Ex Twitter CEO Parag Agrawal May Lose Out On Much Hyped “Hefty Payout”

| Updated: 31 October, 2022 9:00 pm IST

According to Twitter’s filing with the US Securities and Exchange Commission, Musk would be liable for over $100 million in severance and other awards to its fired leaders, but it appears that he has found a way to avoid them.

A report by The Information stated that Musk terminated top Twitter executives, including Parag Agrawal and Vijaya Gadde, “for cause” in effort to avoid severance pay and unvested stock awards.

According to Twitter’s old SEC filing, Parag Agrawal is entitled to $67 million (roughly Rs 552 crore). Gadde, on the other hand, is entitled to $54.7 million (roughly Rs 450 crore).

After taking over Twitter, Elon Musk fired top executives, including former CEO Parag Agrawal and legal chief Vijaya Gadde. As part of their exit deal, Musk would have to pay over $100 million to Twitter’s fired leaders, but it appears that the new owner has found a way to avoid paying severance and other awards.

If Musk denies severance and other stock awards to fired leaders, he may invite legal trouble.

This would be similar to what happened in the last few months when Musk reneged on his agreement to buy Twitter and was then taken to court by the company’s management.

Musk changed his mind again as the trial approached, telling the court that he would pay $44 billion for Twitter.

Depending on the circumstances, he may have to pay the same amount as suggested in the SEC filing. Alternatively, both parties may be willing to negotiate a favourable deal.

Also Read Story

New record: How 17 Gehlot ministers lost in Rajasthan

Decoding Congress’ lone success in Telangana

Telangana elections 2023: KCR submits resignation after losing to BJP first timer

INDIA alliance can’t win if situation remains same in future: Omar Abdullah