Bonum Certa Men Certa

Microsoft GitHub Exposé — Part VII — Nat Friedman, as GitHub CEO, Had a Plan of Defrauding Microsoft Shareholders

Series parts:

  1. Microsoft GitHub Exposé — Part I — Inside a Den of Corruption and Misogynists
  2. Microsoft GitHub Exposé — Part II — The Campaign Against GPL Compliance and War on Copyleft Enforcement
  3. Microsoft GitHub Exposé — Part III — A Story of Plagiarism and Likely Securities Fraud
  4. Microsoft GitHub Exposé — Part IV — Mr. MobileCoin: From Mono to Plagiarism... and to Unprecedented GPL Violations at GitHub (Microsoft)
  5. Microsoft GitHub Exposé — Part V — Why Nat Friedman is Leaving GitHub
  6. Microsoft GitHub Exposé — Part VI — The Media Has Mischaracterised Nat Friedman's Departure (Effective Now)
  7. YOU ARE HERE ☞ Nat Friedman, as GitHub CEO, Had a Plan of Defrauding Microsoft Shareholders


GitHub: Where everything comes to die



Summary: The son of a financial tycoon probably engaged in embezzlement and maybe securities fraud; and this isn't even the worst scandal, which directly impacts Free software

THE new CEO of GitHub has been on the job for only a week (as of today). As we explained in the past pair of parts, it's safe to assume that ongoing scandals (not told by the press; it's aware, but it's suppressing publication) played a considerable role in that. This choice of CEO probably indicates where the company is going (more proprietary vertical integration) and was probably made in a rush, almost on the spot.

In later parts we'll detail (with some evidence) the role played by the press, keeping these scandals under wraps by falsely assuming that women are liars and accused men need to be protected from embarrassment. Among the key culprits: Vox, Bloomberg, and Buzzfeed. What good are media outlets that are looking to appease sponsors and advertisers rather than the audience in need of journalism? What good is a corporate leadership that refuses to understand who it hires?

"In later parts we'll detail (with some evidence) the role played by the press, keeping these scandals under wraps by falsely assuming that women are liars and accused men need to be protected from embarrassment.""I don't want to get involved" is not a legitimate excuse (direct quote by the way). If more information becomes available, we'll also add some parts about the new CEO and what the past teaches us about the CEO's future direction at GitHub, which is more like a trap than "free hosting". As always, we encourage people to leave GitHub. The sooner, the safer. Make exit plans.

Nat Friedman should have known better, especially considering his father's work. Friedman surely knew how this law works (he could ask dad), but he chose to ignore it; he got greedy (which wasn't needed; he was very rich to begin with, even well before Microsoft). To put this in the correct context we'll need to introduce readers, perhaps belatedly, to Friedman's good friend, whom he used to get very badly drunk with (substance abuse will be the subject of much later parts in this series). The friend's name is Alex and they're pretty close. From their very own (still online) record:

Alex Graveley and Nat Friedman in Flickr

Alex Graveley and Nat Friedman

There's more, but some of it is so old that it's difficult if not impossible to find now. This pair goes well over a decade back.

We did not want to bring up Alex Graveley (or mention him by name), but that's essential for those wishing to understand what's going on. Or his current job title at Microsoft.

According to our source, Alex Graveley and Nat Friedman made a 'pinky promise'; "he also said that the original plan for Copilot was Alex would start a company and work with Nat behind the scenes to build it to get acquired by Github, which sounds like securities fraud, but I'm not a lawyer..."

"So it seems like Friedman set him up for richness; but at whose expense?"Graveley and Friedman know who the source is, but that does not matter.

So it seems like Friedman set him up for richness; but at whose expense? By funnelling Microsoft shareholders' money to a friend he likely breached several ethical rules ("make this company; do this thing; I will tell my bosses (Board and CEO of a company called Microsoft) to make this next move and we'll give you lots of shares").

If he instructs the employer to pay an old mate, that's a very big deal. It makes one wonder what technical merit -- if any -- this thing has. It was acquired by means of nepotism, not really pragmatic interest, then hyped up in the media even though it's worthless as a tool (some people have demonstrated this point). At Microsoft, they use that to push proprietary IDE (Visual Studio) and teach people not to worry about GPL compliance.

As our source stresses strongly, and more so repeatedly: "The original plan was to have Alex build it as a start up. And then Microsoft would acquire it. Which sounds a bit like fraud."

"If he instructs the employer to pay an old mate, that's a very big deal."Well, that sounds illegal because it is. He's playing with money that isn't his own; he's passing Microsoft shareholders' capital to a friend, and maybe he can then get kickbacks off of him (one can only guess how the favour can be repaid).

Our source says that "this never happened, even if it was contemplated, [as] Alex was not in any place mentally to do this..." (based on texts, he had booze issues if not other, far more severe issues with heavy narcotics -- a subject we set aside for later parts)

The Microsoft modus operandi has long been to attack Free software while giving the false impression that Microsoft means well and is a friend, a "co-pilot". Don't fall for it...

Securities fraud was in the books.

Wikipedia defines the term as follows: "Securities fraud, also known as stock fraud and investment fraud, is a deceptive practice in the stock or commodities markets that induces investors to make purchase or sale decisions on the basis of false information, frequently resulting in losses, in violation of securities laws.

