by Chris Menahan, Information Liberation:
A federal bankruptcy judge on Thursday ordered a hearing into the questionable auction of Infowars to The Onion after Alex Jones’ legal team protested that an ally’s higher bid for his properties was rejected.
At a court hearing Thursday afternoon in Houston, the trustee who oversaw the auction, Christopher Murray, acknowledged that The Onion did not have the highest bid but said it was a better deal overall because some of the Sandy Hook families agreed to forgo a portion of the sale proceeds to pay Jones’ other creditors. First United American Companies, a business affiliated with one of Jones’ product-selling websites, submitted the only other bid. The trustee said he could not put a dollar amount on The Onion’s bid.
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Walter Cicack, an attorney for First United American Companies, told U.S. Bankruptcy Judge Christopher Lopez that Murray changed the auction process only days before, deciding not to hold a round Wednesday where parties could outbid each other. Sealed bids were submitted last week, and the trustee chose only from those, Cicack said.
Murray said he followed the judge’s auction rules laid out in a September order that made the overbidding round optional. But Lopez said he was surprised such a round of bidding was not held and that he had concerns about transparency.
“We’re all going to an evidentiary hearing and I’m going to figure out exactly what happened,” he said. “No one should feel comfortable with the results of this auction.”
An exact date of next week’s hearing was not immediately set.
After the hearing, Jones said on his show that he thought the auction was unfairly rigged and expressed optimism that the judge would nullify the sale. He has repeatedly told his listeners that if his supporters won the bidding, he could stay on the Infowars platforms but that he had set up a new studio, websites and social media accounts in case they were needed.
“This was a auction that didn’t happen, with a bid that was lower, with money that wasn’t real,” he said.
Jones discussed the development on his show:
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