A federal bankruptcy judge has delayed the sale of Infowars, the conspiracy-driven website founded by Alex Jones, to The Onion, a satirical publication known for its tongue-in-cheek commentary.
The decision Tuesday by Judge Christopher Lopez in Houston leaves the sale of Infowars and its associated assets in limbo, prolonging a heated legal battle involving Mr Jones, his creditors, and rival bidders.
The Onion’s $7 million bid is supported by families of the 2012 Sandy Hook Elementary School shooting victims.
These families awarded $1.4 billion in a 2022 defamation lawsuit against Mr Jones pledged part of their potential compensation to back the purchase.
During two days of hearings, lawyers for The Onion’s parent company, Global Tetrahedron, and First United American Companies, a bidder tied to Mr Jones, debated the fairness of the bidding process.
The Onion’s move to buy Infowars may seem unconventional, but it represents a broader effort to symbolically dismantle Mr Jones’ platform, which has been criticised for spreading falsehoods, including claims that the Sandy Hook shooting was a hoax.
Mr Jones’ lies subjected the victims’ families to years of harassment.
In practical terms, the bid included $1.75 million in cash from Global Tetrahedron, with the rest sourced from funds earmarked by the Sandy Hook families as part of their defamation award.
Without the families’ contribution, Mr Jones’ affiliate, First United American Companies, had a higher cash bid of $3.5 million.
According to the New York Times, Jeff Tanenbaum, a consultant advising the court-appointed trustee, testified that The Onion’s combined bid was superior overall, given its broader backing and potential to settle part of Mr Jones’ debt to the families.
