Far-right Gateway Pundit sought bankruptcy protection in ‘bad faith’ to avoid 2020 defamation suits, judge rules

A federal judge threw out a bankruptcy case filed by The Gateway Pundit, finding that the far-right conspiracy site was seeking bankruptcy protections in “bad faith” to avoid costly defamation lawsuits stemming from its publication of 2020 election lies.

The ruling Wednesday from US bankruptcy judge Mindy Mora means the defamation cases will move forward. Two Georgia election workers and a former Dominion Voting Systems executive sued the outlet over its false claims that they rigged the 2020 results. The Gateway Pundit denies wrongdoing and said those cases forced them into bankruptcy.

The Gateway Pundit “remains both balance sheet and cash flow solvent,” Mora wrote in her ruling. “There is no present financial distress, no looming foreclosure sale, no prospect of a market crash. There is only the (defamation cases) in which [The Gateway Pundit] must defend itself. That’s not a basis for bankruptcy relief; it’s the justice system in operation.”

Lawyers for The Gateway Pundit did not immediately respond to a CNN request for comment.

Brittany Williams, a lawyer from Protect Democracy representing the Georgia election workers, Ruby Freeman and Shaye Moss, said the judge “saw through The Gateway Pundit’s transparent attempt to abuse the bankruptcy process to avoid accountability.”

“We will continue to work to ensure that no abuse of the legal system further delays justice for Ms. Freeman and Ms. Moss,” Williams said in a statement Thursday.

Over the years, The Gateway Pundit has become infamous for its publishing of hyper-partisan blog posts, many of which advance dangerous lies and conspiracy theories. Founder Jim Hoft, a supporter of Trump and MAGA loyalist, has used the website to promote the former president, while disparaging his opponents.

The Gateway Pundit is one of several right-wing media outlets grappling with the fallout stemming from its promotion of 2020 election lies. Fox News paid a record $787 million to settle a massive defamation lawsuit brought by Dominion Voting Systems, an election technology company. And the right-wing network still faces a similar lawsuit from Smartmatic, another election company.

Meanwhile, the far-right channel One America News settled a lawsuit with Smartmatic this year. And the right-wing cable outlet Newsmax faces lawsuits from both Smartmatic and Dominion.

CNN’s Oliver Darcy contributed reporting.