Logo

Elon Musk fired another salvo in his bid to cancel the $44 billion buyout of Twitter, citing claims made by Twitter whistleblower Peiter “Mudge” Zatko as further proof that the social media company hasn’t been forthcoming about its “far-reaching misconduct.”

Mike Ringler, Musk’s lawyer, wrote a letter to Twitter’s top legal counsel on Monday — a follow-up to Musk’s initial July 8 notice to the Securities and Exchange Commission seeking to terminate his acquisition of Twitter.

“Allegations regarding certain facts, known to Twitter prior to and as of July 8, 2022, but undisclosed to the Musk Parties prior to and at that time, have since come to light that provide additional and distinct bases to terminate the Merger Agreement,” wrote Ringler, from the law firm Skadden, Arps, Slate, Meagher & Flom LLP.

The attorney wrote that the second notice is “not legally necessary” to terminate the merger, but was filed in case the July 8 notice was “determined to be invalid for any reason.”

Musk has filed to amend his countersuit against Twitter to include the whistleblower’s complaints, CNBC’s David Faber reported Tuesday morning. The Post first reported Musk’s plans to amend the countersuit last week. 

The Post reached out to Twitter for comment on Tuesday.

Musk’s notice from Monday cites accusations made by Zatko, who “alleges far-reaching misconduct at Twitter — all of which was disclosed to Twitter’s directors and senior executives, including [CEO] Parag Agrawal — that is likely to have severe consequences for Twitter’s business.”

According to Ringler, Zatko accused Twitter of being in “material noncompliance” with its obligations as spelled out in a 2011 agreement with the Federal Trade Commission.


  Musk cited allegations by Peiter “Mudge” Zatko, a former head of cybersecurity at Twitter. He alleged that the company failed to adhere to an agreement with the federal government to adequately safeguard user data. The Washington Post via Getty Im Musk cited allegations by Peiter “Mudge” Zatko, a former head of cybersecurity at Twitter. He alleged that the company failed to adhere to an agreement with the federal government to adequately safeguard user data. The Washington Post via Getty Im

The notice cited other claims made by Zatko, including the allegation that Twitter is “uniquely vulnerable to systemic disruption resulting from data center failures or malicious actors.”

Ringler alleges that the company knew about Zatko’s complaints but “ignored and sought to obfuscate.”

“These allegations, if true, demonstrate that Twitter has breached the following provisions of the Merger Agreement, thereby giving the Musk Parties the right to terminate the Merger Agreement pursuant to its terms as more fully described below,” Ringler wrote.


  Twitter wants a Delaware court to compel Musk to follow through on his $44 billion acquisition. AFP via Getty Images Twitter wants a Delaware court to compel Musk to follow through on his $44 billion acquisition. AFP via Getty Images

Zatko — a software engineer who became a star in the hacker community after leading a 1990s-era group called Cult of the Dead Cow — filed a complaint with the SEC earlier this month alleging widespread dysfunction at Twitter.

Zatko alleges that Twitter has failed to adhere to a deal with the Federal Trade Commission to plug the cybersecurity holes that led to the hacks.

Zatko accused Twitter of failing to upgrade its server infrastructure, most of which he says is out of date — thus leaving it vulnerable to severe breaches.

Twitter has denied the allegations. It accused Zatko of retaliating after he was fired for poor performance.

The company has sued Musk in Delaware. It wants a judge to force Musk to complete the acquisition of the San Francisco-based social media site. The five-day trial is slated to begin Oct. 17.

Comments
anonymous profile image
Powered by RoundtableBuilt on infrastructure designed for real-time media. Learn more at RTB.io.© Roundtable 2026. By using this site you agree to the Terms of Use and Privacy Policy