U.S. Bankruptcy Judge Christopher Lopez said he would not approve the sale, while citing concerns about transparency in the auction.
A federal judge in Texas rejected the auction sale of Alex Jones’ Infowars to The Onion satirical news outlet, criticizing the bidding for the conspiracy theory platform as flawed as well as how much money families of the 2012 Sandy Hook Elementary shooting stood to receive.
The decision late Tuesday night is a victory for Jones, whose Infowars site was put up for sale as part of his bankruptcy case in the wake of the nearly $1.5 billion that courts have ordered him to pay over falsely calling one of the deadliest school shootings in U.S. history a hoax. Families of the Sandy Hook victims had backed The Onion’s bid.
Following a two-day hearing in Houston, U.S. Bankruptcy Judge Christopher Lopez said he would not approve the sale, while citing concerns about transparency in the auction. That clears the way for Jones to keep — at least for now — Infowars, which is headquartered in Austin, Texas. The Onion had planned to kick Jones out and relaunch Infowars in January as a parody.
“We are deeply disappointed in today’s decision, but The Onion will continue to seek a resolution that helps the Sandy Hook families receive a positive outcome for the horror they endured,” Ben Collins, CEO of The Onion’s parent company, Global Tetrahedron, posted on social media late Tuesday.
Lopez cited problems — but no wrongdoing — with the auction process. He said he said he did not think that those involved in the auction acted in bad faith and that everyone “put their best foot forward and tried to play within the rules.”
Still, Lopez said he said he did not want another auction and left it up to the trustee who oversaw the auction to determine the next steps.
The Onion offered $1.75 million in cash and other incentives for Infowars’ assets in the auction. First United American Companies, which runs a website in Jones’ name that sells nutritional supplements, bid $3.5 million.
The bids were a fraction of the money that Jones has been ordered to pay in defamation lawsuits in Connecticut and Texas filed by relatives of victims of the Sandy Hook shooting. Lopez said the auction outcome “left a lot of money on the table” for families.
“You got to scratch and claw and get everything you can for them,” Lopez said.
Christopher Mattei, a lawyer for the Sandy Hook families who sued Jones in Connecticut, said they were disappointed in the judge’s ruling.
“These families, who have already persevered through countless delays and roadblocks, remain resilient and determined as ever to hold Alex Jones and his corrupt businesses accountable for the harm he has caused,” Mattei said in a statement. “This decision doesn’t change the fact that, soon, Alex Jones will begin to pay his debt to these families and he will continue doing so for as long as it takes.”
Jones, who did not attend the proceedings, went back on his program late Tuesday to celebrate the judge’s ruling, calling the auction “ridiculous” and “fraudulent.”
Although The Onion’s cash offer was lower than that of First United American, it also included a pledge by many of the Sandy Hook families to forgo $750,000 of the auction proceeds due to them and give it to other creditors, providing the other creditors more money than they would receive under First United American’s bid.Alex Jones’ bankruptcy case
The sale of Infowars is part of Jones’ personal bankruptcy case, which he filed in late 2022 after he was ordered to pay nearly $1.5 billion in defamation lawsuits in Connecticut and Texas filed by relatives of victims of the Sandy Hook shooting.
Jones repeatedly called the shooting that killed 20 children and six educators a hoax staged by actors and aimed at increasing gun control. Parents and children of many of the victims testified in court that they were traumatized by Jones’ conspiracies and threats from his followers.
Jones has since acknowledged that the Connecticut school shooting happened.
Most of the proceeds from the sale of Infowars, as well as many of Jones’ personal assets, will go to the Sandy Hook families. Some proceeds will go to Jones’ other creditors.Auction overseer defends his decision
Trustee Christopher Murray had defended The Onion’s bid in court this week, testifying that he did not favor either bidder over the other and was not biased.
He also revealed that First United American submitted a revised bid in recent days, but he said he could not accept it because the Sandy Hook families in the Connecticut lawsuit objected.
The Onion valued its bid, with the Sandy Hook families’ offer, at $7 million because that amount was equal to a purchase price that would provide the same amount of money to the other creditors.
In a court filing last month, Murray’s lawyers called First United American’s request to disqualify The Onion’s bid a “disappointed bidder’s improper attempt to influence an otherwise fair and open election process.”
Jones’ attorney, Ben Broocks, noted that the Sandy Hook lawsuit judgments could be overturned in pending appeals and got Murray to acknowledge that the Sandy Hook families’ offer in The Onion bid could fall apart if that happens. That’s because the percentage of the auction proceeds they would be entitled to could drop sharply and they wouldn’t get the $750,000 from the sale to give to other creditors.
Up for sale were all the equipment and other assets in the Infowars studio in Austin, as well as the rights to its social media accounts, websites, video archive and product trademarks. Jones uses the studio to broadcast his far-right, conspiracy theory-filled shows on the Infowars website, his account on the social platform X and radio stations. Many of Jones’ personal assets also are being sold.
Jones has set up another studio, websites and social media accounts in case The Onion wins approval to buy Infowars and kicks him out. Jones has said he could continue using the Infowars platforms if the auction winner is friendly to him.
Jones is appealing the money he has been ordered to pay in judgments citing free speech rights.

Albertsons is terminating its attempted merger with Kroger and suing the rival company a day after a federal judge blocked the deal.
The grocery industry’s biggest potential alliance is toast.
Albertsons said Wednesday that it is terminating Kroger’s attempted $24.6 billion acquisition, a day after a federal judge blocked the deal due to antitrust concerns.
In addition, Albertsons filed a lawsuit in the Delaware Court of Chancery against its rival, saying it failed to exercise «best efforts» to get approval for the deal.
«Rather than fulfill its contractual obligations to ensure that the merger succeeded, Kroger acted in its own financial self-interest, repeatedly providing insufficient divestiture proposals that ignored regulators’ concerns», Albertsons’ General Counsel and Chief Policy Officer Tom Moriarty said in a statement.
Albertsons is seeking «billions of dollars» in damages and a $600 million termination fee, which it says it is entitled to under its negotiating terms with Kroger.
A Kroger spokesperson called the claims «baseless and without merit.»
«Kroger refutes these allegations in the strongest possible terms, especially in light of Albertsons’ repeated intentional material breaches and interference throughout the merger process», the spokesperson said. «This is clearly an attempt to deflect responsibility following Kroger’s written notification of Albertsons’ multiple breaches of the agreement, and to seek payment of the merger’s break fee, to which they are not entitled.»
Albertsons’ Moriarty called Kroger’s approach to getting regulatory approval «willfully deficient» and said the suit is intended to «protect the interests of our shareholders, associates, and consumers.»
The suit marks a decisive end of the largest proposed supermarket merger in US history, which faced challenges from the Federal Trade Commission and two US court cases.
Following Tuesday’s injunction, both companies told BI they were disappointed by the ruling and would explore their options for next steps.
Lawyers for each side previously said the deal would be called off if it were blocked in Washington.