Payroll data mistake exposes area workers

June 17, 2006

Associated Press

http://www.dailyherald.com/search/searchstory.asp?id=200400



A national payroll company Thursday accidentally faxed personal and payroll information of at least 80 workers from Glendale Heights, Vernon Hills and elsewhere, exposing them to potential identity theft.

Paul Dullea, a financial planner who lives in Nashua, N.H., received the information on 121 pages from Automatic Data Processing Inc.

The pages had the names, addresses, Social Security numbers and income information for workers at Lingraph Services of Glendale Heights; Kanaflex Corp. in Vernon Hills and Los Angeles; and Fantasy of Flight in Polk City, Fla.

Dullea contacted ADP, which he said sent him a fax apologizing for its mistake. ADP asked him to return the information and to sign a note stating he hadn't copied it.

The letter from ADP representative Marion Lang called the mistaken faxes "an isolated incident."

"Please be assured that we are taking every precaution to ensure that a similar incident does not occur in the future," Lang wrote.

ADP, based in Roseland, N.J., provides payroll services to one in six private-sector workers nationwide, according to its Web site.

In a statement Friday, ADP said the payroll reports for three clients were intended to be faxed between ADP offices and were mistakenly sent to a third party. ADP apologized to its clients and is offering free credit monitoring and identity theft insurance to its clients and affected employees.

"ADP maintains numerous levels of physical, electronic, and procedural safeguards to protect confidential client information," ADP spokeswoman Jaclyn Savage said in the statement. "We continually assess and invest in new technology to protect sensitive information, and upgrade our security practices and systems regularly. The security of our clients. data is of paramount importance to us."

Dullea contacted Lingraph Chief Financial Officer Michael Boskovic Jr. and read his Social Security number to him. "He was all ears after that," Dullea said.

Boskovic Jr. said personal information for all of his 20 employees, including the executives, was exposed. After speaking with ADP, he said he believed the misdirected faxes were an accident.

"I have been given an explanation," Boskovic said. "I've been given a game plan and that's why I feel confident it will be worked out."

A Kanaflex spokeswoman declined comment.

[an error occurred while processing this directive]