Immix Biopharma drops 13% after fugitive CMO arrest sparks probe

Immix Biopharma shares fell as much as 13% after the biotech's chief medical officer was revealed to be a Rhode Island fugitive who had been on the run for 20 years, triggering securities fraud investigations by multiple law firms.

"This is an extraordinary situation where a company's senior executive appears to have been operating under a false identity for years," said Michael Yarnoff, a partner at Kehoe Law Firm, which is investigating potential securities claims. "Investors who purchased Immix stock based on the company's representations about its leadership may have grounds for recovery."

The individual hired as chief medical officer in March under the name Richard Graydon was actually Ronald Fischer, 70, a former anesthesiologist who disappeared in 2005 while on trial for first-degree sexual assault, according to STAT News. Fischer was arrested last week by federal and Rhode Island authorities who tracked and boarded a 56-foot sailboat off the coast of New Jersey. The boat was registered under the alias Richard Graydon, US Marshals said. Fischer had been on Rhode Island's most-wanted list for more than two decades and was convicted in absentia of sexual assault.

Immix disclosed in a July 17 Securities and Exchange Commission filing that Graydon was terminated "for reasons unrelated to his activities at the Company." Management said his short tenure meant no material effect on the business. The company had touted Graydon as a board-certified hematologist-oncologist with over 20 years of experience who previously worked at Merck and Johnson & Johnson on drugs including Keytruda, Darzalex, Carvykti, and Imbruvica — some of the best-selling cancer medicines globally. A press release announcing his March 30 hiring was later removed from the company's website.

Block & Leviton and Kehoe Law Firm have opened investigations into whether Immix or its executives violated federal securities laws. Immix shares fell approximately 10.8% on July 20, the day the report circulated, according to Block & Leviton. The company had not responded to requests for comment as of press time.

The episode raises governance questions for Immix, a clinical-stage biotech developing CAR-T cell therapies for oncology. Biotech firms at its stage typically face intense scrutiny over executive backgrounds during due diligence, and the failure to detect a fugitive's false identity in the CMO hiring process could expose the company to shareholder litigation. With a market capitalization likely under $100 million, the stock's decline represents a significant valuation hit for a company now facing both reputational damage and legal overhang from multiple law firm investigations.

This article is for informational purposes only and does not constitute investment advice.