Elon Musk accuses Twitter of 'fraud' in legal battle over takeover

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Elon Musk accuses Twitter of “fraud” in legal battle over takeover

Elon Musk accuses Twitter of having “hidden the truth” about the number of monetizable accounts on the social network.

The multi-billionaire and Tesla boss Elon Musk accuses Twitter of 'fraud' in lawsuit over $44 billion deal he signed to acquire the social network but is seeking to break up .

Elon Musk, in arguments filed Thursday evening in a Delaware state business court, accuses Twitter of defrauding the social network's number of monetizable accounts, according to this 165 court document. pages consulted Friday by AFP.

A legal battle is underway between the richest man on the planet and the social network.

Lawyers for Elon Musk accuse Twitter of hiding the truth about the social network's claimed number of 238 million monetizable daily users.

According they are about 65 million less and the majority of ads would only appear to less than 16 million users, a fraction of what Twitter claims.

The complaint, which calls the social network's misrepresentations a sin, claims that Twitter frantically blocked information from circulating in a desperate attempt to prevent [Elon Musk] from uncovering the fraud.

In mid-July, Twitter sued Elon Musk before a court specializing in business law in Delaware, to force him to honor his acquisition commitment for 44 billion dollars. The trial is due to start on October 17.

Two weeks later, the richest man in the world had counterattacked with a confidential complaint.

Twitter recently sued Elon Musk to force him to honor his $44 billion acquisition commitment.

< p class="e-p">Elon Musk approached Twitter in April, then signed a buyout deal for $54.20 a share.

He unilaterally terminated it in early July, claiming the San Francisco-based company allegedly lied about the proportion of rogue accounts and spam on its platform.

The Tesla boss accuses board of covering up true proportion of inauthentic accounts. Twitter estimates it to be less than 5%.

The official documents filed by the platform with the American stock market policeman contain numerous material misrepresentations and omissions which distort the value of Twitter and which led Elon Musk to agree to buy the company at an inflated price, assure lawyers for the businessman.

Twitter's strategy, they continue, consisted in playing hide and seek to prevent as long as possible the #x27;buyer to discern the truth.

Twitter replies that the businessman rushed the negotiations and that the agreement did not never mentioned the fake accounts, and the social network's lawyers denounce an attempt to evade a contract that Musk no longer finds attractive since the stock market fell.

Between the general decline in the stock market in recent months, the drop in advertising revenue from social networks linked to the economic situation. economic and public criticism from Elon Musk, the Twitter stock crashed to around $32 on July 11.

It was worth $41.97 on Friday, up 2.20%. Tesla shares fell 6.05% to $869.92.

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