ChoicePoint Fined $10 Million for Data Breach

ChoicePoint will pay $10 million in civil penalties and another $5 million to set up a fund to compensate consumers whose financial records were exposed in a massive data breach last year, the Federal Trade Commission (FTC) announced today. The fine is believed to be the largest ever for a security incident, and signals Washington's growing impatience with corporate security breaches.

"The message to ChoicePoint and others should be clear: Consumers’ private data must be protected from thieves," said Deborah Platt Majoras, Chairman of the FTC. "Data security is critical to consumers, and protecting it is a priority for the FTC, as it should be to every business in America." Netcraft: ChoicePoint Fined $10 Million for Data Breach

Linked by shanmuga Thursday, 26th January 2006 11:59PM