[Dataloss] Real estate services firm settles privacy, security charges with FTC

[lyger]

Computers used by Nations Holding were hacked, exposing customer data

http://computerworld.com/action/article.do?command=viewArticleBasic&articleId=9000362

May 10, 2006  (Computerworld) -- Real estate services company Nations 
Holding Co. (NHC) and its president have settled a charge by the Federal 
Trade Commission that they violated federal privacy and security laws. The 
settlement involves NHC and a subsidiary, Nations Title Agency Inc. (NTA), 
according to a statement from the FTC.

The FTC said that even though NHC had promised consumers that it had 
"physical, electronic and procedural safeguards" in place to protect their 
confidential financial information, the Prairie Village, Kan.-based 
company's computers were hacked and data was exposed. In addition, 
customers' confidential financial information was dumped in the trash, the 
FTC said.

The settlement between NHC and its president, Christopher Likens, bars 
deceptive claims about privacy and security policies and requires that the 
company implement a comprehensive information security program and obtain 
audits by an independent third-party security professional every other 
year for 20 years.

Officials at NHC, which serves customers in 44 states, could not be 
reached for comment.

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