U.S. Lawmakers Probe Underwriters Over Chinese IPO Manipulation Claims
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A U.S. congressional committee has launched an investigation into three American brokerages over their roles in initial public offerings (IPOs) of Chinese companies that allegedly defrauded U.S. investors through market manipulation.
In letters sent Monday, the House Select Committee on the Strategic Competition Between the United States and the Chinese Communist Party demanded that D. Boral Capital, Dominari Securities and Revere Securities provide materials related to their underwriting of the IPOs. The committee, led by Chairman John Moolenaar and ranking member Ro Khanna, alleges the offerings were part of “ramp-and-dump” schemes in which share prices were artificially inflated after listing before collapsing, leaving U.S. retail investors with significant losses.
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- A U.S. congressional committee is investigating three American brokerages over their roles in IPOs of Chinese firms allegedly involved in ramp-and-dump market manipulation schemes.
- From August 2022 to September 2025, nearly 70% of Nasdaq’s suspicious trading referrals involved Chinese stocks, despite them being only 10% of listings.
- The committee has demanded detailed documentation from the underwriters by March 13 and warned of compulsory measures if they fail to comply.
- D. Boral Capital
- D. Boral Capital is one of three American brokerages under investigation by a U.S. congressional committee. They are being scrutinized for their role in underwriting IPOs of Chinese companies suspected of defrauding U.S. investors through "ramp-and-dump" schemes. Since 2020, D. Boral Capital has underwritten 30 Chinese company IPOs, with 10 of them fitting this manipulative profile.
- Dominari Securities
- Dominari Securities is one of three American brokerages under investigation by the U.S. House Select Committee for its role in initial public offerings (IPOs) of Chinese companies. The committee alleges Dominari Securities facilitated "ramp-and-dump" schemes that defrauded U.S. investors. Out of 29 Chinese company IPOs underwritten by Dominari Securities since 2020, 11 fit this manipulative profile, exceeding 30%.
- Revere Securities
- Revere Securities is one of three American brokerages under investigation by a U.S. congressional committee. They are accused of facilitating "ramp-and-dump" schemes involving Chinese company IPOs. Since 2020, Revere Securities has underwritten 40 Chinese company IPOs, with 12 of them (30%) fitting the manipulative profile.
- Raytech Holding Ltd.
- Raytech Holding Ltd. is a Chinese company that had its IPO underwritten by one of the three brokerages under investigation by a U.S. congressional committee. It is suspected of stock-price manipulation as part of "ramp-and-dump" schemes that defrauded U.S. investors.
- CCSC Technology International Holdings Ltd.
- CCSC Technology International Holdings Ltd. is one of the Chinese companies whose initial public offerings (IPOs) were underwritten by D. Boral Capital, Dominari Securities, or Revere Securities. The company is suspected of stock-price manipulation as part of "ramp-and-dump" schemes, which inflated share prices before collapsing, causing significant losses for U.S. retail investors.
- Since 2020：
- D. Boral Capital, Dominari Securities, and Revere Securities have collectively underwritten a significant number of Chinese IPOs, with over 30% of each firm’s deals fitting the 'ramp-and-dump' profile.
- August 2022 to September 2025：
- Nearly 70% of suspicious trading referrals from Nasdaq to regulators involved Chinese stocks.
- 2022–2025：
- 128 Chinese firms that went public in the U.S. since 2022 experienced abnormal price volatility, as reported by Hindenburg Research in January 2025.
- January 2025：
- Hindenburg Research reports about abnormal price volatility in 128 Chinese IPOs since 2022.
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