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The Truth social network logo is seen displayed in this picture illustration taken. REUTERS/Dado Ruvic/Illustration
July 1 (Reuters) – Blank-check firm Digital World Acquisition Corp (DWAC.O) said on Friday former U.S. President Donald Trump’s social media firm was served with two separate subpoenas over its merger plans.
The development comes days after Digital World said each of its board of directors received subpoenas from federal prosecutors over the SPAC deal with Trump Media & Technology Group (TMTG), the creator of social media platform Truth Social. read more
The blank-check firm said on Friday TMTG received subpoenas from the U.S. securities regulator and a federal grand jury in the Southern District of New York, adding federal prosecutors sought the same documents from TMTG that they asked Digital World and its directors for earlier. (https://bit.ly/3ny1in2)
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“Trump Media & Technology Group will continue cooperating fully with inquiries into our planned merger and will comply with subpoenas we’ve recently received, none of which were directed at the company’s Chairman or CEO,” the company said in a statement on Friday.
TMTG agreed to merge with Digital World in October and the deal was expected to close by the second half of this year. The latest developments might delay or stall the deal.
The U.S. Securities and Exchange Commission and the Financial Industry Regulatory Authority have been investigating the deal since late last year. Last month, Digital World said the SEC also sought more information.
Some current and former TMTG members also recently received individual grand jury subpoenas, according to the blank-check firm.
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Reporting by Chavi Mehta in Bengaluru; Additional reporting by Rhea Binoy; Editing by Shounak Dasgupta and Chris Reese
Our Standards: The Thomson Reuters Trust Principles.
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