Title: eBay Agrees to Pay $3 Million Fine for Harassment Campaign Against Massachusetts Couple
eBay, the popular online marketplace, has reached a settlement with the Justice Department, agreeing to pay a $3 million fine to resolve criminal charges related to a harassment campaign against a Massachusetts couple. The campaign was carried out in 2019 as retaliation for the couple’s coverage of eBay in their newsletter.
The scheme involved a series of disturbing deliveries, including live insects, a funeral wreath, and other intimidating items, sent to the couple’s home. The Justice Department charged eBay with stalking, witness tampering, and obstruction of justice. As a result, seven eBay employees and contractors were convicted of felony charges for their involvement in the campaign.
To account for its employees’ actions, eBay has accepted responsibility and entered into a deferred prosecution agreement. This agreement stipulates that the charges against the company could potentially be dismissed if eBay adheres to the terms. One of the key requirements is the retention of an independent monitor for a period of three years.
The $3 million fine imposed on eBay is the maximum penalty for the six charges it faced. Acting U.S. Attorney Joshua Levy condemned eBay’s conduct, describing it as “absolutely horrific, criminal.” The orchestrators of the harassment campaign were identified as eBay’s former senior director of Safety and Security, along with six other security team members.
The campaign involved various tactics, such as creating fake Twitter accounts to send threatening messages, publicly exposing the couple’s home address, and even placing a GPS device on their car. The couple, who co-founded an e-commerce trade publication, had reported on eBay’s ongoing lawsuit against Amazon, which likely sparked the retaliation from the company.
Seeking justice, the Massachusetts couple promptly filed a civil lawsuit against eBay and the former employees involved. The trial for this matter is scheduled for March, aiming to hold those responsible accountable for their actions. Notably, former CEO Devin Wenig, who is not charged, has denied any wrongdoing.
With the settlement in place, eBay’s current CEO, Jamie Iannone, acknowledged the company’s misconduct in 2019 as “wrong and reprehensible.” Iannone emphasized that eBay has taken significant steps to improve its policies and procedures since then, aiming to ensure such unacceptable behavior does not occur again.
As eBay moves forward, the company intends to learn from this incident, rebuild trust with its customers and the public, and demonstrate its commitment to ethical practices in the future.
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