Tuesday, 18 December, 2018

Federal Bureau of Investigation launches probe into Uber's project 'Hell'

Why Uber's Market Share Has Tanked Uber now faces three federal investigations; the latest looks at the Hell software
Orlando Vargas | 09 September, 2017, 14:41

Uber said it will be cooperating with the FBI's investigation.

The Justice Department is investigating Uber's use of a software tool dubbed "Greyball" that, according to The New York Times, was meant to help drivers evade transportation regulators.

The report was based on the testimonials of a program involved in the program and another one who was briefed on it. News of the NY investigation into Uber's practices was reported earlier by The Wall Street Journal. The program was reportedly in use from 2014 to 2016.

The Wall Street Journal reports that the FBI's NY office is leading the investigation in tandem with the Manhattan U.S. attorney's office, which has already been looking into some of Uber's other anti-competitive tactics.

The attorney's office report includes some details about the software that Uber has never officially addressed.

Uber had not made any comment at the time of publication.

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The FBI is investigating Uber amid claims that the taxi-hailing company used software to interfere with a rival. After more information surfaced through the court proceedings, a USA judge called for a federal investigation along with the already ongoing civil suit.

Then, last month, the Justice Department took initial steps to investigate the managers at the company due to their violations against foreign bribery.

You have to wonder if Dara Khosrowshahi regrets leaving Expedia and stepping into the role of CEO of the embattled 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.

Last month, the company also agreed to settle a Federal Communications Commission investigation into security and privacy failures by agreeing to 20 years of external audits.

Hell was the codename for the secret tracking software.

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