SurgePays, Inc. (NASDAQ:SURG) (“SurgePays” or the “Company”), a technology and telecommunications company focused on the underbanked and underserved, today provided a Company update.
A recent report, which contains numerous errors of fact and misleading and libelous content, appears to be a deliberate attempt to undermine the positive work SurgePays is undertaking in low-income communities to provide wireless and financial services to the underbanked and underserved. As disclosed, the report represents opinions devoid of a fundamental lack of understanding of our business model and growth strategy.
Chairman and CEO Brian Cox stated, “SurgePays, as a company, would like to set the record straight and confirm that its controls, policies, and procedures to enroll eligible households in the Affordable Connectivity Program (“ACP”) are vetted and compliant. We also voluntarily contract a third-party compliance company to oversee regulatory filings, reporting calculations, and manage audits. Hundreds of thousands of households in need benefit from our team’s hard work every day, and we take this responsibility very seriously. As a matter of fact, our entire business model is corporately responsible.”
Mr. Cox concluded: “While it’s annoying for shareholders to deal with these types of efforts, the effects should not last long when we are expecting to report a net income of over $6 million in the second quarter alone, and we are still in the early phases of our growth pattern. We will remain laser-focused on executing an exciting growth strategy while providing essential products and services that underserved folks need and want.”
The Company also wants to set the record straight and state that its accounting records are accurate and correct and that its financial results are accurately reported within its financial statements and SEC filings. The investor community has demonstrated faith in SurgePays based on detailed analyses and reports prepared by leading professional advisors, financial experts, and credit rating agencies. Neither SurgePays nor its employees or representatives will respond further to the allegations. Still, to avoid doubt, the Company believes the report published is a deliberate attempt to damage its reputation maliciously by issuing false, misinformed, and distorted information for financial gain and at the expense of the Company’s shareholders.
