U.S.Citizens' Data Possibly Compromised

By Ellen Simon, Associated Press Writer | March 9, 2005

NEW YORK --Using stolen passwords from legitimate customers, intruders accessed personal information on as many as 32,000 U.S. citizens in a database owned by the information broker LexisNexis, the company said.

The announcement Wednesday comes on the heels of a series of similar high-profile breaches, the most serious affecting another large data broker, ChoicePoint Inc. in which scores of identities were stolen.

The ChoicePoint case, as well as other data losses including one affecting some 1.2 million federal employees with Bank of America charge cards, have prompted an outcry for federal oversight of a loosely regulated commercial sector. In the data-brokering business, sensitive data about nearly every adult American is bought and sold.

The first in a series of Capitol Hill hearings are scheduled for Thursday.

At LexisNexis, criminals found a way to compromise the logins and passwords of a handful of legitimate customers to get access to the database, said Kurt Sanford, the company's chief executive, told The Associated Press.

The database that was breached, called Accurint, sells reports for $4.50 each that include an individual's Social Security number, past addresses, date of birth and voter registration information, including party affiliation.

No credit history, medical records or financial information were accessed in the breach, LexisNexis parent company Reed Elsevier Group PLC said in a statement.

The Accurint database is part of the Seisint unit, which LexisNexis bought in August. Sanford said a team examining Seisint's data security routines in February noticed abnormal usage patterns and suspicious billing on some accounts.

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[TELECOM Digest Editor's Note: Also see the article by Lisa Minter in this issue of the Digest. PAT]

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