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FTC Sues Sendit App Operator Over Data Collection and Deceptive Practices

By  |  September 30, 2025

The Federal Trade Commission has taken legal action against the operator of Sendit, an anonymous messaging app, for allegedly harvesting children’s personal data without parental consent and using deceptive tactics to drive subscription sales. The complaint, filed by the Department of Justice after a referral from the FTC, names Los Angeles-based Iconic Hearts Holdings, Inc. and its chief executive officer, Hunter Rice.

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    According to a statement, the company is accused of violating the Children’s Online Privacy Protection Rule (COPPA Rule), which requires apps and online services to notify parents before collecting information from users under 13 years old. The complaint alleges that Iconic Hearts failed to obtain verifiable parental consent even though the firm knew thousands of Sendit users were younger than 13. In 2022 alone, more than 116,000 users self-identified as underage, and parents also contacted the company directly to report underage use. Despite this knowledge, Iconic Hearts continued to collect data such as phone numbers, birthdates, photos, and social media usernames from children without notifying parents.

    The FTC further contends that the company deceived consumers by using fake messages to pressure users into buying its premium “Diamond Membership.” Per the complaint, many of these fabricated messages appeared to come from friends or social contacts, and some included provocative or sexual questions. Users were then prompted to pay for the membership, which promised to reveal the sender’s identity but instead provided false or limited information, such as only a location or device type. According to a statement, the subscription terms were also obscured, with many users unaware they would be charged nearly $10 per week on an ongoing basis rather than a one-time fee.

    In addition to the COPPA violations, the complaint alleges breaches of the FTC Act and the Restore Online Shoppers’ Confidence Act, which bars certain deceptive online sales practices involving recurring charges. The Commission voted unanimously to refer the matter to the Justice Department, which filed the case in the U.S. District Court for the Central District of California.

    Source: FTC