FINRA has fined Revere Securities LLC $800,000 for anti-money-laundering and supervisory failures tied to small-cap initial public offerings that bore the hallmarks of ramp-and-dump schemes.
What happened to Revere Securities
The settlement, announced October 6, 2026, resolves FINRA case number 2023080788201. Under the letter of acceptance, waiver, and consent dated October 5, the New York broker-dealer was censured, fined $800,000, and required to retain an independent consultant to review its anti-money-laundering and supervisory programs.
Revere operates from 560 Lexington Avenue in Manhattan under CRD# 14178, with additional offices in Boca Raton, Florida, and Boston, Massachusetts. Since 2022, its core business has included serving as lead underwriter or selling-group member in roughly 60 small-cap IPOs. More than 40 of those offerings involved issuers operating in Hong Kong or China.
Key facts from the Revere settlement
| Settlement detail | Figure |
|---|---|
| Fine | $800,000 |
| Additional sanctions | Censure plus independent consultant |
| AWC dated | October 5, 2026 |
| Case number | 2023080788201 |
| Firm CRD | 14178 |
| Headquarters | New York, New York |
| Small-cap IPOs since 2022 | About 60 |
| Hong Kong or China-based issuers | More than 40 |
The IPO that surged 318 percent and collapsed
The AWC describes one offering in detail. Revere allocated more than $1.5 million in IPO shares — nearly its entire allotment — to eight customers referred by a foreign broker-dealer.
The account applications were riddled with contradictions. Four customers claimed to be unemployed while reporting annual incomes above $200,000. Seven provided conflicting information about where their deposited funds came from. Revere opened every account anyway.
On listing day, the stock soared 318 percent, then collapsed more than 50 percent by the close. All eight customers emailed liquidation instructions that same day. Their messages originated from IP addresses traced to countries other than the ones where they claimed to live.
Why ramp-and-dump schemes matter to retail investors
“Ramp-and-dump schemes are a direct threat to investors and to the integrity of U.S. markets,” said Bill St. Louis, FINRA’s executive vice president and head of enforcement. “Broker-dealers that underwrite or distribute offerings for these issuers are on the front lines of defense.”
Several of Revere’s IPOs followed the same arc — sharp post-listing price spikes followed by rapid collapses that left millions of dollars in secondary-market losses. The buyers left holding the shares were overwhelmingly retail investors who purchased after the ramp began.
Red flags investors can watch
- Tiny foreign-based IPOs with minimal operating history and sudden first-day price spikes.
- Promotional buying surges in stocks with no earnings and thin floats.
- Underwriters or promoters with a pattern of failed small-cap offerings.
How to recover your losses
Investors who bought shares of a small-cap IPO distributed by Revere Securities and suffered losses can have their case reviewed at no cost. FINRA arbitration may apply where a brokerage ignored obvious red flags in the offerings it sold.
Haselkorn & Thibaut fights for investor recovery
Haselkorn & Thibaut is a securities law firm founded by former Wall Street defense attorneys who shifted their practice to represent investors. The firm has recovered over $520 million for clients in securities matters and maintains a 98 percent success rate in resolved nontraded REIT cases. Attorneys are AV Preeminent rated through Martindale-Hubbell, designated as Super Lawyers, and hold a 5.0-star client review average. The firm operates on a contingency basis — no recovery, no fee.
Contact Haselkorn & Thibaut today
Time matters in ramp-and-dump recovery cases. The earlier you act, the stronger your position. The firm offers a free case evaluation to assess your losses, review your account history, and explain your options under arbitration or settlement.
- Main Phone: 1-888-885-7162
- website for a free consultation
Offices in Florida, New York, Arizona, Texas, and North Carolina. Former Wall Street defense attorneys with 95+ years of combined experience. No recovery, no fee.
