The Federal Trade Commission has levied what it says is the largest fine imposed for a violation of the Children's Online Privacy Protection Act.
Social-networking and blog site Xanga.com has been ordered to pay $1 million in a settlement with the FTC for violating COPPA, reports CNET. The FTC said Xanga had been letting people create accounts - and collecting personal information from them - even if the dates of birth they entered indicated they were under 13. Not requiring parental notification and consent from such users is contrary to the provisions of the 1998 act.
The FTC said Xanga's policies regarding children were not clear enough and parents had no means to access and control their children's information. Some 1.7 million Xanga accounts in the last five years had been registered with a birth date implying the user was under 13.
Xanga said it is instituting new rules and standards.
