Alex Jones was losing in court.
Parents of children killed at Sandy Hook Elementary School had sued him and his media company for defamation after he repeatedly claimed the 2012 massacre in Connecticut was a hoax. Fans of the Infowars host had harassed and threatened
grieving families. By the summer of 2020, two of the lawsuits weren’t going his way.
As the potential for damages mounted, Jones began moving millions of dollars out of his company, Free Speech Systems, and into companies controlled by himself, friends or relatives, according to a Washington Post review of financial statements, depositions and other court records. The transfers potentially put those funds out of reach of the Sandy Hook plaintiffs.
Between August 2020 and November 2021, Free Speech Systems signed promissory notes — essentially IOUs — for $55 million to cover what it said were past debts to a company called PQPR Holdings that Jones owns with his parents, according to financial records filed in court by Jones’s attorneys. PQPR, which is managed by Jones’s father, a dentist, had bought tens of millions of dollars in supplements for Jones that he then sold on his show, the records say. A lawyer for Free Speech systems has said in court that the debt accrued unnoticed due to sloppy bookkeeping.
This year, Jones started paying his personal trainer $100,000 a week to help ship supplements and other merchandise, a Free Speech Systems attorney said in court. A company managed by Jones’s sister and listed as a “supplier or vendor” was paid $240,000, financial records show.
Courts have awarded the Sandy Hook families
nearly $1.5 billion in damages against Jones, including
$45.2 million in a Texas case in August and
$965 million in a
Connecticut case two months later. On Nov. 10, the judge in the Connecticut case ordered Jones to pay an additional $473 million in punitive damages, including $323 million for legal fees. Jones has said on his show that he plans to appeal.
The IOUs and other recent transactions helped tip Free Speech Systems into bankruptcy in July, according to Jones’s court filings. An accountant hired by Jones calculated that Free Speech Systems had $79 million in liabilities at the end of May and only $14 million in assets, court records show.
As a result, the Sandy Hook families could be left vying with other creditors — including the companies tied to Jones himself — to collect...............
https://www.washingtonpost.com/inve...d0790213672b|C0D737332B174969E0430100007FF0C5