Two senior House Democrats have opened an investigation into whether Paramount and Skydance Media engaged in improper dealings with President Donald Trump to secure federal approval of their $8 billion merger, raising concerns that the companies may have violated anti-bribery statutes.
In a letter to David Ellison, CEO of the newly formed Paramount Skydance Corporation, Representatives Jamie Raskin of Maryland and Frank Pallone of New Jersey alleged that Paramount’s $16 million settlement with Trump, as well as subsequent editorial changes at CBS, may have been part of a broader effort to win favor with the Trump administration. “Two wrongs do not make a right—illegitimate demands from the FCC or the Administration do not absolve your company from wrongdoing,” the lawmakers wrote.
The merger was approved by the Federal Communications Commission in late July and officially closed on August 7, shortly after Paramount agreed to resolve Trump’s lawsuit against its subsidiary CBS News over a “60 Minutes” interview with then-candidate Kamala Harris. Trump had claimed the interview was deceptively edited. Paramount defended the segment as routine editing, but settled the case nonetheless, a move Raskin and Pallone described as a potential “illegal bribe.”
The lawmakers also cited Trump’s own public comments boasting of an additional $20 million “side deal” in advertising, public service announcements, or programming from the “new Owners.” Skydance insiders have denied such a deal existed, but Raskin and Pallone noted reporting suggesting “multiple conversations with the President leading up to the deal being approved by the FCC.” They argued that the alleged arrangement “appears to be an offer of payment and benefits to a government official designed to achieve a specific outcome from the government—in other words, a bribe.”
The probe extends to CBS programming decisions made during the merger process. Paramount recently canceled “The Late Show with Stephen Colbert,” the network’s top-rated late-night program and a frequent Trump critic. Colbert himself had labeled the $16 million settlement a “big fat bribe.” The lawmakers highlighted reports that Skydance also agreed to install an ombudsman for two years to review CBS News’ editorial practices, eliminate diversity hiring initiatives, and ensure the company’s programming reflected “a diversity of viewpoints from across the political and ideological spectrum,” conditions that mirrored the Trump administration’s agenda.
Adding to the controversy, FCC Chairman Brendan Carr, a Trump appointee, praised Skydance’s commitments as part of the merger approval, calling it a step toward ending DEI programs. Meanwhile, Raskin and Pallone questioned the role of Oracle founder Larry Ellison, David Ellison’s father, who reportedly met privately with Trump several times while also contributing up to $6 billion toward the Paramount deal.
The lawmakers gave Paramount two weeks to provide internal communications involving Trump, the White House, the FCC, and the Trump Organization. “If Skydance offered a side deal of up to $20 million worth of advertisement or programming to President Trump in order to receive regulatory approval for the merger with Paramount, these actions would run afoul of federal and state anti-bribery statutes,” they wrote.
Industry fallout has already begun. Several CBS newsroom leaders reportedly left the network over the settlement negotiations, while the Writers Guild of America applauded the probe, stating: “The public deserves transparency about the merger and any commitments Paramount and Skydance made to the Trump Administration to secure FCC approval.”
Neither Paramount nor Ellison have commented on the allegations.
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