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Feds subpoena firm merging with Trump's social network

Reuters Videos
22,526 次觀看
2 個月前

STORY: Former President Donald Trump's effort to take his social media enterprise public was dealt a fresh setback on Monday.

Digital World Acquisition Corp - the blank-check company that intends to merge with Trump's social media startup - revealed that all of its board directors had received subpoenas as part of a federal criminal investigation.

Shares of the special acquisition company fell more than 10% after the disclosure.

The regulatory filing showed that a federal grand jury in the Southern District of New York had issued the subpoenas earlier in June over the company's merger plans with Trump Media & Technology Group Corp, the creator of Truth Social.

The filing also showed a grand jury subpoena was also sent to Digital World Acquisition Corp itself on Friday.

The federal probe threatens the proposed merger, a deal Trump's social media firm was expecting to close by the second half of this year.

Earlier this month, Digital World reported that the SEC and FINRA, which have been probing the deal since late last year, had also sought more information.

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