Facebook faced questions from U.S. FTC over consultancy’s access to user data

Vastavam Web: Facebook Inc said Tuesday it faced questions from the lead U.S. consumer regulator about how its users’ personal data was mined by a political consultancy hired by Donald Trump’s campaign.U.S. and European lawmakers have demanded an explanation of how the consultancy, Cambridge Analytica, gained access to the data in 2014 and why Facebook failed to inform its users, raising broader industry questions about consumer privacy.

“We remain strongly committed to protecting people’s information. We appreciate the opportunity to answer questions the FTC may have,” Facebook Deputy Chief Privacy Officer Rob Sherman said.“We are aware of the issues that have been raised but cannot comment on whether we are investigating. We take any allegations of violations of our consent decrees very seriously as we did in 2012 in a privacy case involving Google,” an FTC spokesman said.

Under the 2011 settlement, Facebook agreed to get user consent for certain changes to privacy settings as part of a settlement of federal charges that it deceived consumers and forced them to share more personal information than they intended, Bloomberg reported.Facebook shares lost 5.7 percent in heavy trading to a six-month low, extending Monday’s 7-percent fall, and was set for its worst two-day drop since July 2012. Its market capitalization was down by another $25 billion as investors fretted the world’s largest social media network could face massive fines and that its dented reputation could scare off users and advertisers.

A Congressional official said House Intelligence Committee Democrats plan to interview Cambridge Analytica whistleblower Christopher Wylie. The committee has already interviewed by video teleconference Cambridge Analytica chief Alexander Nix, according to the Congressional official, but a transcript of that interview has not yet been made public.The White House said the President believes that Americans’ privacy should be protected.