As Trump Media & Technology Group Corp. (NASDAQ:DJT), the newly-listed media company of former President Donald Trump, plummeted over 21% on Monday, his niece Mary Trump suggested there’s more to the company’s public debut than meets the eye.
Campaign Windfall: According to Mary Trump, TMTG, the parent of the Truth Social platform, could potentially serve as a “front for a campaign finance scam.”
In a Substack post, she questioned the company’s $10 billion valuation, considering its reported annual revenue of merely $4.1 million and $58 million in losses.
“The Trump Media merger with Digital World Acquisition was a massive infusion of cash to Donald — a gift masquerading as an investment,” she said.
Mary Trump underscored the regulations governing campaign donations, noting the limits set by the Federal Election Commission (FEC) and the transparency required for donors.
“Now that Truth Social is a publicly traded company, however, supporters have a new, surreptitious way to back Donald financially without having to make a direct political donation. And thereby bypassing FEC donation limits and disclosure requirements,” she said.
For his supporters, it is a win-win proposition, Mary Trump said, adding that if the stock gains, they profit out of it, and if it falls, they can write off the loss as a tax ...