Prosecutors challenge Trump's subscription service

Fifty-three former federal prosecutors and law enforcement officials filed a brief Monday in the Southern District of New York opposing Donald Trump's one hundred thousand dollar monthly subscription for early access to Truth Social posts.

The prosecutors' experience and concern

The group worked on public corruption and integrity matters across eleven presidential administrations, both Republican and Democratic, and collectively have more than eight hundred eighty years of government service.

What the subscription offers

Truth API, a data licensing product from Trump Media and Technology Group, charges up to one hundred thousand dollars per month to give financial institutions and trading firms early access to posts from the President and other officials before they are broadly available.

The legal argument against it

The prosecutors argue the scheme violates criminal laws including insider trading statutes and the Securities Exchange Act, allowing subscribers to profit from market-moving government information before the public sees it.

“There is no legitimate, let alone significant, government interest in allowing public officials to profit personally by selling early access to official government announcements.”

Renata O'Donnell on democracy concerns

Renata O'Donnell, senior legal counsel at the Campaign Legal Center, told Fortune the arrangement is corrosive to democracy when the president financially benefits from his official role.

“It's so corrosive to democracy and to the public interest when we see the president financially benefitting from his official role.”

Liability for subscribers

O'Donnell emphasized that subscribers who paid the one hundred thousand dollars face potential criminal liability, and the prosecutors argue shutting down the service before more firms sign up prevents future harm.

“There is potential criminal liability for folks who have paid the $100,000.”

Other legal violations cited

The brief outlines potential violations of the Trade Secrets Act, illegal gratuity statutes, conflict of interest laws, and illicit compensation for federal employment, arguing Trump's financial stake in TMTG creates a corrupt arrangement.

San Francisco sues separately

The city of San Francisco separately sued TMTG accusing the company of violating California's unfair competition law and federal insider trading rules, also seeking to stop the service and impose penalties.