Quantum BioPharma Accuses Major Banks of Stock Market Manipulation

2025-11-28 companies

Toronto, Friday, 28 November 2025.
Quantum BioPharma has filed a USD $700 million lawsuit against CIBC and RBC, alleging stock spoofing that may have disrupted its multiple sclerosis drug development.

Allegations of Stock Manipulation

Quantum BioPharma Ltd. (NASDAQ: QNTM), a Toronto-based biotechnology company, has filed a USD $700 million lawsuit against two of Canada’s largest banks, CIBC and RBC, alleging a practice known as ‘stock spoofing’. This illegal market manipulation tactic involves placing and canceling large orders to distort stock prices, which Quantum claims significantly impacted its share price and nearly derailed its promising research on Lucid-MS, a drug candidate for multiple sclerosis [1][2].

Impact on Drug Development

The allegations come at a critical time for Quantum BioPharma, as it is advancing its lead compound Lucid-MS, which has shown potential in stopping and reversing nerve cell degradation related to multiple sclerosis in preclinical studies [1][3]. The company argues that the alleged manipulation has hindered its ability to raise necessary capital for ongoing clinical trials, threatening its drug development pipeline and impacting investor confidence [4].

Investigative Series and Market Reactions

These allegations are currently being explored in a three-part investigative series by CTV News’ program W5, with the second part having aired on November 28, 2025 [1]. The series has brought significant attention to the case, highlighting the role of major financial institutions in the alleged manipulation. Following the allegations, Quantum’s stock has experienced significant volatility, with a notable increase of 41.92% in recent trading sessions [5].

Regulatory and Legal Proceedings

In response to the allegations, the Ontario Securities Commission has initiated an investigation into the trading activities involving Quantum BioPharma’s stock [6]. The outcome of this investigation and the ongoing lawsuit are crucial for the company’s future, as they seek to restore investor trust and secure funding for their clinical trials [7]. Quantum’s leadership remains committed to proving their case and ensuring that their groundbreaking research can continue to progress [2].

Sources

stock manipulation Quantum BioPharma