A federal criminal investigation into Trump’s media company Trump Media has expanded to include potential money laundering violations linked to an $8 million loan with Russian ties, the Guardian reported Wednesday, potentially further threatening the ex-president’s media company and its planned merger with special purpose acquisition company Digital World Acquisition Corp (DWAC).
Citing anonymous sources, the Guardian reports
federal prosecutors in New York expanded their criminal probe into Trump Media & Technology Group, which owns Trump’s Truth Social platform, at the end of last year to scrutinize the $8 million in payments.
The payments were reportedly made in two installments, with $2 million being paid to the company in December 2021—when the Guardian notes it was on the “brink of collapse” after its planned merger with DWAC got delayed—and another $8 million was paid two months later.
The payments came from Paxum Bank, which is registered in Dominica, and ES Family Trust, and
the Guardian reports Paxum Bank is partly owned by Anton Postolnikov, an apparent relation of Aleksandr Smirnov, an ally of Russian President Vladimir Putin who worked for Putin’s government until 2017 and now runs the Russian-controlled maritime company Rosmorport.
Investigators were reportedly tipped off about the payments in October 2022 by whistleblower Will Wilkerson, a former executive at Trump Media, who told the Guardian the payments initially “caused alarm” at Trump Media and executives considered returning the money but decided not to, in part because they couldn’t afford to lose it.