Trump Media Director On Hot Seat Over File-Hacking Accusation in A Corporate “Coup” Attempt

By Moon Harper

Apr 11, 2024 12:16 AM EDT

Trump Media — (Photo : Unsplash/Pau Casals)

According to Wired reports, two former executives of the company that recently acquired Truth Social are involved in a legal battle over the purchase of Trump's social media platform.

The Legal Battle Between Executives

The ex-CEO of Digital World Acquisition Corp. (DWAC), the Special Purpose Acquisition Company (SPAC) formed to buy Trump Media & Technology Group, is suing his replacement for purportedly hacking his personal accounts in what he claims was a "coup d'etat."

Patrick Orlando, who served as CEO of DWAC until March 2023, alleges that he was forcibly removed by Eric Swider, a Trump Media board member who immediately assumed the CEO position after his dismissal. Orlando initiated the lawsuit against Swider through the Benessere Investment Group, an entity under his control, per Wired's report.

The Hacking Conspiracy

Benessere accuses Swider, who served as DWAC CEO from March 2023 to March 2024 and currently sits on Trump Media's board of directors, of orchestrating a "coup d'état" to remove Orlando as DWAC CEO. According to the lawsuit, Benessere alleges that Swider allegedly recruited his former personal assistant, Alexander Cano, to assist him in unlawfully accessing Orlando's accounts. Cano purportedly gained entry to an electronic storage account on Box.com associated with Benessere and ARC Global Investments II, a distinct fund arranged by Orlando to fund the Truth Social acquisition, which allegedly held Orlando's Mailchimp and DocuSign login details, along with his confidential files. The suit alleges that Cano then provided this "stolen information" to Swider.

Legal Disputes Concerning DWAC

This lawsuit represents the latest development in the ongoing legal disputes among original employees of various companies linked to Truth Social, those who remain, and former President Donald Trump himself. Even before the official launch of Trump's Truth Social in early 2022, DWAC faced challenges, including investigative probes, insider trading, and internal conflicts. Despite reporting revenue of just over $4 million in 2023, the company, which began trading publicly last month, boasts a valuation exceeding $5 billion. This inflated valuation is a key factor in recent lawsuits, as early employees stand to gain substantial sums if they retain their shares.

Swider's Counterstatement

Swider's statement asserted that Orlando's leadership led their shared interests with DWAC into regulatory scrutiny, delays, and investigations by the SEC and the DOJ. Swider claimed that Orlando's lawsuit against DWAC jeopardized the potential value of the business combination for the company and its members. Swider further invited investors to join Zoom calls to assess the risks associated with leadership practices characterized by misinformation, concealed information, and self-dealing.

Probing the Alleged Hacking

Benessere states it paid $6,000 to a computer forensics expert to probe the alleged hack on the Box account, which Swider and Cano purportedly still hold access to.

Cano is a defendant in the lawsuit, with claims that Swider pledged him the DWAC presidency and substantial compensation after his involvement in accessing Orlando's Box account, which he later assumed.

Swider refuted all accusations in the lawsuit, stating that publicly accessible Securities and Exchange Commission documents contradict many of its claims. He clarified that he never employed Cano as his assistant and highlighted that Orlando endorsed the compensation Cano received, remarking that "he's never let go of the fact that I replaced him."

Orlando's time at DWAC faced considerable challenges. The planned merger between Trump Media and DWAC experienced significant delays, partly due to investigations by the Securities and Exchange Commission and federal criminal authorities. According to CNBC, in 2023, this resulted in DWAC losing $100 million. The merger with Truth Social was eventually completed in March of this year.