Fascinating. This is pretty much the worst case scenario for a brokerage firm I would suspect at a larger scale.
A few years back IB was on the wrong end of a stock manipulation in Singapore, and from memory first lost over 100mil usd (not sure how much they later recouped)
It's possibly the case below, although this one dates from 2013, I thought it was more recent, but the legal case is still ongoing.
https://www.moneyweb.co.za/investing/singapore-says-audacious-penny-stock-scheme-cheated-goldman/