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Home » Elon Musk’s X Corp. Enters Infowars Bankruptcy Case With Surprise Filing

Elon Musk’s X Corp. Enters Infowars Bankruptcy Case With Surprise Filing

By Chelsea BetonieNovember 17, 2024Updated:November 17, 2024 News No Comments5 Mins Read
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In a surprising development, Elon Musk’s X Corp., the company that took over Twitter and rebranded it as X, has entered the bankruptcy proceedings of Alex Jones’ Infowars platform. This intervention comes just days after The Onion, a satirical news outlet, emerged victorious in a controversial auction to acquire Infowars’ assets.

The bankruptcy case, which is being closely watched by both legal experts and political commentators, has taken another unexpected turn with X Corp.’s recent filing. According to court documents, the company filed a notice of appearance, indicating that it intends to be an “interested party” in the ongoing proceedings. This move has raised eyebrows, as the company did not elaborate on its specific interests or intentions regarding the case, leaving many to speculate about Musk’s potential involvement in the future of Infowars.

On Thursday, The Onion completed a deal to purchase Infowars at auction, with plans to transform the once infamous platform into a satirical reimagining. Sources familiar with the transaction revealed that The Onion intends to shut down Jones’ controversial platform and rebuild the website into a new iteration, featuring well-known internet humorists and content creators.

However, the sale has been met with scrutiny. A federal bankruptcy judge in Texas has ordered an evidentiary hearing to investigate possible irregularities in the auction process. The controversy stems from accusations by Jones and his legal team that the bidding process was manipulated, potentially allowing The Onion to win the auction under questionable circumstances.

Jones, who was removed from social media platforms like Twitter and YouTube over his promotion of conspiracy theories, took to X to accuse Connecticut Democrats and The Onion of conspiring to orchestrate a backdoor deal to secure the platform. “They said, ‘It was competitive,’” Jones said in a video posted to X. “They changed all the bidding rules and made it secret two days ago. I had a bad feeling about this.”

Jones’ accusations have prompted concerns over the transparency of the sale, with some questioning whether the auction was rigged to favor The Onion, a publication known for its satirical take on news and politics. The hearing ordered by the judge will seek to address these concerns and determine whether the auction was conducted fairly.

The Infowars auction was held as part of Jones’ ongoing legal troubles stemming from his false claims about the 2012 Sandy Hook Elementary School shooting. Jones has been ordered to pay $1 billion in damages to the families of the victims, after he was found guilty of defamation for calling the tragedy a “hoax.” The auction of Infowars’ assets, including its website, Texas studio, trademarks, and video archive, was intended to help satisfy the debt owed to the victims’ families.

Despite this, the specific amount of the winning bid remains undisclosed, and all participants in the auction were required to sign nondisclosure agreements. According to NPR, the highest bid may not have necessarily won the auction, as the U.S. trustee overseeing the sale has the discretion to determine the “highest or otherwise best bid.”

Sources close to the bidding process have revealed that Jones’ allies made a last-ditch, seven-figure offer to try to keep Infowars afloat, but ultimately, it was The Onion that emerged victorious. Jones has expressed frustration with the outcome, and in a live broadcast on X, he suggested that Musk would play a key role in the platform’s future. “I was told Elon is going to be very involved in this,” Jones said.

On November 14, X Corp. filed a notice of appearance in the bankruptcy case, signaling its interest in the proceedings. The filing, first reported by Mother Jones, does not clarify why Musk’s company is asserting its involvement, but it does reserve X Corp.’s rights as an interested party. The company also requested access to all relevant documents related to the case.

Although X Corp. has not commented publicly on its intentions, the filing has sparked significant speculation. Jones, during his broadcast, hinted that Musk’s involvement could be a game-changer for the future of Infowars. “The cavalry is here. Trump is pissed,” Jones said, adding that former President Donald Trump, who has long been a vocal supporter of Jones, is aware of the situation and stands by him.

At this point, it remains unclear what role X Corp. will play in the case or how Musk’s company might influence the direction of the bankruptcy proceedings. However, the filing signals that Musk’s interest in Infowars and its assets could be a significant development, especially given the platform’s polarizing history and ongoing legal battles.

As the bankruptcy case unfolds and the auction’s legitimacy is scrutinized, the future of Infowars remains uncertain. The involvement of X Corp. adds another layer of intrigue, especially considering Musk’s controversial ownership of Twitter and his willingness to disrupt traditional media and online discourse. Whether Musk will play a direct role in reshaping Infowars or if he intends to acquire any of its assets remains to be seen.

For now, Jones’ supporters, The Onion’s new plans, and Musk’s potential involvement are all factors that will shape the next chapter in the Infowars saga. As the legal and financial battles continue, it is clear that Infowars’ legacy is far from over, and the outcome of this case could have lasting implications for both Jones and the broader media landscape.

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