Finance
Italy's privacy watchdog, scourge of US big tech, hit by corruption probe
Published by Global Banking and Finance Review
Posted on January 15, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on January 15, 2026
ROME, Jan 15 (Reuters) - Italian finance police searched the headquarters of the country's data protection agency on Thursday as part of an investigation into possible corruption and embezzlement, a judicial source said.
Rome prosecutors are investigating the agency's president, Pasquale Stanzione, and three other board members over alleged excessive spending and possible corruption behind its decisions, Italian news agencies including ANSA as well as the judicial source, who did not wish to be named, said.
Stanzione, when asked by reporters to comment on the investigation, said he was "absolutely serene".
The opposition 5-Star Movement said the agency's credibility had been undermined and called for Stanzione to resign.
Stanzione declined to answer when asked repeatedly by reporters whether he would step down.
The data privacy authority, known in Italy as the Garante, is one of the European Union's most proactive regulators in assessing AI platform compliance with the bloc's data privacy regime.
It frequently takes initiatives - such as requesting information or imposing fines or bans - on matters affecting high-tech multinationals operating in the country.
Last week, it warned users and providers of artificial intelligence tools, including Elon Musk's chatbot Grok, over the risk of generating deepfake images from real content without the consent of featured individuals.
It previously fined and briefly banned ChatGPT maker OpenAI over its use of personal data by the generative AI application, and blocked China's DeepSeek chatbot after the company failed to address concerns over its privacy policy.
(Reporting by Marco Roberti, writing by Gavin Jones, editing by Susan Fenton)
Data protection refers to the legal and regulatory framework that governs the collection, storage, and use of personal data to ensure individuals' privacy and rights.
Corruption is the abuse of power for personal gain, which can include bribery, embezzlement, and other unethical practices that undermine trust in institutions.
Financial regulation involves the rules and laws governing financial institutions and markets to ensure stability, transparency, and consumer protection.
AI regulation refers to the policies and guidelines established to govern the development and use of artificial intelligence technologies, ensuring ethical standards and compliance with existing laws.
A data protection agency oversees the enforcement of data protection laws, ensuring that organizations comply with regulations regarding the handling of personal information.
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