Agarwal, Ned Segal, and Vijaya Gaddeâ€™s lawsuit seeks over $1 million in reimbursements
Three former Twitter executives, including Indian American ex-CEO Parag Agarwal, have initiated legal action against the social media giant, seeking compensation for expenses linked to legal proceedings, investigations, and congressional inquiries following their dismissal by Elon Musk.
The trio, Agarwal, Ned Segal, and Indian American Vijaya Gadde, asserts that Twitter is legally required to cover these costs, which exceed $1 million, according to media reports.
Read: Musk fires many Indian employees, Twitterati remains divided (November 5, 2022)
The lawsuit mentions expenses associated with the US Securities and Exchange Commission (SEC) and Department of Justice (DOJ) probes, but does not divulge specifics concerning the investigations or whether they remain active.
Agarwal and erstwhile CFO Ned Segal appeared before the SEC in 2022 and maintained communication with federal officials. The SEC is scrutinizing whether Elon Musk adhered to securities regulations while purchasing Twitter shares.
Ex-chief legal officer Vijaya Gadde was involved in a US Congressional hearing concerning big tech and freedom of speech after Musk revealed the “Twitter Files” pertaining to content moderation.
Additionally, Gadde was cited in a lawsuit by a man alleging he was “doxed” as a white supremacist on Twitter. The former executives were dismissed by Musk after he acquired Twitter in October.
Read: After firing two desis, Musk turns to a third for helpÂ (November 1, 2022)
They contend that while Twitter is legally obliged to compensate them, it has only acknowledged the receipt of their expense records. In the wake of Musk’s hostile takeover, Twitter implemented extensive layoffs, prompting concerns about the platform’s stability and its capacity to tackle misinformation and other forms of misuse.
According to an AFP report a query sent to Twitter in this regard got a ‘poop emoji’ as a response, which it said has become the micro-blogging company’s practice.
Agrawal, who took over from Jack Dorsey in November last year and later sacked by Musk, had said that he took the job to change Twitter for the better, “course correct where we need to, and strengthen the service”.
Agrawal, who was earlier the chief technology officer at Twitter, was appointed to the post of CEO by co-founder Jack Dorsey in November 2021. His total compensation for that year was $30.4 million, which was largely in stock awards, according to a Reuters report.
READ: Indian American Twitter executive in Muskâ€™s crosshairsÂ (April 28, 2022)
Read: Elon Musk fires Parag Agrawal, Vijaya GaddeÂ (October 28, 2022)