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Musk filing claims “conspiracy among Twitter executives” to deceive public


From ARSTECHNICA.COM

Elon Musk filed an amended countersuit against Twitter, claiming the allegations by Twitter’s former security chief, Peiter “Mudge” Zatko, give Musk new legal grounds to kill the merger deal.

“Needless to say, the newest revelations make undeniably clear that the Musk Parties have the full right to walk away from the Merger Agreement—for numerous independently sufficient reasons,” the amended countersuit claims. “In short, the Musk Parties and Twitter’s many other investors were sold a different company than the Twitter that actually exists—one that was more valuable, more popular, more secure, and more compliant with governing law.”

The amended countersuit was filed under seal last week and a public version was released yesterday. Delaware Court of Chancery Judge Kathaleen McCormick had granted Musk’s request to amend the countersuit but rejected his attempt to delay the trial by at least four weeks, so the trial is still scheduled to begin October 17.

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Musk’s original countersuit focused primarily on his unproven claim that Twitter lied about spam data in its public disclosure that less than 5 percent of its monetizable daily active users (mDAU) are spam or fake. Musk’s amended countersuit says the alleged mDAU misrepresentations “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.”… (Read more)

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