Senate Democrats probe Yorkville Venezuela fundraising plan amid Trump family tie scrutiny

Traders Union
All News
Financial News
Senate probes Yorkville Venezuela plan

Highlights

Senator Ron Wyden probes Yorkville Advisors over a $200 million SPAC intended to acquire a business in Venezuela after sanctions eased.
Wyden seeks details on Yorkville International Capital’s investments and Trump family contacts, citing concerns about conflicts of interest and lack of transparency.
Yorkville executives helped Trump Media & Technology Group raise $2.5 billion for bitcoin and launched the Truth Social God Bless America ETF this week.

Senate inquiry targets Venezuela acquisition vehicle

As first reported by the Financial Times, Senate finance committee Democrat Ron Wyden is investigating Yorkville Advisors over a special-purpose vehicle set up to raise $200 million to buy a business in Venezuela. In a letter sent on Thursday to Mark Angelo, president of the Mountainside, New Jersey-based firm, Wyden requests more information about Yorkville International Capital and its investment plans.

Wyden says Yorkville Advisors and people involved with the Spac have deep business ties to the president and his family. He is also seeking details of any contacts between executives involved in the vehicle, the White House and members of the Trump family.

Wyden says that after the Trump administration’s decision to loosen sanctions on Venezuela, Yorkville Advisors appears to be profiting from the shift. He says the opacity of shell companies such as Yorkville International Capital raises concerns over possible conflicts of interest and the risk that large sums could indirectly strengthen Trump-linked business interests.

Spacs are publicly traded shell companies that raise money and then seek to acquire an operating business, offering an alternative route to public markets without a traditional IPO. The Financial Times reported last month that Yorkville planned to raise funds as part of an effort to find a company to acquire in Latin America and Venezuela.

Trump-linked business connections draw wider attention

Yorkville is among several foreign companies seeking to capitalize on Venezuela’s opening to overseas businesses after Trump captured the country’s leader Nicolás Maduro and his wife Cilia Flores earlier this year. The group’s ties to the Trump business orbit are drawing added attention as the Senate inquiry expands.

Company executives last year helped Trump Media & Technology Group, owner of Truth Social, raise $2.5 billion to buy bitcoin and agreed to launch five America First-themed exchange traded funds. On Wednesday, Yorkville America Equities launched its Truth Social God Bless America ETF, described as the group’s first actively managed vehicle.

Last August, Kevin McGurn, interim chief executive of TMTG and chief executive of Yorkville International Capital, became chief executive of New America Acquisition I, a vehicle backed by Eric Trump and Donald Trump Jr that was set up to merge with a U.S. manufacturer. A spokesperson for the Trump Organization says Eric Trump and Donald Trump Jr have no involvement in Yorkville and no knowledge of the Venezuela Spac, adding that McGurn stepped down from New America Acquisition I earlier this year and no longer has any connection to that company.

Yorkville Advisors does not immediately respond to a request for comment. TMTG also does not respond to a request for comment.

Our earlier report on a Florida federal money laundering conspiracy outlined how prosecutors say a WhatsApp-coordinated cash pickup and bank-deposit network helped conceal more than $30 million in drug proceeds across major U.S. cities. The piece highlighted the sixth guilty plea in the case and detailed the defendants’ roles, along with the upcoming sentencing schedule and potential penalties.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.