LONDON: The UK competition regulator has fined Facebook 50 50.5 million ($ 69.6 million) for violating an order in an investigation into the purchase of GIFI platform Giffy by a US social media giant, the agency said on Wednesday.
The Competition and Market Authority (CMA) said Facebook had deliberately failed to comply with its order, and that the penalty was a warning that no company was above the law.
Regulators and lawmakers have been sharply critical of Facebook’s business practices.
It said it strongly disagreed with the CMA.
The regulator said Facebook had failed to provide full updates on compliance with Giffy’s requirements to continue to compete with Giffy and did not integrate its operations with Giffy during its investigation.
The CMA said that despite multiple warnings, Facebook did not provide the required information.
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“We have warned that Facebook’s refusal to provide important information is a violation of the order, but Facebook is still neglecting its legal obligations after losing the appeal in two separate courts,” said Joel Bamford, senior director of the merger. CMA.
“This should be a warning to any company that thinks it is above the law.”
Bamford’s statement echoed U.S. Labor Attorney Seema Nanda’s statement on Tuesday after Facebook agreed to pay up to $ 14.25 million in civil rights settlement due to compliance with recruitment rules.
A media report on Wednesday said Facebook was planning to rename itself, a change that could see a parent company oversee its brands.
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Responding to the CMA fine, Facebook said: “We strongly disagree with the CMA’s unjust decision to punish Facebook for an approach that conforms to the best endeavors approved by the CMA itself.
“We will review the CMA’s decision and consider our options.”