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Uber faces criminal probe over software used to evade authorities
Source: Reuters
TECHNOLOGY NEWS | Thu May 4, 2017 | 7:20pm EDT
Exclusive: Uber faces criminal probe over software used to evade authorities
By Dan Levine and Joseph Menn | SAN FRANCISCO
The U.S. Department of Justice has begun a criminal investigation into Uber Technologies Inc's use of a software tool that helped its drivers evade local transportation regulators, two sources familiar with the situation said.
Uber has acknowledged the software, known as "Greyball," helped it identify and circumvent government officials who were trying to clamp down on Uber in areas where its service had not yet been approved, such as Portland, Oregon.
The company prohibited the use of Greyball for this purpose shortly after the New York Times revealed its existence in March, saying the program was created to check ride requests to prevent fraud and safeguard drivers. The Times report triggered a barrage of negative publicity for the company.
The criminal probe could become a significant problem facing the company that is already struggling with an array of recent business and legal issues.
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Exclusive: Uber faces criminal probe over software used to evade authorities
By Dan Levine and Joseph Menn | SAN FRANCISCO
The U.S. Department of Justice has begun a criminal investigation into Uber Technologies Inc's use of a software tool that helped its drivers evade local transportation regulators, two sources familiar with the situation said.
Uber has acknowledged the software, known as "Greyball," helped it identify and circumvent government officials who were trying to clamp down on Uber in areas where its service had not yet been approved, such as Portland, Oregon.
The company prohibited the use of Greyball for this purpose shortly after the New York Times revealed its existence in March, saying the program was created to check ride requests to prevent fraud and safeguard drivers. The Times report triggered a barrage of negative publicity for the company.
The criminal probe could become a significant problem facing the company that is already struggling with an array of recent business and legal issues.
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Read more: http://www.reuters.com/article/us-uber-tech-crime-exclusive-idUSKBN1802U1
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