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Database giant gives access to fake firms (ChoicePoint warns more than 30,000 they may be at risk)
MSNBC ^ | Feb, 14, 2005 | Bob Sullivan

Posted on 02/15/2005 7:25:05 AM PST by Zacs Mom

Criminals posing as legitimate businesses have accessed critical personal data stored by ChoicePoint Inc., a firm that maintains databases of background information on virtually every U.S. citizen, MSNBC.com has learned.

(Excerpt) Read more at msnbc.msn.com ...


TOPICS: Business/Economy; Crime/Corruption; Culture/Society; Miscellaneous; News/Current Events
KEYWORDS: choicepoint; identitytheft
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Criminals posing as legitimate businesses have accessed critical personal data stored by ChoicePoint Inc., a firm that maintains databases of background information on virtually every U.S. citizen, MSNBC.com has learned.

The incident involves a wide swath of consumer data, including names, addresses, Social Security numbers, credit reports and other information. ChoicePoint aggregates and sells such personal information to government agencies and private companies.

Last week, the company notified between 30,000 and 35,000 consumers in California that their personal data may have been accessed by "unauthorized third parties," according to ChoicePoint spokesman James Lee.

California law requires firms to disclose such incidents to the state's consumers when they are discovered. It is the only state with such a requirement but such data thefts are rarely limited to a single geographic area.

Lee said law enforcement officials have so far advised the firm that only Californians need to be notified.

"The only incident that has been confirmed is in California," he said.

ChoicePoint maintains a dossier on virtually every American consumer, according to Daniel J. Solove, George Washington University professor and author of "The Digital Person."

The Atlanta-based company says it has 10 billion records on individuals and businesses, and sells data to 40 percent of the nation's top 1,000 companies. It also has contracts with 35 government agencies, including several law enforcement agencies.

Victims told months after the fact The incident was discovered in October, when ChoicePoint was contacted by a law enforcement agency investigating an identity theft crime. In that incident, suspects had posed as a ChoicePoint client to gain access to the firm's rich consumer databases.

Subsequent research by ChoicePoint revealed that about 50 fake companies had been set up and then registered with ChoicePoint to access consumer data. 

California consumers who received warning letters from the firm last week were "in some way connected to searches" conducted by those fake accounts, Lee said.

The firm was only given clearance by law enforcement officials to disclose the incident two weeks ago, Lee said

While the criminals had access to ChoicePoint data, it's not clear what, if any, information was stolen, said Chuck Jones, another ChoicePoint spokesman. The letters were sent as a precaution, he said.

The FBI, Los Angeles County Sheriff's Office, and the U.S. Postal Inspector's Office are investigating, he said.

Consumer frustrated by notification The letter urges consumers to check their credit reports for suspicious activity.

"We believe that several individuals, posing as legitimate business customers, recently committed fraud by claiming to have a lawful purpose for accessing information about individuals," it reads. "You should continue to check your credit reports frequently for the next year."

The two-page letter offers details on how to spot fraud, but no additional information about the incident, or what information may have actually been stolen.

"ChoicePoint has apologized for any inconvenience this incident may cause," said ChoicePoint spokesman Chuck Jones.  "But ChoicePoint has no way of knowing whether anyone's personal information actually has been accessed," or used to commit identity theft, he added.

California consumer Elizabeth Rosen, who received the ChoicePoint letter Friday, was upset that the company only provided sketchy details about the incident to her.

"They gave a toll free number to call, but when I called, the person just read from a script ... they said disclosing too many details may hurt an ongoing investigation," Rosen said. "I'm not happy about this. I didn't even know who ChoicePoint was."

That reaction is common, according to Solove.

"Even though you might not have heard of ChoicePoint, they've heard of you. They are playing a role in your people's lives whether they know it or not," he said.

Privacy consultant Larry Ponemon, who operates the Ponemon Institute, said he was surprised criminals were able to pose as ChoicePoint clients.

"What really concerns me is when low-tech methods are used to gain access, than you really have problems," said. "Obviously this is very surprising, given that they are in the data business."

Jones said ChoicePoint had adjusted its procedures to "help protect against a repeat" of the incident.

Bob Sullivan is the author of  Your Evil Twin: Behind the Identity Theft Epidemic. © 2005 MSNBC Interactive

URL: http://www.msnbc.msn.com/id/6969799/

1 posted on 02/15/2005 7:25:08 AM PST by Zacs Mom
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To: Zacs Mom

WOW! Not good at all!


