An Australian court ordered Facebook owner Meta Platforms (META.O) to pay fines totalling A$20 million ($14 million) for collecting user data through a smartphone application advertised as a way to protect privacy without disclosing its actions.
Ednews informs via Reuters that Australia's Federal Court also ordered Meta, through its subsidiaries Facebook Israel and the now-discontinued app, Onavo, to pay A$400,000 in legal costs to the Australian Competition and Consumer Commission (ACCC), which brought the civil lawsuit.
The fine wraps up one strand of Meta's legal issues in Australia related to its handling of user information since a global scandal erupted over its use of data analytics firm Cambridge Analytica in the 2016 US election.
Meta still faces a civil court action by Australia's Office of the Information Commissioner over its dealings with Cambridge Analytica in Australia.
Wednesday's judgment was in relation to a virtual private network (VPN) service the company then called Facebook offered from early 2016 to late 2017, Onavo, which it advertised as a way to keep personal information safe. VPNs obscure an internet user's identity by giving their computer a different online address.
However, Facebook used Onavo to collect users' location, time and frequency using other smartphone apps, and websites they visited for its own advertising purposes, the judge Wendy Abraham said in a written judgment.
"The failure to make sufficient disclosures ... may have deprived tens of thousands of Australian consumers of the opportunity to make an informed choice about the collection and use of their data before downloading and/or using Onavo Protect," Abraham wrote.
