Business

Trump Media Cofounders Limited to Coach Flights, Cheap Hotels

Former President Donald Trump’s media organization may be a multibillion-dollar entity on paper, but that doesn’t seem to be an indication of the company’s performance — or the type of executive lifestyle whose co-founders have benefited during the creation of the company.

According to their contract, Trump Media & Technology Group co-founders Andrew Litinsky and Wes Moss were limited to flights and cheap hotels because they were responsible for publicizing Trump’s media empire.

Litinsky and Moss, along with their company United Atlantic Ventures, were sued in late March by the former president. The lawsuit accuses the co-founders of trying to “thwart” an opportunity for the company to go public.

Both Litinsky and Moss were former contestants on Trump’s reality show, “The Apprentice.” As co-founders, according to the lawsuit, Litinsky and Moss were responsible for setting up Trump Media’s corporate governance structure, launching Trump’s social media platform, Truth Social, and taking Trump Media public. In exchange, the founders were promised 8.6 million shares of the company. Those actions are the focus of a separate lawsuit filed in February by the co-founders.

But Trump’s media company is now trying to claw back those shares from Litinsky and Moss, arguing the co-founders failed “spectacularly at every turn.”

As part of the lawsuit, Trump’s lawyers included the “services agreement” signed by Litinsky and Moss in 2021, which Trump’s lawyers now argue is void. The agreement essentially specifies the work that the co-founders will be asked to do.

That agreement contains “guidelines for reimbursable expenses” and, according to the copy provided in the lawsuit, Litinsky and Moss were not offered many amenities.

For transport, the co-founders limited themselves to “economy fares, by coach or supersave with applicable flight insurance”. Business class could be reserved for international travel, but “21-day advance purchase is anticipated, where possible,” the contract states.

The co-founders were also encouraged to keep lodging expenses to a minimum and “limit expenses where possible, while less than $150.00 per night is generally reasonable for most cities,” the agreement states.

An attorney for Litinsky and Moss did not respond to a request for comment.

It’s unclear whether the contractual agreement reflects the executive lifestyle that Litinsky and Moss experienced while trying to build Trump’s media organization.

The expenses outlined in the contract are a far cry from the typical luxuries that executives, let alone social media co-founders, are afforded.

Trump Media’s valuation also does not reflect the company’s performance. As Business Insider senior correspondent Emily Stewart noted, Trump Media makes almost nothing. The company’s financial statements reveal that Trump Media made $4.1 million last year and lost $58 million.

After announcing the loss, Trump Media’s shares plunged, causing the former president’s net worth to drop by more than $1 billion.

A Trump Media spokesperson declined to comment.

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