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Dutch authorities fined US facial recognition firm Clearview AI 30.5 million euros Tuesday for "illegally" creating a database with billions of photos of faces, which they called a "massive" rights breach.
In addition to the penalty, the equivalent of $33.7 million, the Dutch Data Protection Authority (AP) banned the use of Clearview in the Netherlands.
The watchdog also warned companies that work with the US firm of "hefty fines."
Clearview scrapes images of faces from the internet without seeking permission and sells access to a trove of billions of pictures to clients, including law enforcement agencies.
It says on its website it has the world's largest stock of more than 50 billion photos from public sources for use in criminal probes and ensuring public safety.
But AP chairman Aleid Wolfsen said: "Facial recognition is a very invasive technology that you can't just unleash on everyone in the world."
"If a photo of you is on the internet -- and who isn't? -- then you can end up in the Clearview database and be tracked," added Wolfsen.
"This is not a doomsday scenario from a scary movie. And it's not something that could only happen in China."
Clearview has already received similar fines in Britain, France and Italy.
When French authorities fined the firm in 2022, Clearview boss Hoan Ton-That said the company had no clients or premises in France and was not subject to EU privacy law.
According to the Dutch AP statement, Clearview maintained it provided services only to intelligence and investigation services outside the European Union.
"That's bad enough," said Wolfsen.
"Don't let this go any further. We need to draw a very clear line when it comes to the misuse of this kind of technology."
In May 2023, France imposed a further fine on Clearview for failing to pay the initial 20-million-euro fine.
The Dutch AP warned Clearview it would be liable for further penalties of up to 5.1 million euros if it did not stop its violations.
"Such a company cannot continue to violate the rights of Europeans with impunity. Certainly not in this serious and massive way," said Wolfsen.