(Reuters) – Blank-check firm Digital World Acquisition Corp 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 directors received subpoenas from federal prosecutors over the SPAC deal with Trump Media & Technology Group (TMTG), the creator of social media platform Truth Social.
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)
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.
TMTG did not immediately respond to a request for comment.
(Reporting by Chavi Mehta in Bengaluru; Editing by Shounak Dasgupta)
