Tesla Inc. Chief Executive Elon Musk pointed in a Thursday court filing to a whistleblower’s “devastating analysis” as he alleged “fraud” on the part of Twitter Inc. executives, a dynamic that he says supports his attempt to invalidate his $44 billion deal for the company.
Peiter “Mudge” Zatko, Twitter’s former security chief, spoke of lapses in the social-media company’s security policies, most recently in testimony to the Senate Judiciary Committee on Tuesday. A judge ruled last week that Musk could include information from Zatko in his counterclaim against Twitter, and his legal team filed a 200-plus page updated complaint Thursday afternoon.
See more: Twitter whistleblower tells Congress the company was ’10 years behind’ industry security standards
Musk’s lawyers referred to Zatko’s commentary as “what can only be described as one of the most significant whistleblower complaints in recent history” in a filing made in Delaware Chancery Court. The court is scheduled to hold a five-day trial in October as Musk seeks to back out of his Twitter acquisition and the social-media company looks to make him go through with the deal under the agreed-upon terms.
Musk’s lawyers said Thursday that Twitter TWTR, +0.57% responded to Zatko’s internal inquiries by doing “exactly what it did to Musk when he started raising questions about the false and spam accounts” and monetizable daily active user [mDAU] numbers on Twitter’s platform, as Twitter fired Zatko and “stonewalled” Musk.
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