Facebook isn’t simply settling with the FTC over the Cambridge Analytica data scandal. The social media organization has likewise consented to pay the US Securities and Exchange Commission $100 million over charges of making misleading disclosures” over the risk of abusing users’ data. The SEC asserted that Facebook knew about the information leak in 2015, however, kept on portraying potential information leaks to financial specialists in simply “hypothetical” terms. It likewise didn’t have “specific policies or procedures” in actuality to make exact disclosures in light of the consequences of the examination.
Likewise with the FTC fine, Facebook didn’t need to concede blame, however, it additionally didn’t deny the claims. The arrangement additionally for all time urges the organization from damaging relevant areas of the Securities Act and Securities Exchange Act.
An SEC penalty wasn’t required to be the center – various holes had focused on the FTC’s activities. In any case, the $100 million payouts may strengthen worries from certain representatives and different pundits that Facebook is getting a light discipline that doesn’t mirror the full size of the organization’s activities. A large number of individuals had their information compromised, and the organization didn’t uncover this until years afterward.