Shock Claim: U.S. Reporter Seizes Control of InfoWars Account—Blocks Transfer to The Onion

The transfer of InfoWars’ accounts to satire news outlet The Onion as part of the site’s bankruptcy sale is being contested by Elon Musk’s social networking platform, X. The platform owns user accounts and needs authorization to sell or transfer them, according to the objection, which is based on X’s terms of service. After Alex Jones was sentenced to pay $1.5 billion in damages to the families of the Sandy Hook Elementary School shooting victims for making false claims that the tragedy was a fabrication, his company, InfoWars, was put up for auction.

With the help of the Sandy Hook families, The Onion made the winning offer of $1.75 million. First United American Companies, a different bidder, made an offer of $3.5 million but claimed inappropriate cooperation throughout the auction process. The liquidation of Alex Jones’ Infowars media platform to pay off a $1.5 billion judgment is about to be approved by a federal bankruptcy judge.

According to X’s court filing, the platform’s terms of service stipulate that user accounts are licensed, but they still belong to the business. X’s position draws attention to wider ramifications for social media account ownership, which could have an impact on millions of users. The platform made it clear that it has nothing against the sale of other InfoWars properties, including its customer lists and website.

Jones and First United American Companies have also objected, claiming bias on the part of the trustee in charge of the sale. The claims were refuted by the trustee, who described them as petty attempts to sabotage the auction. To decide whether the sale may go forward, a bankruptcy judge is scheduled to convene a hearing in December. Due to accusations that he ran an illegal lottery to sway voters, Elon Musk was compelled to appear in Philadelphia for an urgent court hearing.

Elon Musk’s increasing exploitation of X’s platform for political and personal impact is highlighted by this instance. Musk’s increasingly prominent participation in the president-elect’s administration includes the recent reassignment of the inactive @America account to support his pro-Trump super PAC. With possible repercussions for the internet sector, the court case is anticipated to establish a standard for the treatment of social media accounts in bankruptcy proceedings.