Casino operator MGM sues FTC to block probe into 2023 hack

By Thomson Reuters Apr 15, 2024 | 11:59 AM

By Raphael Satter

WASHINGTON (Reuters) – MGM Resorts International is suing the U.S. Federal Trade Commission to block a probe into the impact on data security of the dramatic hack that hobbled the casino operator last year.

In a lawsuit filed on Monday in federal court Washington, MGM said it was seeking quash the FTC’s demands for information because the operator was not a financial institution and therefore was not subject to FTC rules governing consumer financial data.

The lawsuit also argued that, because FTC Commissioner Lina Khan was reportedly checking in to an MGM hotel when the hack knocked out its systems, she was personally involved in the matter and should recuse herself.

The FTC declined to comment on the suit. MGM had said previously that regulators were examining the breach.

The hack that hit the company in September “cost MGM dearly,” the company said in its lawsuit. The firm has disclosed tens of millions of dollars in damages and the suit said MGM was now the defendant in fifteen consumer class actions.

(Reporting by Raphael Satter; Editing by Josie Kao)