Elon Musk delivered a second letter of deal termination to Twitter Inc., following the world’s richest man’s subpoena of a whistleblower seeking details on how the social media platform checks spam accounts. The firm deceived Elon Musk and authorities about the actual number of spam or bot accounts on the microblogging platform when it made a $44 billion offer for Twitter in July.
Musk sent a letter in July claiming that the company’s inability to prove how many bots and spam accounts were on its service was a reason to back out of the deal.
According to Twitter’s response, his attempt to pull out of the agreement is “invalid and unjust”.
According to a court document filed on Monday, Mr. Musk has asked former Twitter security chief and whistleblower Peiter Zatko for information mostly regarding how the microblogging network measures spam accounts.
Famous hacker “Mudge” Mr. Zatko said in his lawsuit, which was made public last week, that the corporation misrepresented its security measures and gave user growth priority above eliminating spam.
The subpoena to Mr. Zatko comes in the run-up to a five-day trial at the Delaware Court of Chancery set to begin on October 17. The billionaire Musk has been claiming for months that he may back out of the USD 44 billion transaction since the company he committed to buy undercounted its fake and spam accounts. Due to Musk’s withdrawal from the deal, a pivotal legal dispute will take place in October.
According to the letter released on Tuesday, the additional information supports his argument that Twitter is in “material noncompliance” with its obligations related to data privacy and consumer protection legislation and that the firm is exposed to hostile actors and data centre outages.