"An Indian man is facing five years in jail for making an "offensive" comment [against Sonya Ghandi] after Google handed his personal data to local police."
http://www.v3.co.uk/vnunet/news/2217063/google-handing-user-...
Yahoo taken to task over China
http://www.boycottyahoo.com/yahoo_taken_to_task_over_china.h...
The personal data that is handed over is email address of the account. It's probably a privacy violation if it's really that hard to find out someone's email address once you know his social network account, but it's not spying on people.
Google's Orkut social networking site
Here is the same story on TechCrunch showing how Google provided more than just an email address:
The owner of the email id Rahul Vaid was traced, using information supplied by Google, to Chakarpur in Gurgaon city of Haryana.
http://techcrunch.com/2008/05/18/hit-pause-on-the-evil-butto...
[citation needed]