He later issues a 'correction' (why not delete the original wrong tweet?) that says that the story about "advocating for lying to skip lines" is false. [1]
I don't have any part of this and I'm confused and don't know what's going on here. But it does not seem like the tweet everyone is focusing on was even true. So the story becomes possibly, that YC kicked someone out for spreading lies about people in their internal community? I don't know.
[1] "I was incorrect in saying the 2nd founder lied, and would like to apologize." https://twitter.com/paulbiggar/status/1370144350861135881