Bruce Garelick was seen exiting the Manhattan Federal Court in New York City on July 20, 2023, following a hearing related to his federal criminal trial for insider trading. The trial, which began just blocks away from former President Donald Trump’s own legal proceedings, centers around allegations that Garelick shared non-public information about a shell company’s merger plans with Trump Media.
The first witness in this case, Andy Litinsky, a co-founder of Trump Media, testified that he is involved in ongoing civil litigation against Trump over shares he believes he is owed in the social media company. Litinsky detailed the events leading up to Trump Media’s merger agreement with Digital World Acquisition Corp. (DWAC), the company accused of insider trading.
Prosecutors claim that Garelick shared confidential information about DWAC’s merger plans with his boss, Michael Shvartsman, and his brother Gerald, resulting in significant profits for those involved. Garelick, who has chosen to face a jury trial, denies these allegations, with his lawyer arguing that he acted in good faith and did not engage in illegal trading.
Litinsky’s testimony shed light on the unpredictable nature of business dealings with Trump, including demands to transfer equity to his wife Melania and threats to derail deals. Litinsky also revealed details about Trump Media’s name change to Trump Media & Technology Group before the DWAC merger and conflicts within the organization.
As the trial continues, jurors will weigh the conflicting narratives presented by the prosecution and defense to determine Garelick’s guilt or innocence in the insider trading case.