A COMPANY THAT OPERATES fan websites for pop stars like Justin Bieber has been fined $1m by the US Federal Trade Commission (FTC).
The company runs a range of fan websites, most of them aimed at yoofs and for artists like Justin Bieber, Selena Gomez and Rihanna. According to the FTC it illegally collected data on as many as 100,000 young people.
The firm was charged for violating the US Children's Online Privacy Protection Act (COPPA), whereby websites are told to get parental permission before collecting information about children. Apparently websites run by the firm were not doing this.
Although the $1m settlement still has to be approved by a judge the FTC is already happy to talk about it, and has filed a complaint in a New York district court against the firm, known as Artist Arena. We have tried to contact the firm and are waiting for a response.
According to a Reuters report, the firm had failed to get parental consent before collecting data like email addresses about visitors to its webpages.
FTC spokeswoman Claudia Bourne Farrell said that the company has agreed to settle the matter by paying a $1m fine. µ