ALT5 Sigma Under Fire: Auditor License Expired, Nasdaq Delisting Looms

2026-01-12 13:41:41

The Core Problem

ALT5 Sigma, the Nasdaq-listed firm connected to World Liberty Financial and Trump-backed interests, just hit a major governance wall—its auditor doesn’t have a valid license to do the job. Victor Mokuolu CPA PLLC, a Texas-based accounting firm brought on to handle ALT5 Sigma’s financials, has been operating without an active firm registration since August, meaning it legally cannot issue audit opinions under state rules.

This isn’t a minor paperwork glitch. Without a licensed auditor, the company cannot release financial statements, and that directly threatens its Nasdaq listing.

The Auditor Problem Runs Deeper

The issue extends beyond an expired license. Victor Mokuolu CPA PLLC has a troubling compliance track record:

In 2023, the Public Company Accounting Oversight Board (PCAOB) fined the firm for failing to notify regulators about six public company audits within required timeframes
In 2024, the Texas State Board of Accountancy imposed additional penalties for similar lapses
The firm has previously failed peer review inspections, a serious red flag in accounting

While founder Victor Mokuolu did renew his personal CPA license on August 31, the company’s firm registration remains inactive. The firm is now undergoing a peer review process expected to wrap by end of January.

Why Investors Should Care

ALT5 Sigma’s situation reflects deeper governance instability. The company has been struggling to maintain compliance since pivoting its business model multiple times—from appliance recycling to biotech to fintech—and most recently announcing plans to hold WLFI tokens on its balance sheet.

Here’s where it gets critical: the company has missed filing its quarterly results for the period ended September. That’s a Nasdaq violation. Additionally, board member David Danziger resigned, leaving ALT5 Sigma non-compliant with Nasdaq rules that require an adequately staffed audit committee.

The Market Vote

Investors are already voting with their feet. ALT5 Sigma shares have plummeted more than 77% since the start of 2025, reflecting widespread concerns about corporate governance, financial transparency, and delisting risk.

The delayed auditor license reactivation and unresolved peer review create an uncertain timeline. If ALT5 Sigma cannot resolve these compliance gaps quickly, the company faces real delisting risk from Nasdaq—a outcome that would hit shareholders hard.

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