The fintech company dLocal He assured that he is willing to collaborate now “respond to each and every one of the requests for information” made by the Justice of Argentina, from where they accuse the unicorn of Uruguay of committing alleged fraudulent maneuvers and anticipated that they will send the information to the SEC.
The decision stems from a statement sent to the National Securities and Exchange Commission of the United States, to which EFE had access, where the company clarified that in the same way “it intends to continue operating in Argentina”. In this context, the fintech shares traded slightly higher this Tuesday in Wall Street and they recovered some of their value, in a situation reminiscent of the resounding plunge in stocks after a Muddy Waters report.
dLocal was accused by the government of the neighboring country for an alleged overbilling of digital services for at least 400 million dollars, with the presumed purpose of evading foreign exchange. Now, through a letter, the company confirmed that a prosecutor made an investigation request and clarified that they intend “to respond to each and every one of the requests for information from the regulatory authorities to demonstrate that they have acted in accordance with the normative”.
In the document, the Uruguayan unicorn admitted having received a request for information from the Argentine customs, but he explained that expatriation rules and currency exchange operations are regulated by the Central Bank of Argentina.
dLocal assures that it tried to “adapt” to the changes in regulations in Argentina
Furthermore, since dLocal They recalled that Argentine exchange regulations have changed “on numerous occasions in recent years in light of the shortage of US dollars” and added that the company tried to “adapt your operations” in response to those changes.
Finally, they indicated that the company, which operates in 29 countries in Latin America, Asia-Pacific, Middle East and North Africa, “Continue processing payments as normal.” At the same time, they made it clear that there is an intention to “continue operating in Argentina”.
dLocal shares experienced a slight rebound
Regarding his performance in the stock market, Nasdaq, the actions of dLocal They managed to close a day on the rise, although still far from the values prior to the accusations that came from Argentina. During this Tuesday, the titles of the Uruguayan fintech traded at $9.97, recovering 15 cents and experiencing a rise of 1.53%. However, the values are still far from the $13.80 on May 25, the day after which the papers plummeted 17.32%.
The situation finds similarities with what happened in mid-November, when a harsh report from Muddy Waters made titles plummet more than 51% in less than 24 hours, occasion in which the shares traded at a minimum of $10.46, although they started from a higher floor, from $21.22.