Trump media under federal investigation for possible money laundering: Report

Trump Media — the media company of former United States president Donald Trump — is under investigation for possible money laundering linked to Russia. According to a report by the Guardian on Wednesday (March 15), federal prosecutors involved in the investigation into Trump Media last year have now started examining whether it violated money laundering statutes in connection with the acceptance of $8 million with suspected Russian ties.

Citing sources, the report said that towards the end of 2022, federal prosecutors had started examining two loans totalling $8 million wired to Donald Trump's company, through the Caribbean, from two obscure entities that appeared to be controlled in part by the relation of an ally of Russian president Vladimir Putin.

ALSO READ | New book 'Letters to Trump' will show Queen Elizabeth, Princess Diana 'kissed my a**,' says Donald Trump

Add WION as a Preferred Source

The investigation threatened to delay the completion of the merger between Trump Media and the Digital World Acquisition Corp (DWAC), which would provide the company and Truth Social with up to $1.3 billion in capital, in addition to a stock market listing.

The report also said that the extent of the exposure of Trump Media and its officials for money laundering remained unclear. The statutes broadly required prosecutors to show that defendants knew the money was the proceeds of some form of illegal activity and the transaction was designed to conceal its source.

Of this $8 million, the first payment of $2 million came to Trump Media in December 2021 when it was on the verge of collapse after the planned merger with the DWAC was delayed when the SEC opened an inquiry into whether the arrangement broke regulatory rules.

Trump Media required a bridge loan to keep afloat. However, it was struggling to get finances until Patrick Orlando, the chief executive of the DWAC, sourced a $2 million loan wired from Paxum Bank- which is registered in Dominica, as per the wire transfer receipt. The transfer showed that Paxum Bank was the beneficial owner.

But, a promissory note identified ES Family Trust as the lender. And two months later, the second payment of $6 million arrived in Trump Media’s account from ES Family Trust.

The report said that even though these two payments to the company came from separate entities, Angel Pacheco,a trustee of the ES Family Trust,appeared to have simultaneously been a director of Paxum Bank.

The Russian connection in this investigation centred on Anton Postolnikov,a part owner of the bank. Postolnikov appeared to be a relation to Russian President Putin's ally Aleksandr Smirnov. Smirnov worked in the Central Office of the Russian government until 2017. And before this, Smirnov was the country's first deputy minister of justice until 2014.

(With inputs from agencies)

WATCH WION LIVE HERE

You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.