Snapchat accused of lying about user numbers to inflate value of IPO

Former employee filed lawsuit saying tech company misrepresented internal numbers about users and growth ahead of possible $25bn initial public offering

A former Snapchat employee has accused the tech company of lying about its user numbers to deceive investors ahead of a possible $25bn initial public offering and has filed a lawsuit alleging wrongful termination over his refusal to cooperate.

Anthony Pompliano filed a lawsuit against the social media company on Wednesday in Los Angeles. In the suit, Pompliano alleges that Snapchat misrepresented its internal numbers about users and growth, "out of the avarice of the small group of executives" who hope for a huge valuation.