3 Companies Settle FTC Allegations About Participation in APEC Privacy Program

Sentinel Labs, SpyChatter and Vir2us settled separate but similar FTC allegations that they allegedly deceived consumers about their participation in the Asia-Pacific Economic Cooperation's (APEC) voluntary data-transfer system, said the commission in a Wednesday news release. Commissioners voted 2-0 to accept the three proposed consent orders, which will be published in the Federal Register soon, for comment through March 24. The commission will then decide whether to make the agreements final. The FTC alleged the companies said in their online privacy policies that they participated in the APEC Cross-Border Privacy Rules system when they didn't. The system "facilitates privacy-respecting data transfers between APEC member economies through a voluntary, enforceable mechanism, which certifies companies as being compliant with ... program requirements," said the FTC. The agency also said security company Sentinel Labs, which also does business as SentinelOne, "falsely" claimed participation in TRUSTe's privacy program. SpyChatter provides a secure messaging app while Vir2us is a cybersecurity company. The settlements bar the companies "from misrepresenting their participation, membership or certification in any privacy or security program sponsored by a government or self-regulatory or standard-setting organization." The companies didn't comment.