The Onion faces off against Alex Jones in court over Infowars purchase
- The Onion's bid for Infowars was initially deemed the winning bid, offering $1.75 million.
- Alex Jones alleged collusion and fraud in the auction process, leading to scrutiny by the court.
- The bankruptcy judge ultimately rejected the sale, indicating significant flaws in the auction procedures.
In November 2023, The Onion, a satirical news outlet, won a bid to purchase Alex Jones' Infowars platform in a bankruptcy auction. The Onion offered $1.75 million for Infowars' assets, which included equipment, social media accounts, and trademarks. However, Alex Jones, who is embroiled in multiple defamation lawsuits, alleged that the auction process was flawed, claiming fraud and collusion between The Onion and the Sandy Hook families, who stood to benefit from the sale proceeds. On December 10, 2023, U.S. Bankruptcy Judge Christopher Lopez reviewed the auction details and concluded that the process was indeed flawed and left an inadequate amount for the Sandy Hook families. Consequently, he rejected the sale to The Onion. The trustee overseeing the auction, Christopher Murray, defended The Onion's bid during the hearings, insisting that it was structured to provide better compensation to other creditors, even though it was lower than that of the competing bid by Jones-affiliated First United American Companies, which had offered $3.5 million. Jones’ bankruptcy case and the sale of Infowars stem from judgments related to defamation lawsuits in which he was found liable for promoting Falsehoods about the 2012 Sandy Hook shooting. Most proceeds from the auction were designated to help satisfy these judgments, which amounted to nearly $1.5 billion. The Onion's proposal included a unique pledge from several Sandy Hook families to relinquish a portion of the proceeds to benefit other creditors, raising the effective value of their bid. Court discussions have avowed ongoing tensions and allegations among the bidders regarding the validity and fairness of the auction process, with stakes involving heavily monetary judgments and the significant impact on the victims’ families.