Sunday, October 20, 2024

Whistleblower blasts Trump Media for outsourcing jobs as betrayal of 'America First'

Justin Elliott, ProPublica
Alex Mierjeski, ProPublica
October 20, 2024 

Devin Nunes (Photo: Gage Skidmore/Flickr)

An internal whistleblower complaint at Trump Media calls for CEO Devin Nunes to be fired, alleging he has “severely” mismanaged the company and opened it to “substantial risk of legal action” from regulators, according to a copy reviewed by ProPublica.

The letter also says that former President Donald Trump’s company is hiring “America Last” — alleging that Nunes imposed a directive to hire only foreign contractors at the expense of “American workers who are deeply committed to our mission.”

“This approach not only contradicts the America First principles we stand for but also raises concerns about the quality, dedication, and alignment of our workforce with our core values,” the letter says.

Trump’s promise to “stop outsourcing” and “punish” companies that send jobs abroad has been a centerpiece of his political career, including his current campaign for president.

The letter also accuses Nunes, a former Republican congressman, of hiring unqualified members of his inner circle and being dishonest with employees at the company, which runs the social media platform Truth Social.

ProPublica reported this month that several executives and staffers had been forced out of the company, and people involved with Trump Media believed the ousters were retaliation in the wake of a whistleblower complaint. The complaint has been the subject of intense interest among former employees, according to interviews and records of communications among former employees. Several people with knowledge of the company had told ProPublica the concerns revolve around alleged mismanagement by Nunes.

No specific employee signed the letter that was reviewed by ProPublica. It claims to represent “over half” of the company’s staff, including “multiple department heads and C-level officers.” The copy reviewed by ProPublica has been circulating among people connected to the company, and it’s unclear whether there are any differences between it and the version recently submitted to Trump Media’s board.

The copy reviewed by ProPublica is addressed to the audit committee of the board and says it was submitted through the company’s anonymous whistleblower channel.

Trump Media declined to answer detailed questions about the whistleblower complaint or provide comment from the board. But the company’s lawyer in a letter accused ProPublica of writing another in a “series of hit pieces” and “once again basing it upon unreliable sources, attempting to paint a picture of internal turmoil.”


In a previous statement, the company’s lawyer said in a letter that Trump Media “strictly adheres to all laws and applicable regulations.”

Nunes and the Trump campaign did not respond to questions.

The whistleblower complaint paints a picture of turmoil and profound problems in the company at a time when Trump Media’s stock has soared nearly 150% in less than a month, pushing the company’s market value to roughly $6 billion. Even though Truth Social generates virtually no revenue, the company’s stock has attracted enormous interest from Trump fans and speculators.


The stock’s rally has generated a windfall, at least on paper, for Trump, whose majority ownership stake in the company is now worth more than $3 billion. (He recently said he has no plans to sell.)

Among the company’s board members are Trump’s son Don Jr. and two of his former cabinet members: Robert Lighthizer, the former U.S. trade representative, and Linda McMahon, who headed the Small Business Administration and is a major donor and current co-chair of Trump’s transition planning committee.

After the ProPublica story was published this month, an attorney representing Trump Media, Jason Greaves of Binnall Law Group, sent ProPublica a letter demanding an “immediate retraction.” The letter described the article as “false and defamatory” but provided no evidence showing anything in the story was inaccurate.


Following the whistleblower complaint to the board, the company enlisted an outside lawyer to investigate and interview staffers, a person with knowledge of the company had told ProPublica. It’s not clear what the result of that review was or whether it’s ongoing. Governance experts told ProPublica that company boards have a duty to address red flags that suggest corporate wrongdoing.

In perhaps the most serious charge, the letter alleges that Nunes’ “missteps have put us at substantial risk of legal action with our regulators, vendors, shareholders, and employees, and have already resulted in litigation.”

The letter does not give examples of what Nunes has done that could risk action by regulators.


The letter says that not only is Trump Media understaffed — with just “20 technical employees” — but that Nunes has blocked the hiring of Americans. LinkedIn profiles and an invoice obtained by ProPublica show about half a dozen people listed as based in the Balkans doing work for Trump Media, in tasks including software engineering and customer support.

The front page of Truth Social contains the tagline: “Proudly made in the United States of America. 🇺🇸”

The whistleblower letter portrays Nunes, who left a two-decade career as a California congressman in 2022 to become CEO of Trump Media, as ill-equipped to run a tech company.


“Mr. Nunes has consistently lied, targeted employees, and mishandled company resources by placing critical functions in the hands of unqualified members of his inner circle,” it says.

The letter doesn’t give examples of Nunes’ alleged lies or identify the members of his inner circle.

The tone of the letter is more in sorrow than in anger.


“We have approached this with patience, kindness, and grace, hoping for improvement, but the situation has only deteriorated,” the letter states, adding, “We remain fully committed to the mission of restoring and defending free speech on social media.”

Another concern in the letter is about money. Employees were pressured to sell their shares of the company at $20 before it went public, leaving them without a stake in the enterprise and costing them financially, according to the letter. The company’s stock was briefly trading at more than three times that price after it went public in March. After dipping as low as $12 in September, it closed this week above $29.

The letter includes a warning: If the board does not act, the problems could spill into public view and Trump Media could be gravely damaged.


“The more these internal failures — ranging from leadership mismanagement and broken promises to legal vulnerabilities — remain unaddressed, the more likely they are to leak out, likely triggering a PR crisis,” the letter says. “If these issues become public, they will severely tarnish Truth Social’s reputation, erode public trust, and draw negative media attention.”

Do you have any information about Trump Media that we should know? Justin Elliott can be reached by email at justin@propublica.org or by Signal or WhatsApp at 774-826-6240. Robert Faturechi can be reached by email at robert.faturechi@propublica.org and by Signal or WhatsApp at 213-271-7217.

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