(The Hosting News) – Popular hotel company Wyndham recently found itself facing the wrath of the U.S. Federal Trade Commission (FTC). On Tuesday, the government agency announced a suit against the company for its failure to adequately protect consumers against data breaches.
Wyndham has properties spread throughout the United States and other locations in the UK, China, Mexico, Puerto Rico, Australia and more.
In a release, the FTC signaled that hackers were able to defraud consumers by rerouting consumer payment data to a Russian domain address. In addition to that, breaches lead to the loss of millions along with bogus charges on user accounts.
The agency cited a Wyndham policy statement in which the hotel provider touted its user privacy policies. However, the FTC emphasized that the company’s actions were inadequate, failing to provide for proper firewalls, secure usernames and passwords, incorrect configurations for software and more.
“Because of Wyndham’s inadequate security procedures, the breach gave the intruders access to the corporate network of Wyndham’s Hotels and Resorts subsidiary, and the property management system servers of 41Wyndham-branded hotels,” stated the FTC in a press release regarding the matter.
Hackers used techniques such as malware to infiltrate the hotel company’s systems. Three data breach occurrences were cited in the suit. In recent years, the FTC has remained a critical voice on online issues. In December, the commission sent ICANN recommendations for implementing new gTLDs obtain through the Internet authority’s application process.