US Lawmakers Probe Trump-Linked Firm Over Chinese IPO Stock Scams
US lawmakers are investigating Wall Street firms, including one linked to the Trump family, for facilitating Chinese IPO stock manipulation schemes.Summary
The House Select Committee on China has launched an investigation into three US underwriting firms – D. Boral Capital, Dominari Securities, and Revere Securities – regarding their involvement in Chinese companies’ initial public offerings (IPOs) that were allegedly used for stock manipulation. Lawmakers allege these companies facilitated “ramp-and-dump” schemes, defrauding American investors of an estimated $16 billion since 2023. The investigation seeks documentation related to communications, trading records, and due diligence policies. Dominari Securities, owned by Dominari Holdings where Eric Trump is a significant shareholder and advised by Eric Trump and Donald Trump Jr., is under particular scrutiny. The committee is examining whether US financial intermediaries inadvertently aided these manipulation schemes, citing a 300% increase in related FBI complaints.
(Source：Cointelegraph)