Musk cites former Twitter security chief as justification for not taking over

A new email from billionaire Elon Musk discusses allegations made by Pieter “Maj” Zatko, the former Twitter security officer who attacked the pSAMUEL CORUM cybersecurity system.

Elon Musk, in a new tweet, cited the allegations made by the company’s former security chief, Peter Zatko, to justify the abandonment of his takeover plan, which was originally announced in early July, with additional arguments.

“Allegations relating to certain facts known to Twitter before or on July 8, 2022, but not disclosed to parties representing Musk on or before that date, have since surfaced and provide additional and clear reasons for terminating the takeover agreement,” wrote Mike. Ringler, one of Mr Musk’s lawyers, in a letter to Twitter’s chief legal officer on Monday and made public on Tuesday.

Mr. Ringler discusses allegations made by Pieter “Maj” Zatko, a former Twitter security chief who attacked the platform’s ineffective cybersecurity and accused executives of lying about ways to combat fake accounts and spam.

The claims of Mr. Zatko, who posed as a whistleblower, were forwarded to two US regulators as well as the Department of Justice.

A lawyer for Tesla’s boss clarifies that these new elements, in his opinion, are not necessary to justify the breach of contract, but are additional arguments “in the event that the July 8 notice of breach is found to be invalid, whatever” be the reason. .

Twitter reacted to Mr. Ringler’s letter, deeming the reason given as “disrespectful and unfounded.”

“It is based solely on statements made by a third party that Twitter has previously claimed are rife with inconsistencies and inaccuracies and obscure important context,” wrote William Savitt, one of the company’s lawyers.

The social network, which denies any breach of the deal it reached with Mr Musk, intends to complete the takeover at an agreed price of $54.20 per share, or roughly $44 billion.

– “Great victory” –

Mr. Musk also filed a document with the police officer of the US Stock Exchange, the SEC, to warn him of additional reasons to justify not buying.

In early July, Mr. Musk announced that he was violating a takeover agreement with Twitter’s board of directors, accusing the company of failing to honor its obligations by failing to report the exact number of fake accounts and spam.

The decision prompted Twitter to sue the billionaire entrepreneur to force him to comply with the terms of the agreement. The trial, which is expected to last five days, will begin on October 17 in Specialized Court in Delaware.

Mr. Musk’s legal team asked Mr. Zatko to provide documents and testify in this proceeding, and the former Twitter employee’s lawyers accepted the request.

Wedbush Securities’ Dan Ives said Mr. Zatko’s allegations, weeks away from trial, are potentially “a huge victory for Musk that could complicate the Twitter case.”

According to the analyst, this event is likely to push the two sides to negotiate and find a compromise before October 17, which could take the form of a takeover of Twitter by Mr. Musk at a revised downward price.

Back to top button

Adblock Detected

Please consider supporting us by disabling your ad blocker.