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Feds Charge eBay in Cyberstalking Case

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eBay sign | Image by StockStudio Aerials/Shutterstock

On Thursday, the Justice Department charged eBay with stalking, obstruction of justice, and witness tampering as a result of alleged actions taken by the company five years ago to silence the writers of an e-commerce newsletter that was critical of the e-commerce firm.

In 2019, eBay reportedly attempted to undermine and muzzle David and Ina Steiner, the newsletter authors. The company allegedly used tactics that included cyberstalking and harassment. For example, threatening messages were directed to the writers over social media, attempts were made to install a GPS device on their car, ads were taken out detailing fake sexual events at the Steiner home, and even a bloody pig’s mask was delivered to their front door.

“[The company] engaged in absolutely horrific, criminal conduct,” claimed acting U.S. Attorney for the District of Massachusetts Joshua S. Levy, according to The New York Times. “The company’s employees and contractors involved in this campaign put the victims through pure hell in a petrifying campaign aimed at silencing their reporting and protecting the eBay brand.”

Now, through an agreement with the federal government, eBay will pay a $3 million criminal penalty and welcome an independent corporate compliance monitor.

To accelerate their harassment campaign, the company allegedly flew security team members from San Jose, California, where eBay is based, to Boston, near the homes of the Steiners. After being discovered, a suspect purportedly began destroying incriminating messages and covering up evidence of their activities.

The latest details about the case expanded the number of executives accused of wrongdoing from two to three. The latest suspect has been identified as a senior vice president for global operations.

In 2020, several eBay employees from the corporate security team were arrested in connection with the purported harassment campaign. All seven pled guilty. Six were sentenced to prison or home confinement.

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