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Judge Orders Hearing in Alex Jones Infowars Sale

Judge Orders Hearing in Alex Jones Infowars Sale

Judge Orders Hearing in Alex Jones Infowars Sale \ Newslooks \ Washington DC \ Mary Sidiqi \ Evening Edition \ A bankruptcy judge has scheduled a hearing to address Alex Jones’ attempt to block the satirical outlet The Onion from purchasing Infowars in a contested auction. Jones alleges fraud and collusion in the bidding process, which named The Onion the winner. The sale is part of Jones’ bankruptcy proceedings following a $1.5 billion judgment against him for defamation.

Judge Orders Hearing in Alex Jones Infowars Sale
A copy of the satirical outlet The Onion is seen Thursday, Nov. 14, 2024, in Little Rock, Ark. (AP Photo/Jill Bleed)

Alex Jones Challenges Infowars Sale: Quick Looks

  • Auction Controversy: The Onion won the bid to buy Infowars but faces opposition from Jones.
  • Fraud Allegations: Jones claims collusion between The Onion, Sandy Hook families, and a court trustee.
  • Bankruptcy Proceedings: The sale aims to liquidate assets to pay creditors, including Sandy Hook families.
  • Court Hearing: The judge will consider disqualifying The Onion’s bid in December.
  • Personal Assets: Jones continues to generate revenue while his personal belongings and business assets are liquidated.
  • Political Overlap: Jones appeals his $1.5 billion judgment, citing free speech, as debates intensify over his media influence.

Deep Look

Judge Orders Hearing on Infowars Sale Amid Auction Dispute

A bankruptcy court has scheduled a new hearing in December to determine the fate of Infowars, the controversial media outlet owned by conspiracy theorist Alex Jones. The hearing will address Jones’ claims of fraud and collusion in the bankruptcy auction, which awarded the satirical news outlet The Onion the right to purchase Infowars.

Auction Results and Allegations

The Onion was declared the winning bidder on November 14 with a $1.75 million cash bid. In addition to cash, its proposal included an agreement with Sandy Hook families—who are owed part of the proceeds from the auction—to forgo some of their compensation to provide other creditors with an extra $100,000.

The auction’s court-appointed trustee, Christopher Murray, stated this made The Onion’s bid the most favorable for creditors and named it the winner. First United American Companies, another bidder with ties to Jones, had submitted a $3.5 million sealed bid but was not chosen.

Jones alleges that Murray’s decision violated auction rules by considering a nonmonetary component, canceling a live bidding round, and improperly collaborating with The Onion and Sandy Hook families. He has called the process “rigged” and filed a lawsuit against Murray, The Onion’s parent company, and the Sandy Hook families.

Murray countered these claims in court filings, describing Jones’ accusations as a “vicious smear campaign” and accusing Jones of colluding with First United American Companies to retain control of Infowars.

The Court’s Next Steps

U.S. Bankruptcy Judge Christopher Lopez expressed concerns over the auction’s transparency during a November hearing. “We’re all going to an evidentiary hearing, and I’m going to figure out exactly what happened,” Lopez said.

The December hearing will consider two motions: Jones’ emergency request to disqualify The Onion’s bid and approval of the sale to The Onion. The judge could decide to move forward with the sale, order a new auction, or name First United American Companies the winner.

A critical aspect of the ruling is whether Jones will be allowed to stay in Infowars’ Austin, Texas, studio under new ownership or if The Onion will gain full control of the operation.

Assets and Revenue in Play

The auction is part of the bankruptcy proceedings for Infowars’ parent company, Free Speech Systems, following a $1.5 billion defamation judgment against Jones. The judgment was awarded to families of Sandy Hook Elementary School shooting victims after Jones repeatedly claimed the 2012 massacre was a hoax.

Assets up for sale include Infowars’ Austin studio, video archives, production equipment, websites, social media accounts, and product trademarks. Jones’ personal assets—such as real estate, guns, and personal belongings—are also being liquidated.

Despite these proceedings, Jones has maintained a steady revenue stream. Through his Infowars Store website, he has reportedly generated over $22 million in sales this year alone, selling nutritional supplements, survival gear, and other merchandise.

X Platform Dispute and Revenue Streams

Jones’ presence on X, formerly known as Twitter, adds another layer to the controversy. His account with 3.3 million followers and the Infowars account were not included in the auction, but Judge Lopez will decide whether they should be liquidated as part of the proceedings.

Social platform X has objected to any sale of the accounts, asserting its ownership rights and refusing to allow the transfer without its consent. Jones has praised X owner Elon Musk on his show, even suggesting Musk purchase Infowars, though Musk has not commented on the matter and was not involved in the auction.

Jones continues to appeal the $1.5 billion defamation judgment, citing free speech protections. While he has since acknowledged the reality of the Sandy Hook shooting, he insists the court rulings infringe on his First Amendment rights.

Proceeds from the Infowars liquidation are intended to pay creditors, with Sandy Hook families being primary beneficiaries. However, Jones alleges the auction process was manipulated to benefit certain parties, an accusation central to his ongoing legal challenges.

What’s at Stake?

The outcome of the auction and subsequent hearings could determine the future of Infowars, a media empire that has long been a hub for conspiracy theories and controversial content. If The Onion’s purchase is finalized, it plans to turn the platform into a parody, effectively ending Infowars’ current operations.

Even if he loses Infowars, Jones has established alternate studios, websites, and social media channels, ensuring his ability to continue broadcasting. Meanwhile, the December hearing will test the integrity of the auction process and influence the broader legal and financial consequences of Jones’ defamation case.

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