River North Equity, LLC

The investigation focuses on whether Ed Liceaga and River North Equity, LLC. made false and/or misleading statements and/or omitted material information to issuers in connection with its' investments into OTC Markets, NASDAQ or NYSE companies. Ed Liceaga and River North Equity, LLC are the subject of a Securities and Exchange Commission enforcement action commenced in the United States District Court for the Northern District of Illinois. The SEC has commenced an enforcement action against Ed Liceaga, River North Equity, LLC. and others for violating the Securities Act dealer registration requirement. The SEC's complaint, filed in federal court in Illinois, alleges that River North's primary business was investing in small and micro-cap businesses and providing flexible funding structures for small and micro-cap businesses and securities. That from 2013, River North sought out and purchased penny stocks from holders of convertible debt instruments, including at microcap industry conferences, and then subsequently sold those shares.  As alleged, at the time of this conduct, neither Liceaga nor River North Equity, LLC were registered as dealers with the SEC, in violation of the mandatory registration provisions of the federal securities laws. By failing to register, Defendants avoided certain regulatory obligations for dealers that govern their conduct in the marketplace, including regulatory inspections and oversight, financial reporting requirements, and maintaining books and records.

The SEC's complaint, filed in federal district court in Chicago, charges River North, Liceaga, and others with violating the registration provisions of Sections 5(a) and 5(c) of the Securities Act of 1933. The complaint also charges River North and Liceaga with violating the broker-dealer registration provisions of Section 15(a) of the Securities Exchange Act of 1934 

The Securities Act specifically voids these transactions.

Press Release

INVESTIGATION ALERT: The Basile Law Firm P.C. Announces it is Investigating Claims Against Ed Liceaga and River North Equity, LLC. and Encourages Issuers with Losses of $500,000 or more to Contact the Firm

New York, April 6, 2021 — The Basile Law Firm P.C., a national securities litigation and public company restructuring firm with offices in Dallas, New York and Naples, announces that it is investigating claims on behalf of issuers against Ed Liceaga and River North Equity, LLC.  (“RNE”) for possible securities fraud violations by engaging in the business of buying and selling securities without registering with the SEC as a dealer.

The investigation focuses on whether RNE issued false and/or misleading statements and/or omitted material information pertinent to their investments into issuers trading on the OTC Markets, NASDAQ and the NYSE.

The SEC has commenced an enforcement action against Ed Liceaga, River North Equity, LLC. and others for violating the Securities Act dealer registration requirement. The SEC's complaint, filed in federal court in Illinois, alleges that River North's primary business was investing in small and micro-cap businesses and providing flexible funding structures for small and micro-cap businesses and securities. That from 2013, River North sought out and purchased penny stocks from holders of convertible debt instruments, including at microcap industry conferences, and then subsequently sold those shares.  As alleged, at the time of this conduct, neither Liceaga nor River North Equity, LLC were registered as dealers with the SEC, in violation of the mandatory registration provisions of the federal securities laws. By failing to register, Defendants avoided certain regulatory obligations for dealers that govern their conduct in the marketplace, including regulatory inspections and oversight, financial reporting requirements, and maintaining books and records.

The typical result of an issuer selling convertible notes to a toxic convertible note lender is a depressed stock price and an increase in the shares issued and outstanding after conversions of debt into stock at fixed percentage discounts. Such conversions of debt into stock and subsequent sales of that stock by the funder drives down the market capitalization of the company resulting in loss of shareholder value.

 

If the funder is required to register as a dealer under the Exchange Act and fails to, the Exchange Act voids those transactions .

We also encourage you to contact attorney Mark R. Basile, Esq. of The Basile Law Firm P.C. , 390 N. Broadway, Ste,. 140 Jericho, New York 11753 at 516-455-1500 x110 to discuss your rights free of charge. You can also reach us through the firm’s website at www.thebasilelawfirm.com, or by email at mark@thebasilelawfirm.com.

The Basile Law Firm P.C. represents issuers around the world focusing on securities litigation lawsuits and public company restructuring.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable laws and rules of ethics.

CONTACT:

The Basile Law Firm P.C.

Mark R. Basile, Esq.

516-455-1500 x110

mark@thebasilelawfirm.com

eric@thebasilelawfirm.com

joey@thebasilelawfirm.com

www.thebasilelawfirm.com

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