LifeSci Capital, LLC has agreed to pay a fine of $900,000 as a part of a settlement with the Financial Industry Regulatory Authority (FINRA).
In 2020 and 2021, while participating in the initial public offering for a special purpose acquisition company (SPAC), LifeSci received underwriting compensation that was unreasonable and inaccurately described in the offering documents and to FINRA.
LifeSci Capital also failed to make, or timely make, required filings with FINRA in connection with three separate public offerings. Therefore, LifeSci Capital violated FINRA Rules 5110 and 2010.
From July 2014 to the present, LifeSci violated NASD Rule 3010 and FINRA Rules 3110 and 2010 by failing to establish a supervisory system, including written supervisory procedures (WSPs), reasonably designed to achieve compliance with FINRA Rule 5110.
In addition to the $900,000 fine, the firm has agreed to a censure and an undertaking that a member of its senior management who is a registered principal of the firm shall certify in writing that the firm has remedied the issues and implemented a supervisory system, including written supervisory procedures, reasonably designed to ensure compliance with FINRA Rule 5110.
LifeSci Capital has been a FINRA member since June 2014. LifeSci Capital is based in New York, New York. As of October 31, 2024 it had 44 registered representatives working in two branch offices.
