FTC Press Release 2/25/2010.
ControlScan, a company that consumers have relied on to certify the privacy and security of online retailers and other Web sites, has agreed to settle Federal Trade Commission charges that it misled consumers about how often it monitored the sites and the steps it took to verify their privacy and security practices. The settlements will bar future misrepresentations. The founder and former Chief Executive Officer has entered into a separate settlement that requires him to give up $102,000 in ill-gotten gains.
Third-party privacy and security certification programs like ControlScan are used by Web sites to assure visitors and customers that the site is secure and consumers can feel confident about providing personal and financial information. Certification companies provide privacy and security “seals†to convey that an independent party is auditing the practices of the site regularly to be sure its data is not vulnerable.
http://www.ftc.gov/opa/2010/02/controlscan.shtm
Hat tip: http://blogs.pcmag.com/securitywatch/2010/02/controlscan_settles_misreprese.php
