Not everyone has the same moral compass. It isn’t even clear that the whistleblower herself was guided by concern for society: she first went to the SEC with these complaints. That’s a weird place to go with concerns about social media’s impact on society. I wonder why? Perhaps…just maybe…it was because the SEC will give her 10-30% of any fines levied against Facebook, leading to a potential windfall of $1 billion or more to her personally.
It takes truly egregious behavior for society to agree that new laws must be passed to outlaw it. The current state of social media says much more about human behavior than Facebook’s behavior. Everyone here would also almost certainly reject the kinds of laws that would be required to make Facebook/IG a healthier place. They would likely involve serious privacy violations, just for starters. So given that legislation in this area has almost no chance of passing, it is unclear what the point of this is, other than a huge payday for the whistleblower.
How about she went to SEC because for certain things that the right place to go to? And the SEC has to fine FB first, which would mean that FB committed illegal acts. That alone is behavior that needs to be encouraged, exposing corporate wrong doing is a net positively for society.
The SEC will make extremely vague allegations that Facebook misled investors by not disclosing some of these reports. Facebook will settle to avoid further reputational damage, paying large fines without admitting wrongdoing. This woman will then buy an island to vacation on and a G650 to get there with. That is how 99% of these things play out.
I personally don’t believe that Facebook has done anything illegal here. That is not to say I don't think they have done anything wrong - their business, like many others, is morally bankrupt in some ways. But there is no codified responsibility for Facebook to do anything to cure the ills of social media. You don’t see casinos being successfully sued for causing suicides, bankruptcies, divorces, financial crimes, etc., but it happens every day. That’s because there is no law against being in a scummy business. Investors in such businesses know (or should know) what they are supporting.
Not that I disagree about the monetary award, but the SEC is one of the federal agencies that has actual teeth these days. Where else would she go, the FTC (ha!)?
It takes truly egregious behavior for society to agree that new laws must be passed to outlaw it. The current state of social media says much more about human behavior than Facebook’s behavior. Everyone here would also almost certainly reject the kinds of laws that would be required to make Facebook/IG a healthier place. They would likely involve serious privacy violations, just for starters. So given that legislation in this area has almost no chance of passing, it is unclear what the point of this is, other than a huge payday for the whistleblower.