Triggered by this 3 April 2024 Guardian item, things were found on the web.
Trump Media almost did not make it to the merger after regulators opened a securities investigation into the merger in 2021 and caused the company to burn through cash at an extraordinary rate as it waited to get the green light for its stock market debut.
The situation led Trump Media to take emergency loans, including from an entity called ES Family Trust, which opened an account with Paxum Bank, a small bank registered on the Caribbean island of Dominica that is best known for providing financial services to the porn industry.
Through leaked documents, the Guardian has learned that ES Family Trust operated like a shell company for a Russian-American businessman named Anton Postolnikov, who co-owns Paxum Bank and has been a subject of a years-long joint federal criminal investigation by the FBI and the Department of Homeland Security (DHS) into the Trump Media merger.
[...]
That item links to a SDNY federal superseding indictment of three individuals. Within that linked indictment paragraph 1 identifies three defendants, and at para.5 the term "SPAC" is defined for those new to the term.
EmptyWheel had posted a related item, 1Apr., mentioning the sup. indictment; and opening the post (then excerpting):
Days after the merger between Truth Social and Digital World Acquisition Corporation went through, the new company, Trump Media and Technology Group, released its 8K. It described that it’s not sure Truth Social will make it a year.
The EW post included extended reader commentary, which collectively speaks for itself. Links were provided by the EW commenters. Also posted Apr.1, TPM, Understanding Papa Don’s New Pump and Dump 8-K
Bloomberg, Apr. 1,
A billionaire Donald Trump supporter whose California company is known for subprime auto loans and who has ties to one of the former president’s banks arranged his $175 million appeal bond in New York state’s civil fraud suit, though he said politics had nothing to do with it.
Don Hankey, whose fortune stems from car dealerships, real estate and financial services, is chairman of Knight Specialty Insurance Co., which posted Trump’s bond on Monday, three days before a court-imposed deadline. It gives Trump a lifeline by putting a $454 million judgment on hold while he appeals.
The bond and Hankey are discussed within the EW thread. Crabgrass readers are urged to consider the EW thread, to find links and to weigh opinions stated there.
There seems an EW reader consensus that investing in the merged publicly traded trump social adventure might entail risk.
Guardian follow-up -
Two Florida brothers pleaded guilty on Wednesday to securities fraud over their roles in a $23m insider trading scheme when they traded on confidential information in 2021 about the planned merger between Donald Trump’s social media company and the special purpose vehicle that would take it public.
The men – Michael and Gerald Shvartsman – had originally pleaded not guilty when they were charged with multiple counts of securities fraud last year alongside a third co-defendant and were scheduled to go to trial later this month.
___________UPDATE___________
Marginally related, https://bsky.app/profile/danir.bsky.social/post/3kp5iq7bf5s2q and
Jared Kushner’s Affinity Partners investment firm filed a disclosure with minor updates and $50 million less in assets under management than the prior year
Below are highlights from the most recent public disclosure for Kushner’s Affinity Partners along with pdfs of the updated filings, followed by a summary of known investments and upcoming projects.
Highlights of the new filing for Kushner’s Affinity Partners
Kushner’s A Fin Management LLC has just filed an updated Form ADV and firm brochure with the U.S. Securities and Exchange Commission dated March 28, 2024, for the fiscal year ending December 31, 2023.
Below are a few highlights:
- $3,004,963,927 is the amount of regulatory assets under management in section (f) Pooled investment vehicles.
- This amount was approximately $50 million less than the prior year 2022 which had $3,055,804,564.
- Of the $3,004,963,927 of regulatory assets under management in 2023, the approximate amount attributable to clients who are non-United States persons was $2,973,976,414 or 99% of the total.*
- Affinity Partners Parallel Fund I LP has $2,973,976,414 in regulatory assets under management and approximately 6 beneficial owners.
- Affinity Partners Fund I LP has $30,987,513 in regulatory assets under management and approximately 1 beneficial owner.
- John Rader who was listed as Chief Operating Officer in the prior form is no longer included in the list of direct owners and executive officers.
Earlier content, that item:
After leaving the White House Jared Kushner set up an investment advisory firm called Affinity Partners, which is officially registered as A Fin Management. In 2022 the Saudi Public Investment Fund (PIF) invested over $2 billion and in 2023 the United Arab Emirates invested over $200 million and a Qatari entity invested a similar sum.
Kushner’s firm receives millions of dollars in management fees each year for investing these funds on behalf of its clients. Last summer the Wall Street Journal reported that per some officials Saudi Arabia had “agreed to pay Kushner tens of millions in management fees each year—even if he didn’t invest the money.”
Jared Kushner has consistently denied that he has received preferential treatment after serving in the White House or because of his connection to Donald Trump.
Sure Jarad, if you say so.