FTC Files Complaint Against Information Broker
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The FTC said the case marks the first federal action against an information brokerage agency engaged in such practices, known as "pretexting." The FTC voted to authorize the complaint by a 3-to-1 majority, with Commissioner Orson Swindle dissenting on the basis that the case did not violate the federal standard for deception or unfairness, in part because it did not contain allegations of economic or other harm. He added that the case could represent "a foray into broader privacy regulation."