eBay will pay $3 million to settle criminal charges for cyberstalking involving former workers. The US Justice Department charged eBay with stalking and witness tampering after several ex-executives stalked a couple who had criticized the firm in a newsletter. The deferred prosecution deal requires eBay to improve its compliance program and hire an independent corporate compliance monitor for three years.
eBay to Pay $3 Million in Cyberstalking Case Involving Former Employees
The harassment campaign by former eBay senior director of safety and security Jim Baugh and six others led to the criminal accusations. The victims were Massachusetts residents Ina and David Steiner, who wrote about eBay lawsuits. Negative press allegedly irritated firm management.
The Steiners received a fetal pig, a funeral wreath, and live spiders and cockroaches as harassment. Three former eBay employees tried to put a GPS monitoring device on the couple’s automobile by visiting their residence. The strategy included Twitter harassment.
Jim Baugh and others were convicted and sentenced for cyberstalking, while one accepted guilt and awaits sentencing. eBay admitted its actions in a deferred prosecution arrangement. The felonies’ maximum fine is $3 million. The US attorney’s office said eBay’s acknowledgment detailed all pertinent information.
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eBay Cyberstalking Fallout: Steiner Family Seeks Justice in Civil Lawsuit
In a victim impact statement, the Steiners described eBay’s conduct as devastating emotionally, psychologically, physically, reputationally, and financially. They called for more prosecutions to dissuade corporate executives from encouraging stalking and harassment.
The Steelers and their newsletter publisher, Steiner Associates, sued eBay and the former employees civilly. Next March is the civil trial.
This unusual cyberstalking case shows the seriousness of corporate wrongdoing and the need to solve it. The settlement and legal actions aim to hold eBay accountable for the harassment campaign and deliver a message that such behaviors are unacceptable.
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