Elon Musk points to Twitter whistleblower’s allegations as another reason to drop acquisition

Musk's representatives filed a second letter of termination on August 29th

Elon Musk says allegations brought forward by former Twitter executive Peiter “Mudge” Zatko are another reason for his agreement to buy Twitter to be terminated.

A recent filing with the SEC, dated August 29th, states the allegations show Twitter breached six separate provisions, giving Musk the right to terminate the agreement.

You can read more about Zatko’s allegations here.

“The facts supporting these breaches, which were withheld from the Musk parties but known to Twitter as of the date of the merger agreement and at the time of the July 8 termination notice, provided additional bases to terminate the merger agreement as of that date and provide additional bases to terminate the merger agreement today” Musk’s legal team states in the document.

The August 29th document isn’t the first termination letter Musk’s team has filed to back out of the deal to buy Twitter. The first one, filed July 8th, is similar to the most recent letter, as pointed out by The Verge. Both letters contain accusations that Twitter misled the SEC, with the second one including Zatko’s allegations.

In response, Twitter states the August 29th letter is “invalid and wrongful under the agreement.”

“It is based solely on statements made by a third party that, as Twitter has previously stated, are riddled with inconsistencies and inaccuracies and lack important context. Contrary to the assertions in your letter, Twitter has breached none of its representations or obligations under the agreement.”

A Judiciary Committee will investigate Zatko’s explosive allegations on September 13th. 

Source: SEC Via: The Verge