*By Carlo Versano*
Federal regulators have subpoenaed Snap as part of a probe into its 2017 initial public offering, the company confirmed in a statement to Cheddar.
Reuters first [reported](https://www.reuters.com/article/us-snap-sec-exclusive/exclusive-snap-reveals-us-subpoenas-on-ipo-disclosures-idUSKCN1NJ04O) the subpoenas late Tuesday.
The subpoenas, filed by the Justice Dept. in coordination with the SEC, are believed to be related to a class action lawsuit filed by a group of investors in May 2017 that alleged the company misrepresented how competition from Facebook's Instagram ($FB) was affecting its growth ahead of the $3.4 billion IPO, and misled the public about its user metrics.
In the statement, Snap said: “While we do not have complete visibility into these investigations, our understanding is that the DOJ is likely focused on IPO disclosures relating to competition from Instagram."
The social-messaging app has suffered from the competition with Instagram, which launched a near-identical feature to Snapchat's core service in 2016 and now [boasts](https://money.cnn.com/2018/06/28/technology/instagram-stories-users/index.html) double the users. The company has also seen some of its top talent leave, including [most recently](https://www.cheddar.com/videos/snap-vp-content-nick-bell-to-leave) the head of content, Nick Bell.
Snap stock is trading at less than half its IPO price.
Zainab Salbi, founder of Women for Women International and co-founder of Daughters for Earth, shares why she is putting women in positions of power to fight the climate crisis.
The federal tax collector said Monday that roughly 940,000 people in the U.S. have until May 17 to submit tax returns for unclaimed refunds for tax year 2020, which total more than $1 billion nationwide.
Allies of Florida Gov. Ron DeSantis and Disney have reached a settlement agreement in a state court fight over how Walt Disney World is developed in the future.
Ahead of the WNBA season and in the midst of March Madness, New York Liberty CEO Keia Clarke discusses the team’s new deal with Barclays and bringing even more attention to women’s sports.
U.S. Nissan head Jérémie Papin joins from the New York International Auto Show to give a preview of what’s to come from the carmaker – including the 2025 Nissan Kicks.
Ed Mitzen, the CEO of Business for Good, explains how and why he’s giving back by funding businesses from marginalized entrepreneurs to push social change.
