IBM Sued by Its Own Shareholder for Cooperating with the NSA

It seems as if those business which bowed down in front of NSA are now facing a backlash. That’s what we can see from several tech giants and business institutions  who cooperated with the American National Security Agency (NSA) for its spying and surveillance project PRISM. These companies are now loosing billions of dollars and most importantly the trust of their customer for invading privacy.

imd

One among those company is multinational technology and consulting corporation IBM, which has been sued and facing a massive lawsuit by its own shareholder for its collaboration with the NSA. The shareholder claims that by cooperating with NSA, IBM has abused federal securities laws to hide its looses.

BusinessWeek reports that the shareholder filed a complaint on Thursday in a federal district court in Manhattan where the Louisiana Sheriffs’ Pension and Relief Fund claims IBM defrauded investors by allegedly concealing a decline in hardware sales in China following reports in the Guardian about the NSA program.

However, IBM is not the first company to face lawsuit. Just a couple of days ago, a British citizen had sued Microsoft for cooperating with the NSA and providing personal details for PRISM project.

Waqas

Waqas Amir is a Milan-based cybersecurity journalist with a passion for covering latest happenings in cyber security and tech world. In addition to being the founder of this website, Waqas is also into gaming, reading and investigative journalism.