Drizly data security to be monitored for 20 years under FTC order
By 
Adrianne Appel2023-01-11T20:38:00
Online alcohol retailer Drizly and its chief executive officer agreed to data security requirements and to be assessed by an independent monitor for up to 20 years as part of a final settlement with the Federal Trade Commission over a data breach that impacted 2.5 million consumers, the FTC announced Tuesday.
The FTC had proposed the measures and filed a complaint against Drizly in October, alleging the company and CEO James Cory Rellas knew about security vulnerabilities and ignored them.
Customer emails, addresses, phone numbers, and other data were unnecessarily stored by the company on an insecure platform with gaps that allowed hackers to gain access, the FTC alleged.
THIS IS MEMBERS-ONLY CONTENT
You are not logged in and do not have access to members-only content.
If you are already a registered user or a member, SIGN IN now.
Related articles
-
ArticleFTC places restrictions on CEO in Drizly enforcement proposal
The Federal Trade Commission announced a tentative settlement with online alcohol delivery platform Drizly and its chief executive officer regarding a data breach affecting 2.5 million consumers and the alleged lax security that allowed it to happen.
-
ArticleRetail energy compliance must focus on resilience and reporting
Cybercrime and national critical infrastructure responsibilities are key concerns for retail energy sector compliance. Resilience is vital for companies that keep the lights on and power financial institutions and hospitals.
-
OpinionThe invisible cost of digital defense on mental health
Cybersecurity professionals, particularly those in leadership roles, often face immense pressure and stress due to the constant threat of cyberattacks.
More from Regulatory Enforcement
-
ArticleTariff evasion enforcement: The new FCPA
Companies that import goods into the United States will face heightened enforcement scrutiny for attempted acts of customs fraud, including tariff evasion, under the Trump administration. Thus, chief compliance officers and in-house counsel face a new kind of pressure to ensure they are mitigating risk in this area.
-
ArticleFormer COO of plastics importer faces up to five years for customs falsifications
The chief operating officer of a plastic resin importer has pleaded guilty to intentionally falsifying documents to avoid paying tariffs on goods from China, the Department of Justice (DOJ) announced.
-
ArticleCybercrime against banks and account holders takes hit from FBI
Federal investigators have announced progress in dismantling an online criminal operation that steals bank account information by mimicking legitimate bank websites.