FBI, Ex-Security Head Warned Twitter of Potential Chinese Spies in Company: Report

Even though it has received warnings of possible spies in its ranks, Twitter lacks the resources and motivation to search for and remove foreign intelligence threats within its operations, according to former head of security Peiter "Mudge" Zatko, in his first public appearance since blowing the whistle on the company.

In his testimony before the Senate Judiciary Committee on Tuesday, Zatko remembered a time during his time at Twitter when another executive reportedly rejected concerns about a possible eavesdropping danger by claiming it was not worth addressing.

Whistleblower: There's Chinese Spy at Twitter

According to Zatko, Twitter got a specific warning from the FBI a week before his termination in January that the business may have had one or more Chinese spies among its employees.

Zatko's publicly stated tip to the US government did not include the crucial element tying the US official warning to China. Although it is unclear if Twitter acted on the report, Zatko told Senator Chuck Grassley that he and others at Twitter were aware that the firm was a target for foreign intelligence services.

Per CNN, the whistleblower expanded charges highlight what he claims are systematic issues that prohibit Twitter from preserving user data and jeopardize US national security.

During his testimony, Zatko also mentioned a chat he had with an anonymous Twitter official, who he said dismissed worries about spies infiltrating the firm. Zatko made the remarks during a two-and-a-half hour Senate Judiciary Committee hearing that ended only 30 minutes before Twitter shareholders formally accepted Elon Musk's $44 billion acquisition deal, which the tycoon is now attempting to withdraw.

Zatko Alleges Twitter Fraudulently Claims of Having Secure Program

Twitter shares were up more than 0.5% early Tuesday afternoon, trading at $41.70. During the session, legislators from both parties criticized Twitter for its claimed disregard for privacy and security concerns.

Senator Chuck Grassley of Iowa, the Committee's top Republican, has called on Twitter CEO Parag Agrawal to quit if Zatko's allegations are shown to be accurate. Grassley also chastised Agrawal for refusing to appear before the committee, NY Post reported.

According to Grassley, Agrawal denied the request because it would "jeopardize" the company's current legal battle with Elon Musk over his takeover bid. Zatko also claims Twitter breached an 11-year-old Federal Trade Commission (FTC) settlement by fraudulently claiming to have a sophisticated security program. According to the lawsuit, the corporation had never complied with the FTC order and was not on pace to do so.

According to Zatko, a lot of the information that regulators and Congress rely on originates from the firms themselves. He believes the FTC is "in over their heads." Some US senators proposed new government agencies, passed privacy legislation, or strengthened the regulatory structure to give it more teeth.

In his evidence, Zatko stated that Twitter had a culture in which staff respond to problems rather than working to prevent them. "Setting quantifiable targets and standards that can be monitored and audited independently," according to Zatko, would assist drive change at these companies.

Per CNET, it would also assist if the FTC and regulators had legislation or procedures in place that would provide whistleblower protection programs for persons while they were still employed by these firms, he added.