SEC Bars Accounting Firm for Trump’s Social Media Venture

The Securities and Exchange Commission (SEC) has barred BF Borgers, the accounting firm for former President Donald Trump’s social media venture, from practice due to “deliberate and systemic failures” to comply with U.S. audit standards on over 1,500 filings by hundreds of firms.

Allegations of Fraud

According to the SEC, BF Borgers, based in Lakewood, Colorado, allegedly skirted accounting standards for more than two years while working on audits and reviews of public companies, including Trump Media & Technology Group. The SEC described the situation as a “massive fraud.”

Settlement and Penalties

BF Borgers and its owner, Benjamin Borgers, have agreed to pay a combined $14 million to settle the charges. Both the firm and Borgers have been permanently suspended from practicing before the SEC as accountants, effective immediately.

SEC’s Statement

SEC Enforcement Director Gurbir Grewal stated that Ben Borgers and BF Borgers were responsible for one of the largest failures by gatekeepers in financial markets. He emphasized that their actions not only put investors and markets at risk but also undermined trust and confidence in the markets.

Response from Trump Media

Shannon Devine, a spokesperson for Trump Media & Technology Group, said the company looks forward to working with new auditing partners in compliance with the SEC’s order. BF Borgers has been Trump Media’s auditor since 2022.

Previous Regulatory Issues

BF Borgers has previously faced disciplinary action from Colorado officials and had its registration terminated by Canada’s audit regulator last month.

Allegations and Misleading Practices

The SEC’s allegations focus on the period between January 2021 and June 2023 when more than 350 clients relied on BF Borgers’ work. The agency claims that the firm failed to follow standards set by the Public Company Accounting Oversight Board on at least 75 percent of those filings. Additionally, BF Borgers allegedly misled its clients by falsely claiming its work complied with the standards and falsifying documents to give that impression.