$8.4 Million Penalty Imposed On Facebook In Italy Due To Unethical Use Of Data

Italian Competition Authority, after their nine-month-long investigation in November 2018, has imposed Facebook with charges of using the Facebook users’ data that breached their consumer laws and code.

Following the inspection, the Italian Competition Authority (AGCM) said on Wednesday that it tracked down that Facebook Inc. and its subsidiary Facebook Ireland Ltd. violated the 2018 request expecting them to excuse an illegal practice in the utilization of clients' information, nor did they publish a restorative statement mentioned by the watchdog.

In total there were two fines issued to Facebook making 10 million Euros ($12 million). The initial fine was charged due to Facebook deceptively persuading users to register on the platform without informing them properly and instantly after the signup the user information would be collected for commercial purposes, the watchdog explained. The second one was fine due to Facebook passing on the user data to third parties, without user consent.

A Facebook representative said the organization had taken notice of the announcement however would "anticipate the Council of State choice on our appeal against the Authority's underlying and initial findings and that Facebook had already made some changes, including to the terms of services to clarify how to provide data and its services and advertisements are used."

"Prompt and clear data isn't yet given on the collection and utilization of the clients' information for business and commercial purposes” by Facebook. Even though the "claim of benevolence" has been removed but. And it should be up to the users to decide whether they want their information to be used before subscribing to the service. "Keeping in mind the economic value, the users' transferred data have for Facebook, which represents the payment for using the service. The AGCM told on Wednesday.

On Friday, the Italian competition watchdog clarified in an explanation that the new 7 million euro fine was chosen in light of the fact that the two organizations have not distributed the remedial proclamation and have not stopped the set up unjustifiable practice.

The first investigation prompting the two past financial penances in 2018 was opened after three Italian advocacy groups recorded a legal claim against Facebook for supposed illegal utilization of user information documented.

Recently, Facebook was also accused of making an illegal undercover deal with Google. Stay tuned for mare updates.


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