corruption
Latest
FCC ordered to provide IP addresses tied to fake net neutrality comments
The FCC will have to hand over IP addresses connected to fake net neutrality comments despite claims of privacy violations.
US is reportedly investigating ZTE over new bribery allegations
Just when it seemed that Chinese telecom manufacturer ZTE was in the clear, it is once again being investigated by the Justice Department. In March 2017, ZTE agreed to pay $1.19 billion and submit to a three-year probation period as punishment for violating US trade sanctions with Iran and North Korea. That probation period ended Saturday, and now, the Justice Department is reportedly looking into new and separate bribery allegations, sources tell NBC News.
Ericsson will pay over $1 billion to settle US corruption charges
Tech companies have been caught in corruption scandals before, but seldom on this scale. Telecom giant Ericsson has settled with the US Justice Department and SEC for just under $1.1 billion over charges of extensive corruption in several countries, including China, Saudi Arabia and Vietnam. The company had been accused of violating the Foreign Corrupt Practices Act between 2000 and 2016 by bribing officials to land customers, falsifying its records and failing to use "reasonable" accounting controls. The SEC, meanwhile, charged Ericsson with bribery that took place between 2011 and 2017.
Microsoft will pay $25 million to settle Hungary bribery charges
Microsoft is on the hook at home for alleged crimes abroad. The company has agreed to pay about $25 million in settlements with both the Justice Department and SEC over charges that its Hungary subsidiary violated the Foreign Corrupt Practices Act. The division allegedly discounted prices for its resellers and distributors between 2013 and 2015, using the increased profit margins to fund bribes for government officials and clinch lucrative software deals with Microsoft.
Facebook suspends accounts for pushing false info in Alabama election
Facebook's attempt to thwart disinformation campaigns has typically focused on Russia and other hostile countries, but it's now grappling with that problem on its home soil. The site has confirmed to the Washington Post that it suspended five accounts for "coordinated inauthentic behavior" during the 2017 Alabama special election for the Senate, including the CEO of social media research company New Knowledge.
Justice Department investigates fake net neutrality comments
The scrutiny over fake net neutrality comments appears to be intensifying. Sources talking to BuzzFeed News said the Justice Department is investigating whether or not there were crimes when people posted millions of bogus comments on the FCC's net neutrality repeal, stealing many people's identities in the process. The FBI reportedly subpoenaed at least two organizations for information "a few days" after New York state did for its own investigation, according to the insiders.
With Khashoggi, tech confronts its blood money
In 2015 we laughed at Hacking Team for getting hacked. Their profit-driven facilitation of human rights abuses around the world was somehow barely competent, but notorious. They sold illegal hackware and surveillance tech to brutal regimes and trained them in attacking citizens and journalists. We knew they were evil clowns. We just didn't expect what happened next.
NHTSA study forecasts dangerous rise in world temperatures by 2100
The Trump administration has accepted the scientific consensus of human-made global warming. However, it's not being used to push for tougher environmental regulations -- just the opposite, in fact. In a draft NHTSA environmental impact statement for Trump's proposed fuel standards freeze, the agency predicts that the worldwide temperature will increase about 7 degrees Fahrenheit (4 Celsius) over pre-industrial levels by 2100. Rather than use that as an incentive to push for more drastic cuts in emissions, though, the report claims that there's not much point. It's allegedly "not currently technologically feasible or economically feasible" to move enough people to clean transportation to make a difference, the NHTSA argued, so why bother with tougher rules?
White House downplays talk of executive order targeting internet bias
Is President Trump looking at an executive order that would investigate internet companies over his accusations of political bias? Not officially... although the government isn't strictly denying the claims, either. After Bloomberg reported the existence of a draft order, deputy White House press secretary Lindsey Walters issued a statement that the document was "not the result of an official policymaking process." It's not saying the story is wrong, as such -- it is, however, downplaying the prospect of such an order becoming a reality.
NYT lawsuit accuses FCC of withholding evidence of Russian meddling
Are you frustrated that the FCC has been reluctant to cooperate with investigations into fake anti-net neutrality comments? So is the New York Times. The newspaper has sued the FCC after the regulator repeatedly refused to provide server logs for its public comment system under the Freedom of Information Act, even after the NYT reduced the scale of its requests. Journalists believe the records will "shed light" on the degree to which Russians interfered with both the commenting process and American democracy at large.
Amazon looks into reports of staff leaking data to merchants
Bribery in tech companies or in their supply chains is nothing new (there are numerous stories of factory workers leaking unannounced products), but Amazon is grappling with some particularly serious concerns. The company has confirmed to the Wall Street Journal that it's investigating reports of employees in the US and China leaking data to merchants on the site in return for bribes. The shady resellers have paid as much as $2,000 to obtain internal sales data and reviewers' email addresses (to persuade them to alter or remove harsh reviews). In some cases, the merchants have paid Amazon employees to delete negative reviews outright.
