Donald Trump’s social media deal partner took advice from a group of China-based businessmen who in the past tried their hand at businesses ranging from Spanish wine to Korean women’s fashion, and at one point had their “integrity” questioned by U.S. regulators, Reuters reports.
The financiers – Abraham Cinta, Sergio Camarero, Carlos Lopez and Jesus Emilio Hoyos Quintero – are managing partners of ARC Group, a Shanghai-based investment bank listed in a regulatory filing as a financial adviser to Digital World Acquisition, the SPAC merging with the former U.S. President’s venture.
Digital World touted ARC in one filing as adviser that had contacts in government, corporate, investment and advisory worlds and would help it “get access to quality deal pipeline.”
A review of regulatory filings shows that while ARC has been actively involved in the creation of SPACs, especially over the past two years, its executives ran into trouble with the SEC in 2017. The regulator sued to block the IPOs of three companies where the four men had leading roles, accusing them of misrepresenting their connections, misstating the nature and scope of their businesses and failing to cooperate with regulators. Read more.
