The blank check company set to acquire former President Trump’s social media firm said Monday that each of its board directors had received subpoenas from a federal grand jury to Manhattan.
Digital World Acquisition Corp. disclosed the series of subpoenas in a filing with the Securities and Exchange Commission. Publicly traded Digital World is trying to merge with Trump Media & Technology Group in an $875 million deal.
The subpoenas come after other investigations beset the merger attempt.
The SEC investigated whether SPAC — Digital World — researched Trump Media before it went public, a potential violation of securities law.
In typical Trumpian fashion, the man himself may have circumvented these regulations. The New York Times reported last year that Trump was involved in some of those early discussions. These conversations must be disclosed to potential investors in accordance with federal securities law.
The company said its board first received subpoenas requesting some of the same documents the SEC requested, and the company itself then received a grand jury subpoena. with essentially similar demands”.
Other issues the merge has faced include issues with the underlying code of TRUTH Social itself which, at first, was pulled from an open-source social network seemingly without following its terms of service. This issue has been resolved, but deploying the application was difficult and took several months.
Despite the investigation and associated issues, Trump began posting on TRUTH Social. It’s unclear what future the company might have without the SPAC merger, though TPM last month considered how it might affect Trump Media CEO, former Rep. Devin Nunes (R-CA).