A class action lawsuit against Quantum Computing Inc. (QCI) and certain officers has been filed in the United States District Court for the District of New Jersey.
The lawsuit is on behalf of all persons and entities, other than Defendants, who purchased or otherwise acquired QCI securities between March 30, 2020, and January 15, 2025. This time period is known as the “Class Period.”
The lawsuit seeks to recover damages caused by Defendants’ alleged violations of federal securities laws. It pursues remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5.
Class period investor allegations against QCI
Investors who purchased or acquired QCI securities during the Class Period have until April 28, 2025, to ask the Court to appoint them as Lead Plaintiffs. The complaint alleges that Defendants made materially false and misleading statements regarding QCI’s business, operations, and prospects. Specifically, it is claimed that Defendants:
- Overstated the capabilities of QCI’s quantum computing technologies, products, and services.
- Overstated the scope and nature of QCI’s relationship with NASA and related contracts.
- Misrepresented the progress in developing a thin film lithium niobate (TFLN) foundry and the scale of orders for TFLN chips.
- Engaged in undisclosed related-party transactions with Quad M Solutions, Inc. and Millionways, Inc., which impacted QCI’s reported revenues.
On November 27, 2024, Iceberg Research published a report alleging that QCI’s press releases about its TFLN foundry and purchase orders for the TFLN chips were a sham. On December 9, 2024, Iceberg published a second report noting discrepancies between QCI’s claimed foundry capabilities and actual operations. On January 16, 2025, Capybara Research published a report alleging that QCI had overstated its ties to NASA and fabricated revenues through related-party transactions.
The report also alleged that QCI’s products were fake and that QCI was inflating its stock price with false and misleading press releases. Following these reports, QCI’s stock price fell, significantly impacting its market value. The revelation of these allegations has reportedly led to significant negative impacts on QCI’s business and reputation, causing investor losses.
The Rosen Law Firm, Kessler Topaz Meltzer & Check, LLP, and Pomerantz LLP represent investors in this class action lawsuit. They encourage QCI investors who have suffered significant losses to contact them directly to acquire more information and potentially serve as Lead Plaintiffs.
Image Credits: Photo by Wesley Tingey on Unsplash
Noah Nguyen is a multi-talented developer who brings a unique perspective to his craft. Initially a creative writing professor, he turned to Dev work for the ability to work remotely. He now lives in Seattle, spending time hiking and drinking craft beer with his fiancee.
