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June 11 (Reuters) – Victims of a 2023 data breach at 23andMe will share $46.75 million under a plan approved by the genetic testing company’s bankruptcy administrator, a court filing shows.
In a Wednesday night filing in St. Louis bankruptcy court, the administrator said the payout is $3.25 million below the maximum authorized in January by the judge overseeing 23andMe’s Chapter 11 case. It called the payout an “equitable outcome” that avoids further litigation and reflects the company’s financial condition.
Court approval is required. The amount will be reduced by $14.29 million previously disbursed in connection with the breach, making the total additional payout $32.46 million, the administrator said.
The data breach exposed genetic and other personal information of an estimated 6.9 million U.S. customers. More than 255,860 claims have been resolved, with thousands still pending, the bankruptcy administrator said.
The company is still defending against a related lawsuit filed last month by California Attorney General Rob Bonta in a state court. Bonta said 23andMe ignored warnings that its systems were compromised and downplayed the breach’s severity. He is seeking potentially millions of dollars in civil fines.
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