Feds Charge Investors in Trump’s Truth Social with Insider Trading

The Feds charged investors in Trump’s Truth Social with insider trading.

“Three people have been charged with illegally trading shares in a shell company that later announced plans to merge with former President Donald Trump’s media venture, Trump Media Technology Group,” CNBC reported.

Michael Shvartsman, Gerald Shvartsman, and Bruce Garelick are accused of pocketing $22 million in profits from insider trading, the DOJ said.

President Trump was not accused of any wrongdoing.

CNBC reported:

Three Florida men were charged Thursday with insider trading of a shell company’s stock before it announced plans to merge with a social media firm launched by former President Donald Trump.

The men, Michael Shvartsman, Gerald Shvartsman and Bruce Garelick, allegedly netted more than $22 million in illicit profits from trading in shares of Digital World Acquisition Corp.

All three were arrested Thursday morning, the Justice Department said.

The Securities and Exchange Commission also filed a civil complaint against Garelick, who is a board member of DWAC, the Shvartsmans, who are brothers, and Rocket One Capital LLC, a venture capital firm owned by Michael Shvartsman.

The charges do not allege wrongdoing by Trump or any of his family members.