logo

Elon Musk drags Twitter to court for fraud

Elon Musk
TL;DR Breakdown
  • Elon Musk countersues Twitter for fraud
  • The Tesla boss says Twitter misrepresented user figures
  • Twitter issues subpoena to Binance

Elon Musk has leveled accusations bordering on fraud against Twitter in a lawsuit he filed against the company. This lawsuit is a counter sue in which the billionaire is asking the court to look through fraudulent activities on the part of the microblogging company. Before now, Twitter had dragged Musk to court because he backed down from his quest to take over the company in a deal worth $44 billion after an agreement had already been made.

Elon Musk claims Twitter misrepresented figures

In the details of the lawsuit, the billionaire claims that the reason for backing down from the previous deal agreed with the company was based on fraudulent activities. The counter sue will see the company provide details regarding the state of affairs of the platform amid other metrics used to determine how many users they have onboarded so far.

In his claims, Musk said that Twitter was not forthcoming with the total amount of fake accounts on the platform. On his part, Elon Musk feels that the company is using this tactic to fool them by ramping up the company’s prospects in the sale. This method will see the company provide a massive number of potential active users, including anyone who has accessed the platform using any means in a day.

Twitter issues subpoena to Binance

The counter lawsuit claimed that after all parties were duly okay with the signed merger, Elon Musk figured out serious issues bordering on facts that were misrepresented during the meeting. While Twitter has continued to pray the court to rule in its favor and order Musk to go through with the agreement, the billionaire is asking the court to cancel the deal based on inefficiencies. In its argument over Musk’s claims, the company noted that the billionaire picked a number that he felt was suitable while arguing over several aspects of the company’s ads system.

However, the microblogging company has issued a subpoena to Binance and many other companies that would lend a hand in the acquisition. Some months ago, Elon Musk announced that he was buying the company after a funding round involving more than 15 companies of which Binance was a part. The agreement was terminated weeks ago after the Tesla CEO argued that the firm did not live up to its end of the deal. According to Musk’s legal representation, Twitter has more than 5% of its daily active users as bots.

Owotunse Adebayo

Owotunse Adebayo

Adebayo loves to keep tab of exciting projects in the blockchain space. He is a seasoned writer who has written tons of articles about cryptocurrencies and blockchain.

Related News

Hot Stories

TRB Price Prediction 2022-2031: Is Tellor (TRB) a Good Investment?
XDC Price Prediction 2022- 2031: Is XinFin a Good Investment?
AMP Price Prediction 2022-2031: Is AMP a Good Investment?
Bitcoin, Binance Coin, Tron, and Chainlink Daily Price Analyses – 28 September Morning Prediction
Algorand Price Prediction 2022-2031: Is ALGO a Good Investment?

Follow Us

Industry News

Cosmos 2.0: Uniting blockchains, interchain security, new issuance model for ATOM, and more
Bank of International Settlements green signals CBDC
Robinhood partners with Polygon to test Web3 waters. Here’s how
Shark tank's Kevin O'Leary advice to investors
What lies ahead for Voyager Digital and its investors after FTX wins the purchase auction?