{"id":65467,"date":"2025-12-29T10:48:02","date_gmt":"2025-12-29T10:48:02","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/trump-linked-crypto-firm-faces-auditor-scrutiny-as-financial-turmoil-deepens\/"},"modified":"2025-12-29T10:48:02","modified_gmt":"2025-12-29T10:48:02","slug":"trump-linked-crypto-firm-faces-auditor-scrutiny-as-financial-turmoil-deepens","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/trump-linked-crypto-firm-faces-auditor-scrutiny-as-financial-turmoil-deepens\/","title":{"rendered":"Trump-linked crypto firm faces auditor scrutiny as financial turmoil deepens"},"content":{"rendered":"<p><b>(Originally posted on : CoinJournal: Latest Crypto News, Altcoin News and Cryptocurrency Comparison )<\/b><br \/>\n<\/p>\n<div data-site=\"CoinJournal\">\n<div class=\"-mt-16  mb-8  lg:-mt-20  rounded-md  shadow-md\">\n<div class=\"relative  z-10  post-article-image  rounded  overflow-hidden\" data-site=\"CoinJournal\">\n<picture><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/2025\/12\/20251229_1512_Crypto-Firm-Scrutiny_simple_compose_01kdmqrpvpejkas9sb6fv9fvvy-smartcrop-750x375.webp\" type=\"image\/webp\" media=\"(min-width: 750px)\"\/><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/2025\/12\/20251229_1512_Crypto-Firm-Scrutiny_simple_compose_01kdmqrpvpejkas9sb6fv9fvvy-smartcrop-363x181.webp\" type=\"image\/webp\"\/><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/2025\/12\/20251229_1512_Crypto-Firm-Scrutiny_simple_compose_01kdmqrpvpejkas9sb6fv9fvvy-smartcrop-750x375.png\" type=\"image\/jpeg\" media=\"(min-width: 750px)\"\/><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/2025\/12\/20251229_1512_Crypto-Firm-Scrutiny_simple_compose_01kdmqrpvpejkas9sb6fv9fvvy-smartcrop-363x181.png\" type=\"image\/jpeg\"\/>\n<\/picture>                            <\/div>\n<\/p><\/div>\n<ul>\n<li data-start=\"70\" data-end=\"687\">Alt5 Sigma faces scrutiny after missing filings and hiring an auditor whose licence expired earlier this year.<\/li>\n<li data-start=\"70\" data-end=\"687\">Trump-linked crypto deal draws attention as governance gaps and auditor penalties raise oversight concerns.<\/li>\n<li data-start=\"70\" data-end=\"687\">Board exits, audit delays, and legal disclosures put Alt5 Sigma at risk of Nasdaq delisting.<\/li>\n<\/ul>\n<p data-start=\"70\" data-end=\"687\">Alt5 Sigma, a US-listed crypto firm that struck a high-profile deal with a Trump-backed digital asset venture, is facing growing regulatory and governance scrutiny after a series of audit, filing, and board-level disruptions, <a href=\"https:\/\/www.ft.com\/content\/342d01b2-bf0f-47d7-bb61-0f1aa0997ffd\">Financial Times reported<\/a>.<\/p>\n<p data-start=\"70\" data-end=\"687\">The company is yet to publish overdue financial results and is now working with an audit firm whose licence to practise lapsed earlier this year.<\/p>\n<p data-start=\"70\" data-end=\"687\">The developments have raised fresh questions about oversight at the company just months after it committed to holding large volumes of a politically connected crypto token.<\/p>\n<p data-start=\"689\" data-end=\"1112\">Alt5 Sigma drew attention in August when it agreed to buy and hold tokens issued by <span class=\"hover:entity-accent entity-underline inline cursor-pointer align-baseline\"><span class=\"whitespace-normal\">World Liberty Financial<\/span><\/span>, a crypto project backed by the Trump family.<\/p>\n<p data-start=\"689\" data-end=\"1112\">The deal also saw Eric Trump join Alt5 Sigma as a board observer, while World Liberty Financial became an investor in the company.<\/p>\n<p data-start=\"689\" data-end=\"1112\">Since then, Alt5 Sigma has struggled to meet its regulatory obligations, triggering concerns among investors and regulators.<\/p>\n<h2 data-start=\"1114\" data-end=\"1138\">Auditor under review<\/h2>\n<p data-start=\"1140\" data-end=\"1447\">In December, Alt5 Sigma appointed Victor Mokuolu CPA PLLC as its new auditor.<\/p>\n<p data-start=\"1140\" data-end=\"1447\">However, filings in Texas show that the firm\u2019s licence to practise expired in August and had not been renewed as of December 26.<\/p>\n<p data-start=\"1140\" data-end=\"1447\">Under state rules, the firm is barred from carrying out audit work until the licence is reactivated.<\/p>\n<p data-start=\"1449\" data-end=\"1777\">Alt5 Sigma told Financial Times, its auditor is undergoing a mandatory peer review under Texas State Board of Accountancy regulations, with the process expected to conclude by the end of January 2026.<\/p>\n<p data-start=\"1449\" data-end=\"1777\">The company said no audit or review of its financial statements will be issued until the firm\u2019s licence becomes active.<\/p>\n<p data-start=\"1779\" data-end=\"1973\">While Victor Mokuolu renewed his personal certified public accountant licence on August 31, his firm\u2019s licence remained inactive at year-end.<\/p>\n<h2 data-start=\"1975\" data-end=\"2004\">Past regulatory penalties<\/h2>\n<p data-start=\"2006\" data-end=\"2343\">The audit firm has previously faced enforcement action.