Jordan, McMorris Rodgers accuse FTC head of flouting ethics guidelines in Meta case

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Data Privacy Crackdown
FILE – Lina Khan, then-nominee for Commissioner of the Federal Trade Commission (FTC), speaks during a Senate Committee on Commerce, Science, and Transportation confirmation hearing on Capitol Hill in Washington, April 21, 2021. Whether it is a fitness tracker, “smart” home appliances or the latest kids’ fad going viral in online videos, they all produce a trove of personal data for big tech companies. How that data is being used and protected has led to growing public concern and officials’ outrage. Now federal regulators are looking at drafting rules to crack down on what they call harmful commercial surveillance and lax data security. The FTC announced the initiative Thursday, Aug. 11, 2022. (Graeme Jennings/Washington Examiner via AP, Pool, File) Graeme Jennings/AP

Jordan, McMorris Rodgers accuse FTC head of flouting ethics guidelines in Meta case

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Two heads of leading committees in the House of Representatives have accused Federal Trade Commission Chairwoman Lina Khan of failing to disclose or abide by the recommendations of the agency’s ethics representatives.

House Judiciary Chairman Jim Jordan and House Energy and Commerce Committee Cathy McMorris Rodgers announced on Wednesday that they are investigating whether Khan had adhered to federal ethics guidance in the Meta v. Within case. Khan pushed for the agency to stop Facebook’s parent company from acquiring Within, a virtual reality fitness company, over allegations that it would be a breach of antitrust law, then allegedly attempted to lie about the matter.

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Rodgers had asked Khan if there were any instances where she had not followed the FTC’s Designated Agency Ethics Official’s guidance. Khan said there were not any instances. A June 16 Bloomberg report later revealed that the FTC’S DAEO had recommended Khan recuse herself from the Meta case “to avoid an appearance of partiality concern pursuant.” Ignus failed to comply.

Khan’s response to Rodgers “omitted an important recommendation by the DAEO and raises serious questions about [her] commitment to the fair and impartial administration of the FTC’s authorities,” The two committee chairs wrote.

Jordan also asked for transcribed interviews with more than 23 FTC employees in order to “advance the Committee’s oversight and inform legislative reforms to the Commission.”

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The FTC attempted to block Meta’s acquisition in July 2022 but dismissed the case in February before it was brought before an administrative court.

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