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Trump Media Misses SEC Deadline After Ex-Auditor Is Banned Over Fraud Charges

This article was originally published at StateOfUnion.org. Publications approved for syndication have permission to republish this article, such as Microsoft News, Yahoo News, Newsbreak, UltimateNewswire and others. To learn more about syndication opportunities, visit About Us.
Trump Media

Trump Media and Technology Group will not meet the deadline to submit a necessary Securities and Exchange Commission form, as stated in a filing made by the company on Wednesday.

Massive fraud

This comes after the SEC accused the company’s former auditing firm of “massive fraud” earlier in the month, alleging non-compliance with accounting standards.

Truth Social

The parent company of Truth Social, Trump Media, informed the Securities and Exchange Commission about a delay in filing, citing the inability to meet the deadline due to the new auditor needing more time for a thorough review.

Delayed submission

The delayed submission pertains to form 10-Q, a quarterly financial performance report mandated to be filed with the SEC.

Unreasonable effort

Trump Media stated in the Wednesday filing that it was “unable without unreasonable effort and expense” in completing the review of its financial statements because of the timing of appointing the new auditing firm, Semple, Marchal & Cooper.

BF Borgers

Following the SEC’s ban on its previous auditor, BF Borgers, Trump Media issued a late filing notice. BF Borgers was replaced by Semple, Marchal & Cooper on May 3, the day before the new auditor was appointed.

Wealthiest individual globally

Trump’s estimated net worth stands at $7.9 billion, ranking him as the 331st wealthiest individual globally.

Real estate

His wealth is primarily derived from real estate investments and ownership in Trump Media, with restrictions preventing the sale of shares until the conclusion of a six-month lockup period.

Closed down

Despite overall market gains, Trump Media’s stock closed down by 1.6% on Wednesday, settling at $52.21 per share.

Public offering

Since its initial public offering in March, the media company’s shares, traded under the symbol DJT, have experienced significant volatility and deviated from market trends.

Stock value

Just a month ago, the stock was valued at $26.21 per share. BF Borgers faced fraud charges this month for purportedly failing to adhere to accounting standards and falsely claiming compliance.

12 million

The charges were resolved with a $12 million settlement by BF Borgers and a $2 million penalty by the firm’s owner, Benjamin Borgers.

Prohibited

Both Borgers and the firm are permanently prohibited from practicing as accountants, as per the SEC, which asserted that the fraudulent activities impacted over 1,500 SEC filings.

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