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Whistleblower gives Elon Musk boost ahead of US $ 44 billion Twitter trial

Twitter and Musk have sued each other, with Twitter asking a judge on the Delaware Court of Chancery to order Musk to close the deal. A trial is scheduled for October 17.

The complaint by Zatko was filed last month with the US Securities and Exchange Commission (SEC) and the Department of Justice, as well as the Federal Trade Commission (FTC).

The complaint, which was first published by the Washington Post and CNN, was also sent to congressional committees.

“We are reviewing the redacted claims that have been published but what we have seen so far is a false narrative that is riddled with inconsistencies and inaccuracies,” Twitter Chief Executive Parag Agrawal told employees in a memo.

The Senate Judiciary Committee’s top Republican, Chuck Grassley, said the complaint raised serious national security concerns and privacy issues and needed to be investigated.

“Take a tech platform that collects massive amounts of user data, combine it with what appears to be an incredibly weak security infrastructure, and infuse it with foreign state actors with an agenda, and you’ve got a recipe for disaster,” he said .

The FTC declined to comment. A spokesperson for the Senate Intelligence Committee said it had received the complaint and was in the process of setting up a meeting to discuss the allegation.

The whistleblower document alleges Twitter prioritized user growth over reducing spam, with executives eligible to win individual bonuses of as much as US $ 10 million tied to increases in daily users, and nothing explicitly for cutting spam.

Twitter’s real regulatory risk lies in whether or not the documentary evidence shows “knowing or reckless misleading” of investors or regulators, said Howard Fischer, a partner at Moses & Singer and a former SEC attorney.

‘GIVE A LITTLE WHISTLE’

Musk could not be reached for comment but reacted on Twitter with memes and emoji of a robot. Musk’s legal team has subpoenaed Zatko, CNN reported after the whistleblower disclosure was made public.

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