diff --git a/collects/tests/web-server/pr/12658-mod.rkt b/collects/tests/web-server/pr/12658-mod.rkt
new file mode 100644
index 0000000000..a7c5579f34
--- /dev/null
+++ b/collects/tests/web-server/pr/12658-mod.rkt
@@ -0,0 +1,6 @@
+#lang web-server
+
+(define (go)
+  42)
+
+(provide go)
diff --git a/collects/tests/web-server/pr/12658.rkt b/collects/tests/web-server/pr/12658.rkt
new file mode 100644
index 0000000000..c5d2dbfde2
--- /dev/null
+++ b/collects/tests/web-server/pr/12658.rkt
@@ -0,0 +1,11 @@
+#lang racket/base
+(require rackunit
+         "12658-mod.rkt")
+
+(check-equal?
+ (with-handlers ([exn? (λ (x) (exn-message x))])
+   (go 42)
+   (error 'go "Failed to throw exn"))
+ "procedure go: expects no arguments, given 1: 42")
+
+
diff --git a/collects/web-server/lang/closure.rkt b/collects/web-server/lang/closure.rkt
index 55c55192cf..508415ec15 100644
--- a/collects/web-server/lang/closure.rkt
+++ b/collects/web-server/lang/closure.rkt
@@ -82,7 +82,7 @@
                                       (make-keyword-procedure
                                        (lambda (kws kw-vals clsr . rst)
                                          (let-values ([#,fvars ((CLOSURE-ref clsr 0))])
-                                          (keyword-apply #,stx
+                                          (keyword-apply (procedure-rename #,stx '#,(syntax-local-name))
                                                          kws kw-vals
                                                          rst))))))