U.S. Bankruptcy Judge Christopher Lopez has rejected the sale of Infowars to The Onion, citing an unfair auction process. Despite not offering the highest bid, The Onion was named the winner with a $1.75 million offer, while First United American Companies, associated with Alex Jones, made a higher bid of $3.5 million.
Judge Lopez criticized the auction's handling, stating that it failed to maximize value and lacked transparency. "I don’t think it’s enough money," Lopez remarked about The Onion's bid in a late-night ruling reported by NBC News. He added, "I’m going to not approve the sale."
The decision on how to proceed next rests with trustee Christopher Murray, who managed the auction process. While Murray was acknowledged for acting in good faith, Lopez noted that he should have allowed rival bidders more opportunities to improve their offers.
The outcome of this auction will determine ownership of Infowars' studio, website, and social media accounts. X Corp., owned by Elon Musk, has objected to transferring any X accounts maintained by Alex Jones or Infowars without its consent.
A report from the Associated Press mentioned that families of Sandy Hook Elementary School shooting victims had supported The Onion's bid by agreeing to relinquish some owed damages as credit. Alex Jones owes these families $1 billion following a defamation lawsuit over false claims regarding the massacre.
Jones plans to challenge the purchase in court and has launched the Alex Jones Network for continued broadcasting.
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