Facebook Investor Probing $5 Billion Privacy Payout Gets a Boost

Facebook Inc. lost a fight to withhold records in an investor lawsuit probing whether the company overpaid in a record $5 billion settlement with a government regulator in 2019 to protect founder Mark Zuckerberg in the wake of the Cambridge Analytica privacy scandal.

A Delaware judge ruled Wednesday that Facebook must furnish some internal files to Rhode Island’s public employee pension fund, which is questioning how the company came to terms with the U.S. Federal Trade Commission in the agency’s sweeping investigation of the misuse of consumer data.

The pension fund is looking into whether Facebook directors agreed to pay ...