U.S. bankruptcy judge on July 7 approves $46.75 million settlement for 2023 bankruptcy victims data breach Genetic testing company 23andMe exposed genetic and other personal information of an estimated 6.9 million customers.
U.S. Bankruptcy Judge Brian Walsh in St. Louis said the settlement was fair and equitable and in the best interests of the trust overseen by the company’s bankruptcy trustee.
The settlement will reduce the $14.29 million previously paid for the violations, bringing the total additional payment to $32.46 million.
Related: 23andMe data breach claimants to receive $46.75 million settlement
Palo Alto, California-based 23andMe filed for protection from creditors in March 2025. It cited data breaches and related lawsuits as well as increased competition and declining demand for genetic testing products. as grounds for its Chapter 11 filing.
Last July, TTAM Research Institute, a nonprofit organization controlled by 23andMe co-founder Anne Wojcicki, acquired the assets of 23andMe for $305 million.
California Attorney General Rob Bonta also filed a lawsuit over the breach, accusing 23andMe of ignoring warnings that its systems had been compromised and downplaying the severity of the breach. Secondcamel A multimillion-dollar civil penalty is being sought against Chrome Holding Co, the legal name of 23andMe, in San Francisco Superior Court.
Bonta said in a June 6 filing that Congress did not give bankruptcy judges the power to strip state courts of jurisdiction over state law enforcement actions and did not allow bankruptcy courts to become “a haven for bad actors.”
Bonta’s office did not immediately respond to a request for further comment.
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