The charges from the regulator do not mention Truth Social’s owner, Trump Media (DJT), and the SEC made no allegations of wrongdoing against DJT.
BF Borgers was charged by the SEC with “deliberate and systemic failures,” which included “fabricating” audit documentation and misleading clients about the compliance of its work with accounting standards.
According to the agency, there was “massive” fraud between January 2021 and June 2023 that affected over 500 public companies and over 1,500 SEC filings.
With immediate effect, the SEC penalised BF Borgers severely and permanently barred the company from acting as an accounting firm in front of the agency. Additionally, the business and Benjamin Borgers, its owner, consented to pay $14 million in fines overall.
Before the social media giant went public in March, Borgers operated as Trump Media’s independent registered accounting firm, according to documents. Later in March, Trump Media’s audit committee gave its approval for Borgers to be hired as the public company’s accounting the company.
According to the agency, BF Borgers had 350 clients during this time period, subject to SEC regulations, even though Trump Media may be the company’s most well-known client.
The work that BF Borgers did for Trump Media while it was a private company was excluded from the SEC review since it was limited to public companies.
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