Marriott is again confronting a $124 million fine after failing to protect customers data. This is the second fine submitted by UK regulators this week.
The multinational hotel chain said earlier this week that the UK Information Commissioner plans to impose this penalty under the General Data Protection Regulation (GDPR).
GDP requires companies within the European Union (EU) to secure customer’s data and ensure their safety. The penalty arises from a data breach that disclosed the records of 340 million guest globally, including 30 million only in Europe.
Four years following the hacking issue, the American hospitality company discovered the data breach in late 2018. Marriott said earlier that it would appeal any penalty forced by the GDPR.
“We take the privacy and security of guest information very seriously and continue to work hard to meet the standard of excellence that our guests expect,” Marriott CEO Arne Sorenson said in a statement.
Marriott is not the only entity to receive a heavy fine this week. British Airways was also hit with a $230 million fine following a data breach of more than 500,000 customers accounts.
It is noteworthy that any entity that holds data on customers inside the EU is subject to UK watchdogs and companies that violate the law can be fined up to 4% of their annual revenue.
Marriott stock price fell 1.26 % to settle at $139.52 per share.