Trump’s social media company Truth Social has been looked at as a scam by some market experts, and now three investors have been arrested for insider trading related to the company.
According to the indictment, the three individuals together made more than $22 million in illegal profits by purchasing shares in Digital World Acquisition Corporation after secretly learning about the blank-check firm’s plan to buy Trump Media & Technology Group.
The value of the securities they purchased went up sharply once the Trump deal was announced, prosecutors say. The defendants and individuals they tipped off then sold their securities for a significant profit, according to prosecutors.
There is no evidence at this time that Trump had anything to do with insider trading. How the Truth Social deal with DWAC came under immediate investigative scrutiny by the federal government for being a potential scheme to bilk investors.
Trump tried to outrun the SEC investigation by removing himself and his son Donald Trump Jr. from the Truth Social board.
Truth Social has been a flop as a social media platform and as an attention-maintaining device for Donald Trump. It turned out that the world really wasn’t needing a social media platform that featured Donald Trump in your face all of the time.
The suspicions seem to be correct. There was bilking on investors going on with Truth Social. The enterprise looks like a gift, and the feds are catching up to the con.
Jason is the managing editor. He is also a White House Press Pool and a Congressional correspondent for PoliticusUSA. Jason has a Bachelor’s Degree in Political Science. His graduate work focused on public policy, with a specialization in social reform movements.
Awards and Professional Memberships
Member of the Society of Professional Journalists and The American Political Science Association
This story originally appeared on Politicususa
