Yahoo’s failure to disclose its infamous 2014 data breach has now resulted in a $35 million fine from the US Securities and Exchange Commission (SEC). While the company has agreed to pay up, it is not actually admitting to any misconduct.
Yahoo, which is now part of US telecoms giant Verizon and operates corporately under the name of Altaba, was hit by Russian hackers who stole personal data and sensitive information from half a million of its users. Despite spotting the incursion almost immediately, Yahoo failed to launch an enquiry or inform its investors and the authorities. News of the debacle only came to light as a result of the Verizon take-over bid some two years later.
The SEC is using this opportunity to draw attention to Yahoo’s catalogue of failings and urge other companies to make sure they investigate any breaches promptly and keep all their stakeholders informed.