eBay Inc., an online retail platform, is set to pay a $3 million fine to settle criminal charges stemming from a harassment campaign carried out by its employees. These employees sent live spiders, cockroaches, and other unsettling items to the residence of a Massachusetts couple, as detailed in court documents filed on Thursday.
The Justice Department has accused eBay of stalking and other offenses in a criminal information, with charges coming more than three years after the employees involved faced prosecution for their extensive efforts to intimidate David and Ina Steiner. The Steiners were targeted due to their production of an online newsletter named EcommerceBytes, which had provoked displeasure among eBay executives due to its coverage.
EBay has entered into a deferred prosecution agreement, potentially leading to the dismissal of charges against the California-based company if it adheres to specified conditions, as stated by the U.S. attorney’s office in Massachusetts.
The publishers and editors of the newsletter, the Steiners, have also filed a federal lawsuit against the e-commerce giant, detailing how cyberstalking and disturbing deliveries disrupted their lives. Ina Steiner faced harassing and threatening messages on Twitter, along with strange emails from groups like an irritable bowel syndrome patient support group and the Communist Party of the United States.
In addition to live spiders and cockroaches, the couple received a funeral wreath, a bloody pig mask, and a book about surviving the loss of a spouse. Their home address was also posted online with invitations for yard sales and parties from strangers.
The harassment began in 2019 after Ina Steiner wrote a story about eBay accusing Amazon of poaching its sellers. eBay’s then-CEO, Devin Wenig, reportedly sent a message urging action against her, leading to a series of disturbing incidents. Wenig, who resigned as CEO in 2019, was not criminally charged and denied knowledge of the harassment campaign.
Seven former eBay employees, including James Baugh and David Harville, pleaded guilty in the case. Baugh, described as the mastermind, recruited Harville to spy on the Steiners in Boston. They attempted to install a GPS tracker on the couple’s car, and when unsuccessful, planned to break into the garage. Baugh alleged he faced pressure from Wenig and other executives and was later pushed out by the company during an internal investigation. Harville claimed no involvement in the threatening messages or deliveries.