Facebook’s Smoking Gun in the Ceglia Case? The Authentic Contract

On Friday, Facebook’s lawyers made news when they told a court hearing a lawsuit brought by the alleged initial investor in Facebook, Paul Ceglia, that they’d found the “smoking gun” proving the alleged investment contract was a fraud.

But the document filed to the court that contained the “smoking gun” allegations didn’t specify what the smoking gun was.

The answer?

Facebook says they’ve found the “authentic contract” between Ceglia and Zuckerberg. Facebook is also charging that Ceglia, who they say is now living in Ireland, is holding back electronic storage devices he intentionally tried to hide from them.

Both parties agree that in 2003 Ceglia hired Zuckerberg, then a Harvard undergrad, to do work for his StreetFax company. But Ceglia filed suit in 2010, saying the contract also included $1,000 initial funding for Facebook, and that he’s entitled to more than half of the social networking giant.

Facebook argues the contract Ceglia produced electronically is a forgery and that Ceglia is a known con artist.

And now Facebook says that in the course of discovery — where Ceglia’s lawyers turned over to Facebook a number of computers and hard drives — that it has found the original “authentic contract” and proof that there are other “storage devices” that Ceglia is intentionally hiding from them in violation of a court order.

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Source: wired.com
By: Ryan Singel