WASHINGTON (Legal Newsline) — The Federal Trade Commission (FTC) announced April 30 that BLU Products Inc., a mobile phone manufacturer, and co-owner and President Samuel Ohev-Zion, will settle allegations the company allowed a third-party service provider in China to collect detailed personal information about consumers.
To settle the allegations, BLU and Ohev-Zion agreed to be banned from future misrepresentations about the privacy and security of consumers’ personal information. Additionally, the company must institute and manage a comprehensive security program in order to better protect consumers from identity theft and data breaches. This security program will be subject to third-party assessments every two years for the next couple decades.
The FTC voted 2-0 to issue the administrative complaint and to accept the proposed consent agreement, which is available for public comment until May 30. Afterward, the FTC will determine whether to finalize the agreement. Details of the agreement will be published to the Federal Register. Individuals wishing to comment on the order can submit comments electronically on the FTC’s website by going to the “supplementary information” section and clicking on “invitation to comment.”
