Facebook has outright denied any possibility of compensating users in the EU for the misuse of their personal data by political consultancy Cambridge Analytica.
In the written reply to questions put forward by European Union lawmakers, Facebook said that was a “breach of trust,” but no bank account details had been shared. And it said there was no evidence EU user data had been involved.
The answers were promised after testimony earlier this week by CEO Mark Zuckerberg in Brussels had left EU lawmakers frustrated about a lack of responses.
As per a Reuters report, Cambridge Analytica has filed for Chapter 7 bankruptcy in the United States. This past March allegations surfaced that Cambridge Analytica, hired by President Donald Trump`s 2016 US election campaign, improperly used data of 87 million Facebook users beginning in 2014. Cambridge Analytica and its British parent SCL Elections Ltd said earlier this month that they would shut down immediately and begin bankruptcy proceedings after suffering a sharp drop in business.
The petition to file bankruptcy was submitted at the U.S. Bankruptcy Court Southern District of New York and was signed on behalf of Cambridge Analytica`s board by Rebekah and Jennifer Mercer, daughters of billionaire Robert Mercer.
The Mercer family was one of Trump`s biggest donors.
Cambridge Analytica LLC listed assets in the range of $100,001 to $500,000 and liabilities in the range of $1 million to $10 million.
London-based Cambridge Analytica was created in 2013 initially with a focus on U.S. elections, with $15 million in backing from Mercer and a name chosen by former Trump White House adviser Steve Bannon, according to a report by the New York Times.
Facebook has faced multiple investigations in the United States and Europe over its handling of personal data of users, hurting shares of the Mark Zuckerberg-led company.