From Yahoo Finance.: 2025-04-29 18:48:00

Genetic testing company 23andMe agrees to have court-appointed overseer ensure customers’ genetic data protection during bankruptcy, settling dispute with U.S. states. Bankruptcy Judge orders appointment of consumer protection ombudsman to review handling of data and security policies, with initial budget of $300,000 and potential for more funds.

23andMe, with genetic data from 15 million customers, faces scrutiny over bankruptcy sale of data and business. Company aims to protect customer data in sale, amidst concerns of data going to unscrupulous buyers. Founder Anne Wojcicki expresses interest in buying back the company as negotiations with potential buyers continue.

Concerns raised during hearing about $30 million settlement for 6 million customers affected by 2023 data breach. Value of settlement now in dispute as 23andMe files for bankruptcy. Talks with potential buyers ongoing, with deadline extended to April 30 as company seeks to name bidder for future auction.

Read more: 23andMe will have court-appointed overseer for genetic data in bankruptcy