The United States Justice Department has opened a criminal investigation into Uber’s use of software to evade regulators.
Reuters reported: 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.
A grand jury subpoena was reportedly issued to the business.
This is a breaking story. Check back for updates.
