04:04 PM EDT, 09/05/2024 (MT Newswires) -- iLearningEngines (AILE) said Thursday that its board has established a special committee, made up of independent directors, to examine claims brought up in a recent short-seller report.

The special committee has hired Paul Hastings for an independent investigation, and believes it's best for shareholders to have the committee conduct its own independent investigation despite regular clean audits by independent auditors.

The committee aims to quickly complete the investigation but cannot predict the duration or result of the investigation, the company said, adding that it will disclose more information from the investigation at the "appropriate time."

The company's shares closed almost 14% lower on Thursday.