Vodafone Pays $51.3 Million Fine to Germany Over Alleged Fraud by Partners

MT Newswires Live
06/03

Vodafone (VOD) has been struck with two fines totalling 45 million euros ($51.3 million) by Germany's Federal Institute for Digital Infrastructure over "malicious behavior" by partners accused of fraud, the agency said Tuesday.

The agency fined Vodafone 15 million euros for failing to properly monitor partner agencies and 30 million euros for security flaws on its online customer service portal that allowed unauthorized people to access customer accounts, the agency said in a statement as translated by Google.

"Where data protection violations occur, sanctions must be imposed," said Louisa Specht-Riemenschneider, head of the German agency, according to Google translation.

The agency said Vodafone has since improved its processes and systems "to eliminate such risks in the future" and upgraded its process for selecting partners.

The agency also said that Vodafone cooperated with the investigation and has already paid the fine.

Vodafone did not immediately reply to MT Newswires' request for comment.

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