The complaint alleges: (1) Twitter knew about security concerns on its platform; (2) Twitter actively worked to hide the security concerns from the board, investors, and regulators; (3) contrary to Twitter's representations in SEC filings, it did not take steps to improve security; and (4) Twitter's active refusal to address security issues increased the risk of loss of public goodwill. Investors learned the truth on Aug. 23, 2022, when CNN reported that Peiter "Mudge" Zatko, Twitter's former head of security, alleged in his July 2022 whistleblower complaint "that Twitter's leadership misled its own board and government regulators about its security vulnerabilities, including some that could allegedly open the door to foreign spying or manipulation, hacking and disinformation campaigns." This news sent the price of Twitter shares down over 7% lower on Aug. 23, 2022, wiping out over $2 billion of shareholder value.