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Elon Musk accuses Twitter of ‘fraud’ in takeover lawsuit

Elon Musk accused Twitter of misleading him about the number of users. The Blue Bird social network denies the allegations.

New turn. Multibillionaire and Tesla CEO Elon Musk accuses Twitter of “fraud” in the context of a lawsuit over a $44 billion (€43.2 billion) deal he signed to acquire the social network, but is trying to tear it up.

According to a 165-page court document, Elon Musk, in an argument filed Thursday night in a Delaware business court, accuses Twitter of stealing the number of monetized social media accounts.

Between the richest man on the planet and the social network is a lawsuit. Elon Musk’s lawyers accuse Twitter of “hiding the truth” about the number of 238 million monetized daily users that the social network claims.

65 million users less?

There are about 65 million fewer, they say, and “most of the ads” will only reach “less than 16 million users, which is a small fraction” of what Twitter claims.

The complaint, which calls social media “misrepresentation” a “sin,” alleges that “Twitter desperately blocked the spread of information in a desperate attempt to prevent (Elon Musk) from detecting the scam.”

In mid-July, Twitter sued Elon Musk in the Delaware Court of Chancery, a court specializing in commercial law, to force him to honor its $44 billion (€43.2 million) acquisition obligation. The trial is due to begin on October 17th.

agreement for 53.20 euros per share

Two weeks later, the richest man in the world responded with a “confidential” complaint. Elon Musk took to Twitter in April, after which he signed a buyback agreement at $54.20 (€53.20) per share.

He unilaterally shut it down in early July on the grounds that the San Francisco-based company allegedly lied about the proportion of automated and spam accounts on its platform.

Tesla boss accuses board of hiding the true proportion of inaccurate Twitter accounts estimates it at less than 5%.

White papers filed by the platform with a U.S. stock police officer “contain numerous material misstatements and omissions that distort the value of Twitter and led Elon Musk to agree to buy the company at an inflated price,” the businessman’s lawyers say.

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