ABC News Faces Backlash Over Trump Family Report

ABC News is facing potential legal repercussions after a disputed report involving the Trump family and a venture capital firm. The firm, 1789 Capital, is evaluating legal options over a report they claim contained false information.

We still have our attorneys completely plugged into this, and we’re not taking options off the table because they can’t get away with writing completely false things and hit jobs,” said Alexa Henning, spokesperson for 1789 Capital.

Henning emphasized the firm’s commitment to challenge ABC News and ensure the truth is known. ABC News had previously published a controversial report accusing companies linked to Donald Trump Jr. and Eric Trump of securing substantial government contracts.

The article specifically raised concerns about a $2.5 billion investment by 1789 Capital in Anduril Industries, a defense contractor. Despite initial claims, the actual investment from 1789 Capital was around $50 million, part of Anduril’s broader funding efforts.

The original report, titled “Trump sons’ investments have won billions in Pentagon contracts since his election,” was later revised and republished by ABC News. The updated piece corrected various errors and clarified that Trump Jr. is not part of the firm’s investment decision-making committee. ABC News changed the headline to indicate concerns about potential conflicts of interest.

Observers are questioning ABC’s actions and the lack of an initial explanation for the article’s deletion. Henning stated, no evidence of wrongdoing existed, while the original story quickly spread online and was shared by notable figures like California Governor Gavin Newsom.

The revised article included an editor’s note acknowledging mistakes but offered no details of the errors or an apology to 1789 Capital. Henning criticized the revision as inadequate, demanding full transparency from ABC News.

ABC News had previously settled a defamation lawsuit with Donald Trump for $16 million in 2024. The suit stemmed from an erroneous claim by anchor George Stephanopoulos that Trump was found liable for rape.

If you don’t understand investments in venture capital growth, you shouldn’t be reporting on it,” said Henning, expressing frustration about the report’s quality.

Reports suggested the original story might have been published prematurely, a claim Henning disputes. She insists the editor stood by the story at publication. Henning stated, They know they were wrong. They just don’t want to admit it.

Senator Bernie Moreno has called for an FCC investigation into ABC’s reporting practices. Henning attributes the flawed report to a combination of carelessness and an eagerness to negatively portray the Trump family. According to Henning, several ABC insiders have admitted the issue is a huge mess up.

ABC News has not responded to inquiries for comment. The situation remains under scrutiny as 1789 Capital considers further legal actions.