Accused Users fake, Path Fined Rp7, 7 Billion
In addition to paying the fine, Path also do other things to settle fraud charges for collecting personal information from the address book on a mobile device without the user's knowledge and.
In addition, the Path will also create a "comprehensive privacy program" and obtain independent privacy assessment every year for 20 years. Meanwhile, the cost to be paid by the Path to settle allegations it illegally collect personal information of children without their parents' consent.
This problem started last year, when it was known Path is automatically uploaded to a user's entire address book server. Although the Chief Executive Officer (CEO) Dave Morin Path has properly protect user data, but the FTC still accuses the company of violating the Children's Online Privacy Protection Act (COPPA) by collecting the personal information of approximately three thousand children under 13 years old without parental consent.
Friday (1/2), local time, through blog posts, Path said, in a certain period of time the system does not automatically reject users under 13 years old.
"From a developer perspective, we understand the tendency to focus on the process of building an amazing thing. But when we look back on the account verification system, we realized there was a problem. We hope our experiences can help others as a reminder to be careful," said Path on his blog.
Meanwhile, the FTC claims settlement is part of an effort to ensure the Path will adhere to the privacy policies that they make to consumers and personal information of children is not collected or shared without parents.
Seiirng the issue of COPPA, the FTC also charged User interface (UI) iOS app Path is misleading and does not give consumers a choice of personal data.
The FTC also said privacy policies Path tricking users by claiming only automatically collect certain information such as the user's IP address and operating system. In fact, the actual Path collect personal information from the address book on your mobile device.
"Over the years the FTC alert in response to the threat to consumer privacy. Completion of the Path shows, no matter new technologies are present, the agency will continue to maintain the privacy of Americans," said FTC Chairman Jon Leibowitz.
Path is the smart journal application that consists of a series of moments, such as photos, songs, places visited by the user. Given the business model is not clear, a fine of approximately Rp 7, 7 billion may be a blow to startup, although the last year had approximately $ 30 million, or approximately Rp291 billion from investors.
(Adl)
