Federal Trade Commission confirms investigation of Facebook, company shares plunge
WASHINGTON (AP) - The Federal Trade Commission has confirmed it has launched an investigation into Facebook. Monday morning Facebook shares plunged on the stock market.
The agency is investigating Facebook's privacy practices following a week of privacy scandals including whether the company engaged in "unfair acts" that cause "substantial injury" to consumers.
Facebook's stock, which already took a big hit last week, plunged as a result.
Facebook said in a statement on Monday that the company remains "strongly committed" to protecting people's information and that it welcomes the opportunity to answer the FTC's questions.
News outlets have reported on the FTC investigation last week, but the FTC hadn't confirmed it until Monday. Facebook reached a settlement with the FTC in 2011 offering privacy assurances.