Facebook faces a public relations crisis. What about a legal one? – The New York Times

The Facebook PapersOne of the most pressing questions is whether the Securities and Exchange Commission will significantly add to the company’s woes.Credit…Illustration by Mel Haasch; Photograph by Getty ImagesOct. 26, 2021, 3:00 a.m. ETWASHINGTON — In recent weeks, Facebook’s stock has fallen roughly 5 percent, shaving billions off its market value. Lawmakers have introduced laws that could weaken the company’s legal protections. Shareholders filed a resolution to dilute the power of its chief executive, Mark Zuckerberg.All of that has been in response to the thousands of pages of internal research and testimony provided by Frances Haugen, a former Facebook product manager. She has said the documents show that the company chooses profits before the safety of users. Many of the documents, called the Facebook Papers, were shared with a consortium of news organizations that included The New York Times.Now one of the most pressing questions is whether the Securities and Exchange Commission — the federal agency where Ms. Haugen sent the documents — will significantly add to the company’s woes.Whistle-blowers have filed at least nine complaints to the agency, which has oversight of public companies like Facebook, using a selection of the internal documents to argue that Facebook misled investors…
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