Is Ameritrade purposefully manipulating the stock market?

I trade via Scottrade & a friend of mine trades through Ameritrade. Pegasus wireless recently bombed to an all time low. At one point this stock was almost 19 dollars and now it is trading around a $1.25. This happened in a relatively short period of time. I thought wow what a deal and bought over 4000 shares of the stock thinking it should at least go back to the 5 buck mark it hovered at for some time before plunging to this new low. My friend has Ameritrade and has tried several times to purchase the stock but they would not let him do so nor talk to the people that made this decision. He has more than sufficient funds and the stock is not on any foriegn exchange. In fact it trades on the NASDQ. It seems likely to me that maybe some price manipulation is going on. If one of the biggest online brokers will not let you by the stock so that there are more sellers than buyer it is an obvious conclusion that the stock price will go down. I don't know but something fishy is going on here.

dredude52, as a matter of policy they will not let anyone buy this stock. He has tried via sign online to his account and he has called several times. Ameritrade representatives told him that another person in the company had made this decision and he or they did not have access to talk to such a person. It is not a wild accusation, but when you can't even buy a stock on the NASDAQ it kind of makes you wonder especially with how the stock has acted in an extreme manner of late. I do believe there are conspiracies out there to make large sums of money. Maybe I'm right about this one, and maybe I'm wrong but it would be foolish of us to never question.

There is not enough information presented here to tell what is going on.

You are making a wild accusation based on hearsay.

A friend has tried to buy stock and they won't let him. For what reason? "He says" isn't good enough. He is not giving you the whole story. "He tried" doesn't really mean anything. "Tried what," and "how" did he "try." What exactly were the methods he "tried" and the resulting responses or messages. Did he actually hit the "Buy" button or not? What happened.

Is there a Bid/Ask spread displayed or not? If so, why could he not buy? If not, the stock has been delisted. There can be temporary trading halts due to imbalances, but these are regulated formal and watched methods by the exchange.

No company can choose simply not to sell their stock and remain listed. No company can "manipulate" their stock. The exchange controls whether the stock is traded or not.

Remove the "story" from your question and insert some facts and maybe someone can help you;