Booking.com targeted in EU investigation into phishing scams, fraudulent listings

Booking Holdings (BKNG) shares fell 3.8% after the European Commission began investigating potential breaches of the Digital Services Act, including risks from fake listings and unclear ad labeling. The stock later recovered slightly to $158.11, down 3.6%. The company faces regulatory uncertainty, which may impact its European operations and investor sentiment. BKNG is down 25.8% year-to-date and 28% below its 52-week high.

The European Commission is investigating Booking.com for potential violations of the Digital Services Act, focusing on fake listings, phishing, and unlabelled ads. The probe follows a review of Booking.com's risk assessments. The company faces fines up to 6% of global revenue if found in violation. Booking.com states it prioritizes user safety and is cooperating with regulators.

The European Commission opened an inquiry into Booking.com, investigating potential violations of the Digital Services Act related to fraudulent listings, phishing scams, and transparency in ad labeling. Booking.com is cooperating, stating security and trust are priorities. The EC will examine data sharing practices and messaging service design. Separately, scam prevention expert Erin West discussed tracking overseas scammers via digital records.

EU regulators are investigating Booking.com for alleged failures to protect consumers from fake listings and scams, potentially breaching the EU's Digital Services Act. The company could face fines up to 6% of its global revenue. Booking.com denies wrongdoing and says it is cooperating with regulators. The investigation follows reports of increased fraud cases involving the platform.

The European Commission has started a formal investigation into Booking.com on October 21, focusing on alleged fraud and phishing activities. The probe could impact the company's operations and reputation in the EU market.

The EU is investigating Booking.com under the Digital Services Act (DSA) for potential failures in preventing fraudulent listings and phishing scams, as well as transparency issues in advertising. The probe will assess risks related to illegal content, data sharing, and advertising practices. Booking.com will cooperate with the investigation, which could lead to enforcement actions or commitments from the company.