Despite a winning auction bid from the satirical outlet The Onion, a federal judge has rejected the sale of Infowars. For the time being, Alex Jones keeps the conspiracy theory platform.
A federal judge in Texas rejected the auction sale of Alex Jones’ Infowars to satirical news outlet The Onion, criticizing the bidding for the conspiracy theory platform as flawed as well as how much money families of the 2012 Sandy Hook Elementary shooting stood to receive.
The decision late Tuesday night is a victory for Jones, whose Infowars site was put up for sale as part of his bankruptcy case in the wake of the nearly $1.5 billion that courts have ordered him to pay over falsely calling one of the deadliest school shootings in US history a hoax.
Jones repeatedly called the shooting that killed 20 children and six educators a hoax staged by actors and aimed at increasing gun control. Parents and children of many of the victims testified in court that they were traumatized by Jones’ conspiracies and threats from his followers.
Most of the proceeds from the sale of Infowars, as well as many of Jones’ personal assets, will go to the Sandy Hook families. Some proceeds will go to Jones’ other creditors.
Families of the Sandy Hook victims had backed The Onion’s bid.
Following a two-day hearing in Houston, US Bankruptcy Judge Christopher Lopez said he would not approve the sale, while citing concerns about transparency in the auction. That clears the way for Jones to keep, at least for now, Infowars, which is headquartered in Austin, Texas.
The Onion had planned to kick Jones out and relaunch Infowars in January as a parody.
“We are deeply disappointed in today’s decision, but The Onion will continue to seek a resolution that helps the Sandy Hook families receive a positive outcome for the horror they endured,” Ben Collins, CEO of The Onion’s parent company, Global Tetrahedron, posted on social media late Tuesday.
Lopez cited problems — but no wrongdoing — with the auction process. He said he said he did not think that those involved in the auction acted in bad faith and that everyone “put their best foot forward and tried to play within the rules.”
Still, Lopez said he said he did not want another auction and left it up to the trustee who oversaw the auction to determine the next steps.
The Onion offered $1.75 million in cash and other incentives for Infowars’ assets in the auction.
First United American Companies, which runs a website in Jones’ name that sells nutritional supplements, bid $3.5 million.
The bids were a fraction of the money that Jones has been ordered to pay in defamation lawsuits in Connecticut and Texas filed by relatives of victims of the Sandy Hook shooting. Lopez said the auction outcome “left a lot of money on the table” for families.
“You got to scratch and claw and get everything you can for them,” Lopez said.
Christopher Mattei, a lawyer for the Sandy Hook families who sued Jones in Connecticut, said they were disappointed in the judge’s ruling.
“These families, who have already persevered through countless delays and roadblocks, remain resilient and determined as ever to hold Alex Jones and his corrupt businesses accountable for the harm he has caused,” Mattei said in a statement. “This decision doesn’t change the fact that, soon, Alex Jones will begin to pay his debt to these families and he will continue doing so for as long as it takes.”
Jones, who did not attend the proceedings, went back on his program late Tuesday to celebrate the judge’s ruling, calling the auction “ridiculous” and “fraudulent.”
Although The Onion’s cash offer was lower than that of First United American, it also included a pledge by many of the Sandy Hook families to forgo $750,000 of the auction proceeds due to them and give it to other creditors, providing the other creditors more money than they would receive under First United American’s bid.