FCC investigator says Pai didn't give Sinclair preferential treatment
More than a few people thought FCC Chairman Ajit Pai was acting suspiciously ahead of the failed Sinclair-Tribune merger. The regulator's Office of the Inspector General, however, would beg to differ. The watchdog has published a report determining that Pai hadn't shown "favoritism" or other forms of shady dealing in his decisions around the abandoned takeover. Pai's choices, such as relaxing media ownership limitations, were "consistent" with his public statements, according to the report. Moreover, Pai's punishments for Sinclair (including a $13.3 million fine and the decision to kill the merger) suggested to the Inspector General that the Chairman was being fair.
Court blocks FCC from cutting broadband subsidies in tribal lands
The FCC has hit a snag in its plan to curb broadband subsidies for low-income homes. A DC appeals court has issued a stay order temporarily blocking the regulator from limiting the $25 monthly Lifeline subsidy in tribal lands, arguing that native groups and small carriers are likely to win their case opposing the cuts. The court agreed with plaintiffs that the FCC's move would likely lead to a "major reduction, or outright elimination" of vital communication for many tribal residents, and "substantial, unrecoverable losses" for providers that might lead to them going out of business.
FCC admits its comment system never suffered DDoS attack
If you didn't buy the FCC's claims that its comment system fell prone to a DDoS attack when it was soliciting net neutrality comments, investigators have just validated your suspicions. An imminent report from the agency's Inspector General has revealed that there's no evidence of such an attack. To put it another way, the comment system's problems were more likely due to large-scale opposition to the net neutrality repeal (helped by Last Week Tonight's John Oliver), not an untimely hacking campaign.
Trump proposal would end California's tougher car emission standards
It's no secret that the Trump administration is bristling at the Clean Air Act waiver that lets California apply stricter car emissions standards -- the state effectively determines the standards for the rest of the country, negating any federal attempts at rolling back anti-pollution efforts. And the administration has apparently had enough. Bloomberg sources have learned of an imminent proposed standards revision that would strip California of its extra authority. The EPA would suggest revoking California's waiver, while the NHTSA would maintain that California isn't allowed to regulate emissions under the law that established federal-level fuel efficiency requirements.
The FCC could ask you to pay to complain
A proposed rule change at the FCC has raised concerns that the organization is attempting to abdicate its responsibilities to the public. This Thursday, the Commission will consider altering its complaints-handling procedure between individuals and their service providers.
Facebook fined $33 million for failing to help Brazilian authorities
Facebook has had a contentious relationship with Brazilian authorities, and its WhatsApp messenger has suffered multiple service bans for failing to cooperate. Two years ago, a court froze around $6 million of the company's cash after it didn't hand over data for a criminal investigation over drug smuggling. It seems the social media platform still isn't cooperating. Reuters reports that a judge just handed down a 111.7 reais ($33 million) fine regarding Facebook's failure to grant authorities access to messages as part of a health fraud investigation.
The Senate has its own insincere net neutrality bill
Now that the House of Representatives has floated a superficial net neutrality bill, it's the Senate's turn. Louisiana Senator John Kennedy has introduced a companion version of the Open Internet Preservation Act that effectively replicates the House measure put forward by Tennessee Representative Marsha Blackburn. As before, it supports net neutrality only on a basic level -- and there are provisions that would make it difficult to combat other abuses.
FCC Chairman Ajit Pai cancels appearance at CES
If you were hoping FCC Chairman Ajit Pai would answer for some of his policy decisions with his presence at CES... well, you'll be disappointed. The Consumer Technology Association has issued a brief statement saying that Pai is "unable to attend" CES 2018, where he was slated to participate in a "candid conversation" on January 9th. There's no reason given, and neither the CTA nor the FCC is willing to comment. Needless to say, it's odd to cancel at the last minute with no explanation.
FCC Chairman Ajit Pai 'jokes' about being a Verizon shill
Many have accused FCC Chairman Ajit Pai of being a telecom shill between his background as a former Verizon lawyer and his determination to ignore all public input (not to mention complaints about comment bots) as he kills net neutrality. And apparently, his attempts at joking about it are only reinforcing those views. Gizmodo has obtained video of Pai trying to roast himself at the Federal Communications Bar Assocation's annual event, including a pre-recorded skit where an actual Verizon executive (senior VP Kathy Grillo) talks about wanting to "brainwash and groom a Verizon puppet" to become the FCC chairman, with Pai responding that it sounds like an "awesome" idea.
