X Strategies sues co-founder over alleged $5 million embezzlement

  • X Strategies sued co-founder Derek Utley over alleged misappropriation of company funds.
  • At least $5 million was allegedly embezzled during a yearslong scheme, according to the lawsuit.
  • The complaint was filed Monday in federal court in South Florida.

X Strategies, the political consulting firm co-founded and led by Alex Bruesewitz, has sued Derek Utley, alleging he embezzled at least $5 million over several years. The lawsuit says Utley, the company’s former chair and chief financial officer, used company funds to support luxury sports cars, designer clothing, first-class travel and gambling. Filed Monday in federal court in South Florida, the complaint includes claims for civil racketeering, civil theft, fraud and breach of fiduciary duty. X Strategies maintains the Trump War Room and Team Trump accounts on X and helps manage President Donald Trump’s TikTok presence. Utley disputes the allegations and said he will address them through the legal process; Bruesewitz declined to comment, while the White House did not immediately respond.

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