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Trump files lawsuit against co-founders of Truth Social for purported mismanagement

Byeditor

Apr 4, 2024

Donald Trump is currently engaged in a lawsuit with two co-founders of Trump Media, accusing them of mismanaging his social media platform, Truth Social. The two men, Wes Moss and Andy Litinsky, are being sued by Mr. Trump for failing to uphold their duties in managing the company. It is claimed that they made reckless decisions that led to significant damage to Trump Media & Technology Group (TMTG) and its merger partner’s stock price. The lawsuit was filed on 24 March in a Florida state court.

Moss and Litinsky met Mr. Trump while appearing as contestants on the reality show The Apprentice. They pitched the idea of Truth Social to Mr. Trump following his ban from Twitter after the Capitol riot. Their shares in the company are currently valued at around $600 million, but Mr. Trump is seeking to revoke their 8.6% stake due to their alleged mismanagement. The co-founders had previously filed a lawsuit in February to prevent Mr. Trump from reducing their ownership in the firm.

According to Mr. Trump’s lawyers, Moss and Litinsky were responsible for the day-to-day operations of TMTG and failed at every turn. They are accused of delaying the process of taking Trump Media public and finding a suitable merger partner. Despite these challenges, TMTG recently went public through a merger with a special purpose acquisition company. Moss and Litinsky have yet to comment on the lawsuit.

Mr. Trump founded TMTG in 2021 in response to his social media bans following the Capitol riot. The launch of Truth Social was meant to provide an alternative to mainstream social media platforms. Despite facing government investigations and other hurdles, the company saw its stock price surge after going public, only to fall significantly in the days that followed.{lngX.}

By editor

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