Trump SPAC Digital World Acquisition Corp fires CEO
Former US President Donald Trump on October 20 announced plans to launch his own social networking platform called “TRUTH Social”, which is expected to begin a beta launch for “invited guests” next month.
Chris Delmas | AFP | Getty Images
Digital World Acquisition Corporation.The publicly traded blanche company, which was planning a merger with former President Donald Trump’s social network, fired its CEO earlier this week, according to a report Wednesday. registration.
Former CEO Patrick Orlando will remain a director of the company. He and his other company ARC Global Investments each own 10% of DWAC. The DWAC Board has appointed another Director, Eric Swider, as Interim Executive Director while the Board works to implement the final succession plan. Orlando and a DWAC spokesperson did not immediately respond to requests for comment.
In a statement Wednesday, DWAC cited “unprecedented headwinds” that required a change in leadership to get the company into a “new phase.”
The company is under investigation by the Securities and Exchange Commission and New York federal prosecutors. Among these legal hurdles, Digital World also faced financial difficulties.
Patrick Orlando-Kachai leaves the Manhattan Supreme Court with his lawyer Susan Carten after the indictment of Nicholas Brooks on Tuesday, January 4, 2011, in New York City. Brooks pleaded not guilty to the murder of his swimwear designer girlfriend Sylvie Kachai in a fashionable New York hotel.
Mary Altaffer | AP
The company intended to merge with Trump Media and Technology Group, the parent company of Truth Social, but delayed completion of the deal. In November, the company secured an extension of its merger with Trump Media through September 2023. If she did not receive this extension, she was threatened with liquidation. The delays cost the company $100 million.
“I know this has been a difficult process for shareholders,” Swider said in a statement Wednesday.
The news of Orlando’s firing comes as Trump faces potential indictment in Manhattan for paying hush money to porn star Stormy Daniels ahead of the 2016 election.
Trump has also recently been reinstated on social media such as Twitter and Facebook after his social media posts were banned during the January 6, 2021 Capitol uprising, when hundreds of his followers invaded Congress.