Donald Trump has another lawsuit to add to the pile. Trump Media & Technology Group co-founders Andy Litinsky and Wes Moss are claiming that the former president and his business cronies schemed to lock them out of a stake in the company, potentially losing the pair millions of dollars.
According to the Washington Post, Litinsky and Moss, who first met Trump on his NBC reality show The Apprentice, “pitched Trump on the idea of a Trump-branded tech start-up and social media platform in early 2021 after he lost the White House and was banned from Twitter, now called X.” Trump agreed to the deal and was given 90 percent of the company, while Litinsky and Moss got 8.6 percent; the rest went to attorney Bradford Cohen.
But things have gotten complicated.
The filing said that Trump was set to receive 78 million shares in the post-merger company — a stake worth $3.5 billion at today’s share price — and that [Litinsky and Moss’ investment company United Atlantic Ventures] would receive more than 7 million shares, a stake worth about $339 million. “Throughout TMTG’s corporate history,” the motion states, “UAV’s 8.6 percent ownership interest has been recognized and honored.” But UAV’s attorneys allege in the motion that Trump has recently attempted to “drastically dilute” the partnership’s stake as part of what they called an “11th hour, pre-merger corporate maneuvering” tactic designed to increase the amount of authorized stock, from 120 million shares to 1 billion shares.
Speaking for his clients, Litinsky and Moss’ lawyer told the Post, “They feel like: We made Truth Social for you. You get 90 percent. But some people just aren’t happy with 90 percent.” It’s almost as if going into business with Donald Trump isn’t a great idea. Weird!
(Via the Washington Post)