Pomerantz LLP is investigating claims on behalf of investors of Digital World Acquisition Corp. ("Digital World" or the "Company") (NASDAQ: DWAC; DWACW). Such investors are advised to contact Robert S. Willoughby at email@example.com or 888-476-6529, ext. 7980.
The investigation concerns whether Digital World and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
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On October 29, 2021, The New York Times published an article entitled "Trump's $300 Million SPAC Deal May Have Skirted Securities Laws." The article reported that Donald J. Trump's efforts to take Trump Media & Technology Group ("TMTG") public via a merger with Digital World, a special purpose acquisition company ("SPAC"), involved discussions of a merger with Digital World's founder before Digital World itself went public. These discussions may have violated federal securities laws, which prohibit SPACs from planning mergers before conducting their initial public offerings.
On this news, Digital World's stock fell $6.93 per share, or 10.23%, to close at $60.82 per share on November 1, 2021.
Then, on June 13, 2022, Digital World stated in a filing with the U.S. Securities and Exchange Commission that "[a]s previously disclosed in Digital World's quarterly report on Form 10-Q for the period ended March 31, 2022 and other filings with the SEC, Digital World received a document request and subpoena from the SEC seeking various documents and information regarding, among other things, meetings of Digital World board of directors; communications with and the evaluation of potential targets, including TMTG; communications relating to TMTG; agreements with and payments made to certain advisors; investors, including investor meetings and agreements; the appointment of certain of Digital World's officers and directors; policies and procedures relating to trading; and documents sufficient to identify banking, telephone, and email addresses. The SEC also recently issued an order of examination pursuant to Section 8(e) of the Securities Act, with respect to the Registration Statement relating to the Business Combination, and a further subpoena in support thereof."
On this news, Digital World's stock price fell $10.71 per share, or 28.18%, to close at $27.30 per share on June 14, 2022.
Pomerantz LLP, with offices in New York, Chicago, Los Angeles, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomlaw.com
CONTACT:Robert S. WilloughbyPomerantz LLPrswilloughby@pomlaw.com888-476-6529 ext. 7980
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SOURCE Pomerantz LLP