Facebook confirms that SEC, FBI, and FTC have asked questions about Cambridge Analytica

Key Points
  • The Justice Department's investigation of Facebook following the Cambridge Analytica data scandal has broadened to include the FTC, FBI, and SEC, Facebook has confirmed.
  • Facebook's stock slipped roughly 2 percent on Tuesday
Mark Zuckerberg speaking at the Viva Technology conference in Paris, France, on Thursday, May 24, 2018.
Photo by Bloomberg

Facebook has confirmed that the FBI, SEC, and FTC have all joined the Justice Department in asking questions about user data being improperly shared with political consulting firm Cambridge Analytica. Facebook could not confirm whether the agencies are coordinating their efforts.

The stock slipped roughly 1.5 percent after-hours on Monday after The Washington Post first reported that federal investigators were broadening their inquiries into the company's data sharing practices. The stock closed down 2.35 percent on Tuesday as trading ended early for the Independence Day holiday.

Facebook shares slide on report of SEC, FBI and FTC probes

Earlier this year, the Justice Department began investigating Facebook's data sharing practices after several press reports revealed that Cambridge Analytica harvested Facebook profile information from tens of million users without their express consent. The broadening of the investigation to include the FBI, SEC, and FTC will emphasize whether Facebook made sufficient disclosures to its users and its investors.

"We are cooperating with officials in the US, UK and beyond," a Facebook spokesperson said in a statement. "We’ve provided public testimony, answered questions, and pledged to continue our assistance as their work continues."

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