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Cambridge Analytica Files for Bankruptcy

Cambridge Analytica Files for BankruptcyCambridge Analytica Files for Bankruptcy

Cambridge Analytica, overwhelmed by a scandal over how it harvested data from Facebook to influence the last US election, filed for bankruptcy in New York. The UK-based political consulting firm had already said it would cease operations and wind down in its home country and the Chapter 7 petition in New York will address issues raised by US creditors. The filing listed estimated liabilities of $1 million to $10 million, Bloomberg reported. The American proceeding could also shed light on some of the company’s relationships and finances, as US legal proceedings are more transparent than those in the UK, and creditors can use bankruptcy law to subpoena information and probe asset transfers. The company, which did work for US President Donald Trump’s 2016 campaign, said in a May 2 statement on its website that it lost “virtually all” customers and suppliers as a result of reports that it improperly obtained information from tens of millions of Facebook users.

 

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