Craigslist vs eBay on Leaking Confidential Information
Federal Probe Has Begun on Craigslist, eBay Info Fiasco
Federal investigation has begun to find out whether eBay misappropriated confidential information from Craigslist, according to a Reuters report.
Reuters was able to get a copy of a subpoena issued by a federal grand jury in San Jose, California related to Craigslist's allegations that eBay used its seat at the Craigslist board to fish confidential information about the classified ad business in order to launch a rival service.
"In February 2005, Pierre Omidyar requested information about Craigslist's approach to adding new cities as well as advance notice of plans to launch in new cities," the subpoena alleged.
Pierre Omidyar is the online auctions and shopping giant's founder and chairman. eBay, which owns a 28.4% stake in Craigslist, has not yet released a statement on the Reuters report.
Meanwhile, Forbes reported Tuesday that in late trading, eBay is down 44 cents, or 1.5%, to $28.96.