US regulators to crack down on 'blogger payola'

US regulators are to crack down on bloggers who fail to disclose money or gifts received from companies when reviewing their products. In the new policy from the Federal Trade Commission, offending bloggers could eventually face fines of up to $11,000 (£6,900) per violation. In a statement the FTC said "the revised guides specify that […]

US regulators are to crack down on bloggers who fail to disclose money or gifts received from companies when reviewing their products. In the new policy from the Federal Trade Commission, offending bloggers could eventually face fines of up to $11,000 (£6,900) per violation. In a statement the FTC said "the revised guides specify that while decisions will be reached on a case-by-case basis, the post of a blogger who receives cash or in-kind payment to review a product is considered an endorsement. "Thus, bloggers who make an endorsement must disclose the material connections they share with the seller of the product or service." The new policy will also apply to Twitter, Facebook, Yelp and other forms of new media advertising, reports BBC.