TWTR - Twitter reached $7M settlement with whistleblower in June - WSJ

Twitter ( NYSE: TWTR ) had reached a settlement with company whistleblower Peiter "Mudge" Zatko in June that called for the company to pay him $7M and included a nondisclosure agreement , The Wall Street Journal reports.

That agreement forbade Zatko from speaking publicly about his time at Twitter ( TWTR ) or disparaging the company, according to the report - but like many compensation settlements, it provides for him to speak openly in congressional hearings or in whistleblower complaints.

The settlement was wrapped up just days before Zatko's July filing of his whistleblower complaint. It was tied to Zatko's lost compensation, following months of mediation over the matter.

At one point, according to the report, Zatko boosted his settlement demand by roughly fivefold.

Zatko's concerns have lately become central to billionaire Elon Musk's efforts to get out of his $44B deal to acquire Twitter ( TWTR ). They emerged through a leak in August, and Musk has now been allowed to amend his counterclaim against the company to incorporate aspects of Zatko's complaint .

The news comes just days before an eventful Tuesday for Twitter ( TWTR ): The company holds its shareholder vote on Musk's $44B deal to acquire the company, and Zatko is set to testify before the U.S. Judiciary Committee that same day .

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