In addition to denying the proposed deal, a federal judge told the Chapter 7 trustee that he was no longer authorized to sell Infowars' assets.

A federal bankruptcy judge on Wednesday rejected a proposal to hold a second auction for assets owned by Alex Jones’ right-wing conspiracy website Infowars. “We’re not doing that any more,” Judge Christopher Lopez said in a hearing in Houston’s downtown courtroom.

The decision complicates a proposed sale of Jones' Infowars platform, and could spur divisions between families who sued Jones and won nearly $1.3 billion in Connecticut court cases and those who won $50 million in Texas courts.