2 posted on 02/15/2005 7:25:56 AM PST by Kennesaw
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To: Zacs Mom

Any idea on how we contact these people to have them remove our info from their database?


3 posted on 02/15/2005 7:26:49 AM PST by Bikers4Bush (Flood waters rising, heading for more conservative ground. Vote for true conservatives!)
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To: Zacs Mom

Blood boiling bump for invasion of privacy.


4 posted on 02/15/2005 7:27:42 AM PST by IamConservative (To worry is to misuse your imagination.)
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To: Bikers4Bush
You don't own yourself.

It has always been difficult for me to comprehend why Disney can still maintain rights to "mouse ears" long after the tradtional copyrights (50 years) has run, yet you and I do not own our own names.

These data companies compile dosiers on you and me not only without our permission, but then sell them without giving us royalties! They maintain a kind of copyright on our identities...boggles the mind.

5 posted on 02/15/2005 7:30:03 AM PST by Mamzelle
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To: Bikers4Bush

Well according to the law. It's not your info.


6 posted on 02/15/2005 7:31:11 AM PST by CJ Wolf
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To: Bikers4Bush
Any idea on how we contact these people to have them remove our info from their database?


That's a darn good question - especially in light of this quote from the article:

"ChoicePoint maintains a dossier on virtually every American consumer, according to Daniel J. Solove, George Washington University professor and author of "The Digital Person."

7 posted on 02/15/2005 7:32:39 AM PST by Zacs Mom (Proud wife of a Marine! ... and purveyor of "rampant, unedited dialogue")
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To: CJ Wolf

That all depends on what info they are keeping in their database.

If it's not something public then it is most certainly my info.


8 posted on 02/15/2005 7:33:25 AM PST by Bikers4Bush (Flood waters rising, heading for more conservative ground. Vote for true conservatives!)
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To: Bikers4Bush

I'd love for you to win the case and allow us all to take back what is supposed to be ours. I can pretty much see that Choicepoint will be one of the databases linking to the "real id".


9 posted on 02/15/2005 7:35:30 AM PST by CJ Wolf
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To: Bikers4Bush

if you go to their website you will see that it's for the children.

http://www.choicepoint.com/

(not kidding)


10 posted on 02/15/2005 7:37:27 AM PST by CJ Wolf
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To: CJ Wolf

I've been very successful at having my personal info removed from lists.

Mind you it takes actually writing a letter and getting a return receipt etc. but I can tell you it works.


11 posted on 02/15/2005 7:38:13 AM PST by Bikers4Bush (Flood waters rising, heading for more conservative ground. Vote for true conservatives!)
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To: Bikers4Bush

I've had luck with lists and such, but this is a bit different. In any rate, good luck at it and please tell me how you get on with Choicepoint. I'll be interested in finding out if you can actually get out of their system.


12 posted on 02/15/2005 7:49:09 AM PST by CJ Wolf
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To: CJ Wolf

I sent them an e-mail requesting the process I need to go through to have my info removed.

If you'd like I'll let you know what I find out.


13 posted on 02/15/2005 7:49:40 AM PST by Bikers4Bush (Flood waters rising, heading for more conservative ground. Vote for true conservatives!)
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To: Bikers4Bush

Yes Please! Thanks!


14 posted on 02/15/2005 7:50:50 AM PST by CJ Wolf
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To: Zacs Mom

BUMP


15 posted on 02/15/2005 7:52:04 AM PST by Woodstock (<------- is a BIRD)
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To: Bikers4Bush

re: #3, its a little too late now yes?


16 posted on 02/15/2005 7:54:59 AM PST by isom35
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To: isom35

Not if you weren't one of the one's compromised.


17 posted on 02/15/2005 7:55:40 AM PST by Bikers4Bush (Flood waters rising, heading for more conservative ground. Vote for true conservatives!)
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To: Bikers4Bush

you would be 100% sure? if they said to you "ahhh, ya, we think they missed you..." once the genie is out of the bottle...


18 posted on 02/15/2005 8:18:36 AM PST by isom35
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To: isom35

At the very least I would be protected from future instances like this.


19 posted on 02/15/2005 8:23:05 AM PST by Bikers4Bush (Flood waters rising, heading for more conservative ground. Vote for true conservatives!)
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To: Mamzelle

You are right on target. **ChoicePoint** knows everything you or I do in this world, I mean EVERYTHING.


20 posted on 02/15/2005 8:27:01 AM PST by Orange1998
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