Lawsuit Filed Against Trump for Profit-Making on Truth Social

A lawsuit has been filed against former President Donald Trump regarding a new service on his Truth Social platform. The federal court case aims to prevent Trump from profiting through a paid service offering subscribers early access to his posts on U.S. policy.

Constitutional Violations Alleged

The lawsuit alleges that this service, which provides advanced glimpses of posts on topics like war and tariffs, breaches the Constitution. Official announcements, according to the plaintiffs, should be publicly accessible at the same time. Rolling out earlier this month, the subscription charges Wall Street firms up to $100,000 monthly for early market-moving posts.

Seth Stern, chief of advocacy at the Freedom of the Press Foundation, stated, “A president selling priority access to news he himself generates for the benefit of a private company he controls is blatantly corrupt and unconstitutional.” The foundation, together with The Intercept, is behind the lawsuit.

Trump Media’s Defense

Trump Media & Technology, the parent company of Truth Social, defended the service. It stated that offering swift access to content is standard in the industry and accused the plaintiffs of aiming to censor Trump. The statement mentioned, “Information from President Trump is disseminated by countless platforms, many of which offer subscription APIs.”

The lawsuit challenges what they assert are violations of the First and Fifth Amendments. It argues for equal access to presidential comments and prohibits unreasonable fees attached to government benefits.

Financial Impact and Criticism

The early access feature emerges as Trump Media faces significant financial losses each quarter. Since going public, its stock has seen a decline to below $10 from a peak of $62. Critics argue that this new service represents a similar profit-focused strategy to previous ventures connected to cryptocurrencies.

Trump retained significant earnings last year, primarily from new cryptocurrency enterprises his administration regulates. Additional controversial business dealings include a $500 million investment from a firm linked to the UAE government and sales of Trump meme coins, adding to ethical concerns.

Besides Trump, the lawsuit names his deputy chief of staff Daniel Scavino and executive assistant Natalie J. Harp as defendants, filed in New York’s Southern District.