The affected audit firm, BF Borgers CPA, and its owner, Benjamin Borgers, have been suspended from practicing accounting with the SEC, the regulator said in a statement today.
The company and Burgers agreed to pay fines totaling $14 million collectively, though neither admitted nor denied the allegations.
According to the statement, the SEC accused BF Borgers of “willful and systematic failures,” including “fabricating” audit documents and falsely representing to clients — including Trump Media — that its work complied with regulations.
The North American government agency estimates that the fraud occurred between January 2021 and June 2023, affecting more than 500 companies that had hired BF Borgers and will now have to find new accounting firms.
The relevant reports are presented periodically to the Securities and Exchange Commission with the aim of providing information to investors and analysts, so that they can evaluate companies with shares listed on the stock exchange.
SEC Enforcement Division Director Gurbir Grewal said, “Borgers and his fictitious auditor have been permanently terminated,” the statement said.
The media and technology company Trump Media, which was founded in January 2021 and whose majority shareholder is former US President and former Republican candidate Donald Trump, has already announced plans to hire a new audit firm. Trump Media includes the social media network Truth Social, which was founded by the former president.
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