"...shareholders ought to know that they may have paid -- or fallen -- for a weak or defective product, merely for the benefit of the CEO's friend."It further notes: "Securities fraud can also include outright theft from investors (embezzlement by stockbrokers), stock manipulation, misstatements on a public company's financial reports, and lying to corporate auditors. The term encompasses a wide range of other actions, including insider trading, front running and other illegal acts on the trading floor of a stock or commodity exchange."

Assuming the above was true, as was heard directly by our source, Friedman sought to divert Microsoft shareholders' money to a friend. Friend-man? Either way, shareholders ought to know that they may have paid -- or fallen -- for a weak or defective product, merely for the benefit of the CEO's friend. This isn't even the sole case of nepotism -- a point we shall discuss later.

Recent Techrights' Posts

SLAPP Censorship - Part 167 Out of 200: The Court of Appeal Might be the Next Step
Today is our last vacation day
Salaries Are Counted in Money, Not in Participation in the Employer's Scheme
articles greatly exaggerating GAFAM salaries
Even Linux Cannot Cope With Slop
Bots on the Web are truly obnoxious
 
In the UK, Bing (Microsoft) Down to Lowest Level Since January
our tax money being passed to Microsoft via MoUs (back door deals with kickbacks)
German Government Sponsors IBM Because of GNU/Linux
Flatpak is sponsored by, run, and controlled by IBM
Richard Stallman Speaks to Christine Hall of FOSS Force, stallman.org is Down for Over a Day
interview does a good job addressing the hype about LLMs too
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Sunday, August 30, 2026
IRC logs for Sunday, August 30, 2026
Gemini Links 31/08/2026: Holidays, Stream of Consciousness, and Posting Online
Links for the day
Anniversaries Next Month
The month should be otherwise quiet and uneventful for us
Coding is Not Obsolete
we drown ourselves in chaff to meet "LOC" objectives while ignoring everything else
Microsoft Layoffs Perpetual But Silent, People Pushed Out Using Pressure or Incentive Schemes
Earlier this month we named some of the programs
Links 30/08/2026: Apple Rant and LLM (Slop) Scrapers Target Gemini Protocol and Gopher
Links for the day
Walls in Free Software
mind your own business and move on
What a Summer!
Tomorrow is the last day of this month
Links 30/08/2026: Soldiers in Niger Attack Presidential Palace and Airport, Nepali City Struggles to Handle the Many Dead Bodies
Links for the day
Clownflare Sees GNU/Linux Rising to 11% This Past Week
Is it the year of "Linux in China"?
Links 30/08/2026: Russian Strike on a Ukrainian Warehouse and Rhetoric Escalations
Links for the day
Gemini Links 30/08/2026: Photography, Paper Books, Linux Kernel and the Debian Projects Permitting Slop Plagiarism
Links for the day
Imagine a World Where Nobody Fights for Software (and Computing) Freedom
The community keeps fighting back, so some of these ambitions are delayed or watered down
FSF Has Grown (More Staff) After a Year of Financial Growth
On October 4 the FSF turns 41
GNU/Linux Has Become More Mainstream in the United Kingdom
It's a long weekend here and we guess some people dabble in GNU/Linux migrations, at least at home
SLAPP Censorship - Part 166 Out of 200: Garrett Wasn't Found Innocent Per Se, the Court Wanted More Evidence of Who Was Behind Particular Accounts Using Tor
It's complicated
Criminals Don't Obey Laws, California Does Not Enhance Online Safety
It has been a while since we last mentioned so-called 'age-verification' laws
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Saturday, August 29, 2026
IRC logs for Saturday, August 29, 2026
Links 29/08/2026: Stop the Hate, Goldfish Myths, and xmpp.nz
Links for the day
Links 29/08/2026: Wave of Social Control Media Bans, Suno Data Breach Class Actions
Links for the day
Links 29/08/2026: Microsoft GitHub Outage (Again), "Displaying Ads Directly on Your Monitor", and "Election Deniers Could Soon Control Elections"
Links for the day
IBM is "Taking the PIP" (Piss), People 'Retire' 'Voluntarily' to "Focus on Family"
IBM has a billion bucks for 'the butcher', but not a million dollars for critical projects and initiatives in Free software
It Should be Uncontroversial to Say That Social Control Media is a Weapon
Democracy is not compatible with the likes of Kapo-Berg and MElon controlling public discourse of billions
Misuse of Bots (Now Sold as "Agents", "Hey Hi", "Automation", and "Efficiency")
They even try to rebrand robotics as "hey hi" and try to sell slop as "work"
Debian: Plagiarism OK, Just be "Responsible" About It
The result isn't the worst, but it's not good either
Don't Let Them Kill Activism
Are the oligarchs shutting the lid on activism and whistleblowers?
SLAPP Censorship - Part 165 Out of 200: Two Years Since My Wife and I Sued
In early September 2024 we hit back
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Friday, August 28, 2026
IRC logs for Friday, August 28, 2026
Gemini Links 29/08/2026: Death Notice, Systems Biology, and Gopher
Links for the day