<\/p>\n<p data-start=\"2006\" data-end=\"2343\">In 2023, the Public Company Accounting Oversight Board fined Victor Mokuolu CPA PLLC $30,000 for failing to notify the regulator about audits of six public companies it conducted in 2022.<\/p>\n<p data-start=\"2006\" data-end=\"2343\">The Texas board imposed an additional $15,000 penalty last year for the same violations.<\/p>\n<p data-start=\"2345\" data-end=\"2669\">The firm has also been working for more than two years to address deficiencies that resulted in a failing grade under the profession\u2019s peer review process in 2023.<\/p>\n<p data-start=\"2345\" data-end=\"2669\">Despite this, it disclosed 30 small-cap audit clients in a recent regulatory filing.<\/p>\n<p data-start=\"2345\" data-end=\"2669\">Mokuolu founded the firm in 2020 after working in the oil and gas industry.<\/p>\n<h2 data-start=\"2671\" data-end=\"2703\">Filing delays and board gaps<\/h2>\n<p data-start=\"2705\" data-end=\"3012\">Alt5 Sigma has not filed its quarterly results for the period ending in late September, placing it at risk of being delisted from <span class=\"hover:entity-accent entity-underline inline cursor-pointer align-baseline\"><span class=\"whitespace-normal\">Nasdaq<\/span><\/span>.<\/p>\n<p data-start=\"2705\" data-end=\"3012\">The company attributed the delay partly to the timeliness and responsiveness of its previous auditor, which formally resigned in November.<\/p>\n<p data-start=\"3014\" data-end=\"3400\">Governance issues have compounded the pressure.<\/p>\n<p data-start=\"3014\" data-end=\"3400\">Chief financial officer Jonathan Hugh, hired around the time of the Trump-linked deal, left after three months.<\/p>\n<p data-start=\"3014\" data-end=\"3400\">Chief executive Peter Tassiopoulos exited in October.<\/p>\n<p data-start=\"3014\" data-end=\"3400\">Board member David Danziger resigned last month, leaving Alt5 Sigma in violation of requirements to maintain an audit committee of a certain size with accounting expertise.<\/p>\n<h2 data-start=\"3402\" data-end=\"3438\">Corporate shifts and disclosures<\/h2>\n<p data-start=\"3440\" data-end=\"3685\">Alt5 Sigma was incorporated in July 2024 by biotech firm JanOne Inc., which merged with Alt5 Sigma and adopted its name in the same month.<\/p>\n<p data-start=\"3440\" data-end=\"3685\">JanOne had previously rebranded in 2019, having earlier operated as Appliance Recycling Centers of America.<\/p>\n<p data-start=\"3687\" data-end=\"4050\">The company says it provides infrastructure that allows financial institutions to integrate with digital assets.<\/p>\n<p data-start=\"3687\" data-end=\"4050\">As of December 8, it held about 7.3 billion $WLFI tokens valued at roughly $1.1 billion.<\/p>\n<p data-start=\"3687\" data-end=\"4050\">Since August, its chair has been Zack Witkoff, co-founder of World Liberty Financial and son of Steve Witkoff, President Donald Trump\u2019s special envoy for peace negotiations.<\/p>\n<p data-start=\"4052\" data-end=\"4317\">Alt5 Sigma has also disclosed that its Canadian subsidiary and former principal were found criminally liable by a Rwandan court in May for offences including illicit enrichment and money laundering.<\/p>\n<p data-start=\"4052\" data-end=\"4317\">That ruling is under appeal, with both parties denying wrongdoing.<\/p>\n<div class=\"post-meta\">\n<hr class=\"mb-6\"\/>\n<h6 class=\"text-3xl  mb-4  text-green-300\">Share this article<\/h6>\n<hr class=\"mb-6\"\/>\n<h6 class=\"text-3xl  mb-4  text-green-300\">Categories<\/h6>\n<hr class=\"mb-6\"\/>\n<h6 class=\"text-3xl  mb-4  text-green-300\">Tags<\/h6>\n<\/p><\/div>\n<\/p><\/div>\n<p><a href=\"https:\/\/coinjournal.net\/news\/trump-linked-crypto-firm-faces-auditor-scrutiny-as-financial-turmoil-deepens\/\">Source link <\/a><br \/>\n<br \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>(Originally posted on : CoinJournal: Latest Crypto News, Altcoin News and Cryptocurrency Comparison ) Alt5 Sigma faces scrutiny after missing filings and hiring an auditor whose licence expired earlier this year. Trump-linked crypto deal draws attention as governance gaps and auditor penalties raise oversight concerns. Board exits, audit delays, and legal disclosures put Alt5 Sigma [&hellip;]<\/p>\n","protected":false},"author":3947362361,"featured_media":65468,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"categories":[35],"tags":[],"_links":{"self":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/65467"}],"collection":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/users\/3947362361"}],"replies":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/comments?post=65467"}],"version-history":[{"count":0,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/65467\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media\/65468"}],"wp:attachment":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media?parent=65467"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/categories?post=65467"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/tags?post=65467"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}