On November 30, 2021, two men plead guilty to charges related to insider trading in the context of a merger between Digital World Acquisition Corp. and Trump Media & Technology Group. Patrick Orlando and Robert Kimmel, both Florida residents, were accused of utilizing non-public information regarding the impending merger to purchase securities prior to the public announcement.
They made substantial profits when the value of Digital World’s shares surged after the announcement of the planned merger with Trump Media in October 2021. The two men have consented to forfeit the profits they earned from the insider trading scheme. Orlando has also agreed to plead guilty to a separate charge concerning a fraudulent digital asset securities offering.
This case is being overseen by the Securities and Exchange Commission (SEC) and the U.S. Department of Justice. Legal proceedings are ongoing, marking another significant instance of alleged financial wrongdoings related to the stock market.
