Published: Wed, November 29, 2017
Money | By Armando Alvarado

Chicago, Cook County sues Uber for concealing data breech

Chicago, Cook County sues Uber for concealing data breech

Uber has admitted that 2.7 million people in the United Kingdom were affected by a 2016 security breach that saw customers' information compromised, including names, email addresses and mobile phone numbers. It paid the hackers $100,000 (£75,000) to delete the data and keep quiet about the hack, in a cover-up orchestrated by its former chief executive, Travis Kalanick.

"Uber's conduct has been truly stunning".

Uber said customers impacted by the breach don't need to take any action.

The lawsuit filed Monday in Cook County Circuit Court contends Uber's failure to protect consumers' personal information violated city and state laws.

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Uber said hackers got the names, email addresses and cell phone numbers associated with the accounts. If Uber's assessment of the compromised data is correct, this type of information does not require notification under Washington's law. "Nevertheless, the nature of the information now acknowledged to have been compromised, together with the allegation that the company concealed the breach without notifying affected drivers and consumers, and prior privacy concerns at Uber, makes this a serious incident that merits further scrutiny".

Several states, including Missouri, Massachusetts and NY, have opened investigations, and the city of Chicago sued Uber on Monday for failing to notify affected residents. Uber waited more than a year, Ferguson said. Violations carry fines of up to $2,000 (roughly Rs. 1.2 lakhs) apiece, and Ferguson said each day Uber failed to notify each customer constitutes a violation.

The ride-hailing company had previously disclosed that 57 million people worldwide were affected by a data breach that it covered up for more than a year. Almost 11,000 drivers in the state were affected. "We are committed to changing the way we do business, putting integrity at the core of every decision we make, and working hard to re-gain the trust of consumers".

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