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Senators urge FTC to investigate social media company’s privacy compliance

Federal Issues Privacy, Cyber Risk & Data Security FTC U.S. Senate

Federal Issues

On November 17, seven Democratic senators sent a letter to FTC Chair Lina Khan requesting that the Commission investigate whether recent changes made to a global social media company will impact the company’s compliance with privacy and security regulations. The senators also encouraged Khan to investigate any breach of the company’s 2011 consent order, which prohibits misrepresentation and requires the company to maintain a comprehensive information security program. The FTC was already alerted to allegations made by a former security employee concerning the company’s supposedly inadequate security practices even prior to the company’s recent acquisition, the senators said, adding that the company also previously agreed to pay a $150 million penalty to the FTC and DOJ to settle allegations that it violated the FTC Act and the 2011 consent order related to misleading claims about its privacy and security practices. (Covered by InfoBytes here.) The senators urged the FTC “to vigorously oversee its consent decree with [the company] and to bring enforcement actions against any breaches or business practices that are unfair or deceptive, including bringing civil penalties and imposing liability on individual [company] executives where appropriate.”

Separately, Senator Charles E. Grassley (R-IA) sent a letter to the company’s CEO expressing concerns with its security practices. Citing an unanswered request for information sent to the former head of security related to alleged security failures, Grassley asked the current CEO to perform a threat assessment of the company’s security protocol to ensure user data and privacy is protected and requested that findings be submitted to the Senate Judiciary Committee.