The operator site called Artist Arena, which manages fan-sites of pop-artists such Justin Bieber, Selena Gomez, Rihanna and Demi Lovato agreed to pay $1 million in federal charges for violating various privacy laws involving children.
According to the Federal Trade Commissions, the sites called BieberFever.com, SelenaGomez.com, RihannaNow.com collected private information, including addresses and phone numbers of thousands of children under the age of 12, without the consent of their parents. As per the New York Times over 101,000 children were subject to the information gathering.
Artist Arena, which belongs to Warner Music Group, reached the settlement with the FTC on Wednesday, without denying or accepting fault.
David C. Vladeck, the director of the F.T.C.'s bureau of consumer protection, told the New York Times, "These were fan sites that knew that a very substantial percentage of users were 12 or under...There is really no excuse for violations like these."
According to Natasha Singer of the New York Times, the FTC said that the fan-site operating entity violated the Children's Online Privacy Protection Act (COPPA). According to the article, the law "requires operators of Web sites to notify parents and obtain verifiable parental consent before collecting, using or disclosing personal information about children younger than 13," as stated in the New York Times.
Spokesman from Artist Arena refused to comment on the settlement, while FTC member Edith Ramirez says the settlement awaits ratification in the court.
None of the pop-stars are directly linked to the case.