Bondholders sue Oracle in New York over disclosure of AI-related borrowing

A proposed class action led by the Ohio Carpenters' Pension Plan was filed in New York state court in Manhattan, according to Reuters reporting carried by Insurance Journal. The plaintiffs say Oracle's offering documents for September 2025 notes described future borrowing as a possibility when the company was already planning large debt sales. Oracle declined to comment, and the claims are allegations that have not been tested in court.

• Plaintiffs bought $18 billion of senior notes and bonds issued September 25, 2025
• Defendants include Oracle, Larry Ellison, Safra Catz, Maria Smith and 16 underwriting banks
• Claims are under the Securities Act of 1933, with unspecified damages sought
• Oracle declined to comment in the Reuters report