the Fair Fund website, www.SMCFairFund.com or on the SEC website at
https://www.sec.gov/litigation/admin/2021/34-91507-dp.pdf.
Top - What is the Fair Fund?
The Fair Fund is comprised of the $17,851,056.00 paid by Super Micro Computer and its former CFO Howard Hideshima pursuant to SEC Orders. These funds have been been deposited into an interest-bearing account at the US Treasury’s Bureau of the Fiscal Service. Interest and any additional funds received pursuant to SEC or Court order, agreement, or otherwise, will be added to the Fair Fund for disbursement to investors in accordance with the SEC approved plan of distribution.
Top - Who should submit a claim?
If you purchased or acquired Super Micro Computer, Inc. common stock, listed on the Over-the-Counter Market and the Nasdaq Stock Market, LLC and traded under the trading symbol SMCI during the period October 22, 2014 through January 30, 2018, inclusive, and you are not an Excluded Party, you should submit a claim because you may be eligible for a distribution from the Fair Fund. Excluded Parties are defined in the Plan as:
• Super Micro Computer, Inc. and Howard Hideshima (the “Respondents”);
• Officers or directors of Super Micro Computer, Inc. (“SMC”) from January 2015 to the present; any employee, agent, or former employee or agent of SMC or any of its affiliates who has been terminated for cause or has otherwise resigned, in connection with the conduct described in the Orders; any legal representatives, nominees, assigns, heirs, spouses, parents, children, successors-in-interest of the Respondents; and/or any entity in which the Respondents have or had a controlling interest;
• Any respondent or defendant in related SEC litigation against whom/which an Order or Judgment imposing liability has been entered, including the respondent in Charles Liang, Admin. Proc. File No. 3-19929 (Aug. 25, 2020), and their legal representatives, nominees, assigns, heirs, spouses, parents, children, successors-in-interest, or entities in which they have or had a controlling interest;
• Any person or entity who has been found guilty of criminal charges related to the conduct set forth in the SEC Orders and their legal representatives, nominees, assigns, heirs, spouses, parents, children, successors-in-interest, or entities in which they have or had a controlling interest;
• The Respondents’ officers’ and directors’ liability insurance carrier(s) and any affiliates or subsidiaries thereof;
• KCC Class Action Services (“KCC”), the appointed fund administrator (the “Fund Administrator”), its employees, and those persons assisting the Fund Administrator in its role as Fund Administrator; and
• Any purchaser or assignee of a Potential Claimant’s right to obtain a recovery from the Fair Fund for value; provided, however, that this provision shall not be construed to exclude those Potential Claimants who obtained such a right by gift, inheritance, devise or operation of law.
Top - How do I file a claim?
You may submit your completed and signed Proof of Claim Form online no later than 11:59 p.m. Eastern Time on September 18, 2021, closely following the directions on this website under the “File Claim” tab. Alternatively, you may mail your completed and signed proof of claim form postmarked on or before September 18, 2021, addressed as follows:
Super Micro Computer, Inc. Fair Fund
C/o KCC Class Action Services
Fund Administrator
P.O. Box 990
Corte Madera, CA 94976-0990
Top - How are payment amounts determined?
Distribution Payments shall be determined in accordance with the SEC plan of distribution, including Section V of the plan. The plan can be reviewed and downloaded on the “Important Documents” tab of this website, or the SEC website at
https://www.sec.gov/litigation/admin/2021/34-91507-dp.pdf.
Top - How do I get more information?
You may obtain further information by viewing the resources under the “Important Documents” tab of this website. You may also obtain Claim Forms and seek additional information from the Fund Administrator at:
Email: info@SMCFairFund.com
Phone: 1-800-581-8660
Physical Address:
Super Micro Computer, Inc. Fair Fund
C/o KCC Class Action Services
Fund Administrator
P.O. Box 990
Corte Madera, CA 94976-0990
Top - I am a broker. How do I obtain additional Distribution Plan Notices?
If, during the Relevant Period, you purchased or held Super Micro Computer, Inc. common stock for the beneficial interest of a person or organization other than yourself, as soon as practically possible, you must either: (1) request additional copies of the Distribution Plan Notice and Proof of Claim Form from the Fund Administrator, and, within fourteen (14) calendar days of receipt of such copies, send copies by first-class mail directly to beneficial owners; or (2) provide a list of the names and last known addresses of the beneficial owners (preferably in Excel format), in a secured (encrypted) format, to the Fund Administrator to notifications@kccllc.com. If you would like to send such information via secure FTP, please email notifications@kccllc.com for login instructions. You may also mail such information to the following address:
Super Micro Computer, Inc. Fair Fund
C/o KCC Class Action Services
Fund Administrator
P.O. Box 990
Corte Madera, CA 94976-0990
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If you choose to mail the Distribution Plan Notice and Proof of Claim Form yourself, you may obtain from the Fund Administrator (without cost to you) a reasonable number of copies of these documents needed to complete the mailing. If you choose the second option, KCC Class Action Services will send a copy of the Distribution Plan Notice and Proof of Claim Form to the persons and/or entities whose names and addresses you supply. All proofs of claim must be submitted by the Claim Filing Deadline.
In either case, you may obtain reimbursement for reasonable and documented administrative costs actually incurred in connection with forwarding the Distribution Plan Notice that would not have been incurred but for the obligation to forward the Distribution Plan Notice and Proof of Claim Form, upon submission of appropriate documentation to the Distribution Agent.
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