China’s cyber watchdog on Friday announced an on-site cybersecurity investigation of ride-hailing service DiDi, owing up scrutiny after the criticism of its handling of customer information that caused a downfall in the company’s New York traded shares. The on-site inspection will be conducted two weeks ahead the regulator would probe the ride-hailing company over concerns about national & data security that came days after DiDi raised $4.4 billion & went public on NYSE. The Cybersecurity Administration of China, also announced other departments like the Ministry of Public security, the Ministry of natural resources, the Ministry of transport, the state taxation administration & the state administration of market regulation that will be involved in the on-site investigation. DiDi was ordered to stop signing up new customers while it overhauled its collection & handling of information regarding its users.
Source: Business Standard