Trump Media Fires Auditing Fi 05/06 11:59

   

   NEW YORK (AP) -- Trump Media and Technology Group, the owner of social 
networking site Truth Social, has fired an auditor that federal regulators 
recently charged with "massive fraud."

   The former president's media company dismissed BF Borgers as its independent 
public accounting firm on Friday, according to a securities filing -- which 
also notes that Trump Media engaged with Arizona-based accountant Semple, 
Marchal & Cooper as BF Borgers' replacement over the weekend.

   BF Borgers' dismissal arrived on the same day that the Securities and 
Exchange Commission charged the firm and its owner Benjamin F. Borgers with 
"deliberate and systematic failures" in more than 1,500 audits.

   The charges, which include failing to abide by accounting rules and 
fabricating documentation to cover up its shortcomings, do not involve any work 
that BF Borgers performed for Trump Media. To settle the charges, BF Borgers 
and Borgers agreed to pay a combined $14 million in civil penalties as well as 
permanent suspensions effective immediately, set to prevent them from handling 
SEC-related matters as accountants.

   BF Borgers' time with Trump Media was brief. It named the Colorado firm as 
its auditor on March 28, according to a recent annual report filing. At the 
time, Trump Media disclosed that BF Borgers had also handled its audits before 
it went public by merging with shell company Digital World Acquisition Corp.

   Trump Media had previously cycled through at least two other auditors --- 
one that resigned in July 2023, and another that was terminated its the board 
in March, just as it was re-hiring BF Borgers.

   In its regulatory filing, Trump Media said that "the decision to change 
independent registered public accounting firms was made with the recommendation 
and approval of the Audit Committee of the Company." The Associated Press' 
reached out to the company for further comment Monday, including on whether 
Semple, Marchal & Cooper would review BF Borgers' previous work for Trump Media.

   BF Borgers and Semple, Marchal & Cooper did not immediately respond to 
requests' for statement.