Financial News

  • 24 May 2014, 11:40

Hacked eBay Faces Multiple Investigations

Web retailer eBay is facing transatlantic scrutiny from the authorities over a massive cyber attack that compromised the personal data of its 145 million users.

Connecticut, Florida and Illinois have launched a joint inquiry over the hack, which came to light on Wednesday.

The investigation will focus on the scope of the data breach and eBay's response, said Connecticut officials.

Some customers have complained in web forums and on social media that they received no email warning from eBay to change their password, only learning about the cyber attack from the media.

New York state's top prosecutor, Attorney General Eric Schneiderman, has asked eBay to provide free credit monitoring for those affected.

"We are currently in conversation with eBay about that," a source in his office told Sky News.

The UK's data watchdog, the Information Commissioner, told Sky News that his team was "actively looking" at launching a formal investigation into eBay.

Christopher Graham said the privacy scare was a "wake-up call" to businesses, consumers and the Government.

He said it would be wrong to pre-empt any investigation into eBay, but pointed out that his team had previously fined Sony 250,000 ($420,000) for a data breach.

There had been no increase in fraudulent activity since the cyber attack, eBay said.

PayPal - which eBay owns - is unaffected, and it runs from a different system, according to the company.

The database was infiltrated between late February and early March by hackers who accessed the log-in details of eBay employees.

It included eBay customers' names, encrypted passwords, email addresses, physical addresses, phone numbers and dates of birth.

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