Thursday, May 2, 2024

Truth Social Co-Founders Sue Donald Trump

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This is the last thing needs right now…

Two co-founders of Trump's site sued the former president on Wednesday for allegedly trying to diminish their stakes in the company.

Andy Litinsky and Wes Moss sued the former president claiming he was part of a scheme “to deprive them of a stake in the company that could be worth hundreds of millions of dollars,” reported The Washington Post.

Mediaite has more:

Litinsky and Moss both held 8.6 percent of Trump Media's shares after pitching the former president the idea of forming his own social platform after leaving office. The former contestants on The Apprentice gave Trump 90 percent of the company's shares, while the rest went to a lawyer who put the deal together.

Trump Media has long been in talks to merge with Digital World Acquisition, a move aimed at taking to company public, which would allow Trump to eventually sell his shares valued in the billions.

Axios also reported this week that Litinsky and Moss “have threatened to try to block the merger unless they receive board seats to which they claim they're entitled.”

Their lawsuit alleges that “Trump has recently attempted to ‘drastically dilute' the partnership's stake as part of what they called an ‘11th hour, pre-merger corporate maneuvering' tactic designed to increase the amount of authorized stock, from 120 million shares to 1 billion shares,” reported the Post's Drew Harwell.

The lawsuit will likely delay Trump's ability to raise cash to pay the hundreds of millions of dollars he owes from recent court losses related to fraud and defamation trials.

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Nancy Jackson
Nancy Jackson
Nancy grew up in the South where her passion for politics first began. After getting her BA in journalism from Ole Miss she became an arts and culture writer for Athens Magazine where she enjoyed reporting on the eclectic music and art scene in Athens, GA. However, her desire to report on issues and policies impacting everyday Americans won out and she packed her bags for Washington, DC. Now, she splits her time between the Nation’s Capital and Philadelphia where she covers the fast-paced environment of politics, business, and news. In her off time, you can find Nancy exploring museums or enjoying brunch with friends.

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