MediPharm Labs Files Lawsuit Against Shareholder Apollo Over Fraud Allegations

Apollo Technology Capital, a major shareholder of MediPharm Labs holding about 3% of the company's stock, has accused MediPharm's Board and management of engaging in deliberate financial misfeasance and deceptive accounting practices to artificially inflate revenue and stock value. Apollo specifically implicates Chairman Chris Taves, who also serves as Audit Committee Chair, in orchestrating schemes to overstate revenues, raising concerns about conflicts of interest and governance. The firm has demanded immediate investigations by regulatory bodies including the Ontario Securities Commission, Toronto Stock Exchange, and U.S. Securities and Exchange Commission, along with full cooperation and transparency from MediPharm’s Board and suspension of any implicated individuals. MediPharm Labs has strongly denied these allegations, labeling them as baseless and part of a misinformation campaign by Apollo aimed at gaining control of the Board, and stated it recently completed a clean year-end audit. The company has initiated legal proceedings against Apollo for material misstatements and maintains its compliance with financial reporting standards and continuous disclosure obligations. This dispute highlights significant tensions between MediPharm’s management and a dissenting shareholder amid serious allegations of securities law violations.