Alex Jones’ enterprise restructuring officer has questioned the tens of thousands and thousands taken from the corporate

Free Speech Systems, which runs Jones’ conspiracy outlet Infowars, filed for bankruptcy on Fridayin the middle in two states to determine how much Jones owes in damages to the families of Sandy Hook victims for his false claims that the shooting was a hoax and that they had not actually lost a child.

Marc Schwartz testified that he signed on as the company’s chief restructuring officer in June and now controls all bank accounts, payroll and hiring decisions. Schwartz testified that Jones withdrew about $62 million from the company over 14 years, and testified that $30 million of those withdrawals went to the IRS.

Schwartz also testified during the hearing, which lasted more than six hours, that Infowars received about $9 million in cryptocurrency donations and that “it went directly to Mr. Jones.”

Mr. Schwartz said Free Speech Systems should have access to cash to pay its vendors or it would have to close.

“If we can’t pay our critical vendors, we’ll be shut down,” Schwartz said. “Currently, the company is in a situation where there is not much room to breathe.

U.S. Bankruptcy Judge Christopher Lopez said Wednesday that he would not allow more withdrawals and that he was “disturbed” by some of Schwartz’s testimony.

Court documents filed Friday in connection with Free Speech Systems’ bankruptcy showed the company has between $10 million and $50 million in liabilities. USD assets and from 50 to 100 mln. USD liabilities. An attorney for Free Speech Systems said at Wednesday’s hearing that the company has about $1.3 million. USD cash.

Schwartz emphasized the importance of paying salespeople who allow the company to broadcast and sell products online, saying that when Jones doesn’t discuss the products he sells, the company’s sales drop by 30 percent.

“If we can’t broadcast, we can’t sell,” Schwartz said.

Schwartz testified that Free Speech Systems’ management structure was not designed the way a successful business should be run.

“There’s Alex, and then there’s everybody else,” Schwartz testified.

Schwartz said accounting controls, as far as he could tell after taking control of the company, were “nonexistent,” that the people responsible for managing the company’s books had no accounting training and that financial statements had not been prepared for at least 18 years. months when it took over.

Attorneys took issue with Jones’ salary under the bankruptcy plan, saying documents show Jones’ pre-bankruptcy salary was $625,000 a year, and would be about $1.3 million under the restructuring plan. Schwartz said Jones’ salary could be considered reasonable because of his value to the company.

“Who is more valuable? Nothing,” Schwartz said. Lopez allowed Jones to be paid less, about $20,000 every other week.

Asked how much the company spent on legal fees related to the Sandy Hook lawsuits, Schwartz said company records show that between 2018 and 2021 at least 4.5 million was spent. USD, but he doesn’t believe that number is accurate.

Schwartz also testified that over the past 18 months, Jones regularly used an American Express card associated with the company to pay for personal expenses, including housekeeping bills. The card had $300,000 in monthly fees, but Schwartz said the accounting staff did not specify what the fees were.

“We can’t tell if it’s electrical, entertainment or production studio electronics,” Schwartz said.

Lopez said he would not allow payment of the current American Express bill, which is about $172,000.

Schwartz said he didn’t know who Jones was before he took the job, and that he disagrees with many of Jones’ views, but occasionally consults with him on business matters.

Three smaller companies associated with Jones filed for bankruptcy earlier this year, briefly suspending lawsuits against Jones. But the families that sued him removed those companies from the lawsuits so that the cases could only be brought against Jones and Free Speech Systems. The companies emerged from bankruptcy protection shortly thereafter.

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