New York CNN Business —
Elon Musk’s legal team on Thursday filed a public version of its updated counterclaims in response to Twitter’s lawsuit seeking to force the billionaire to follow through with his $44 billion deal to buy the company.
The amended argument, which was originally filed under seal last week, draws on claims by former Twitter head of security Peiter “Mudge” Zatko, who recently blew the whistle on the company’s alleged information security vulnerabilities. A Delaware judge overseeing the case ruled last week that Musk’s team could update its claims based on Zatko’s disclosure.
In the amended counterclaims, Musk’s team alleged that Zatko’s disclosure and the events surrounding it “have revealed that the misrepresentations regarding mDAU [monetizable daily active users] were only one component of a broader conspiracy among Twitter executives to deceive the public, its investors, and the government about the dysfunction at the heart of the company.”
Musk’s original argument centered on allegations that Twitter has misrepresented the number of false and spam accounts on its platform and used the mDAU metric to publicly report its growth while using other metrics internally. Twitter, by contrast, accuses Musk of using bots as a pretext to exit a deal that he developed buyer’s remorse over after a market decline.
The new counterclaims from Musk’s team point to allegations by Zatko that Twitter suffers information security vulnerabilities, that it has infringed...
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