DataBreaches.Net

Menu
  • About
  • Breach Notification Laws
  • Privacy Policy
  • Transparency Report
Menu

Mortgage Broker Who Dumped Consumer Records Settles FTC Charges

Posted on January 20, 2010 by Dissent

A mortgage broker who discarded consumers’ personal financial records in a publicly- accessible dumpster paid a $35,000 civil penalty to settle Federal Trade Commission charges.

According to an FTC complaint filed in December 2008, the defendant improperly disposed of about 40 boxes of sensitive consumer records collected by companies he had owned, including tax returns, mortgage applications, bank statements, photocopies of credit cards and drivers’ licenses, and at least 230 credit reports. In addition, two mortgage brokerage companies he previously owned failed to provide reasonable and appropriate security for sensitive consumer information, despite promising they would do so.

The FTC charged the defendant with failing to take reasonable measures to protect credit report information from unauthorized access during its disposal, in violation of the Fair Credit Reporting Act and the FTC’s Disposal Rule. The complaint also charged him with violations of the FTC Act for his companies’ misrepresentations about their data security practices.

In addition to imposing a $35,000 penalty, the settlement order bars the defendant from misrepresenting measures taken to protect sensitive consumer information and failing to take reasonable measures to protect credit report information during its disposal. The order also requires him to employ a comprehensive information security program for sensitive consumer information, and to hire an independent, third-party security professional to review the program every year for 10 years to ensure that it meets or exceeds the order’s requirements.

The defendant is Gregory Navone of Las Vegas, Nevada; his two former mortgage brokerage companies were First Interstate Mortgage Corporation and Nevada One Corporation. The Commission vote to authorize staff to file the stipulated final order in the U.S. District Court for the District of Nevada was 4-0. The order was entered by the court on December 30, 2009.

NOTE: Stipulated final orders are for settlement purposes only and do not constitute an admission by the defendant of a law violation. Stipulated orders have the force of law when signed by the judge.

Source: Ftc

Related posts:

  • FTC Takes Action Against Drizly and its CEO James Cory Rellas for Security Failures that Exposed Data of 2.5 Million Consumers
  • FTC Enforcement Action to Bar GoodRx from Sharing Consumers’ Sensitive Health Info for Advertising
Category: Breach IncidentsExposureFinancial SectorPaperU.S.

Post navigation

← (update) Swiss to exclude stolen data from tax cooperation
Taken to the Cleaners →

Now more than ever

"Stand with Ukraine:" above raised hands. The illustration is in blue and yellow, the colors of Ukraine's flag.

Search

Browse by Categories

Recent Posts

  • Russia Jailed Hacker Who Worked for Ukrainian Intelligence to Launch Cyberattacks on Critical Infrastructure
  • Kentfield Hospital victim of cyberattack by World Leaks, patient data involved
  • India’s Max Financial says hacker accessed customer data from its insurance unit
  • Brazil’s central bank service provider hacked, $140M stolen
  • Iranian and Pro-Regime Cyberattacks Against Americans (2011-Present)
  • Nigerian National Pleads Guilty to International Fraud Scheme that Defrauded Elderly U.S. Victims
  • Nova Scotia Power Data Breach Exposed Information of 280,000 Customers
  • No need to hack when it’s leaking: Brandt Kettwick Defense edition
  • SK Telecom to be fined for late data breach report, ordered to waive cancellation fees, criminal investigation into them launched
  • Louis Vuitton Korea suffers cyberattack as customer data leaked

No, You Can’t Buy a Post or an Interview

This site does not accept sponsored posts or link-back arrangements. Inquiries about either are ignored.

And despite what some trolls may try to claim: DataBreaches has never accepted even one dime to interview or report on anyone. Nor will DataBreaches ever pay anyone for data or to interview them.

Want to Get Our RSS Feed?

Grab it here:

https://databreaches.net/feed/

RSS Recent Posts on PogoWasRight.org

  • On July 7, Gemini AI will access your WhatsApp and more. Learn how to disable it on Android.
  • German court awards Facebook user €5,000 for data protection violations
  • Record-Breaking $1.55M CCPA Settlement Against Health Information Website Publisher
  • Ninth Circuit Reviews Website Tracking Class Actions and the Reach of California’s Privacy Law
  • US healthcare offshoring: Navigating patient data privacy laws and regulations
  • Data breach reveals Catwatchful ‘stalkerware’ is spying on thousands of phones
  • Google Trackers: What You Can Actually Escape And What You Can’t

Have a News Tip?

Email: Tips[at]DataBreaches.net

Signal: +1 516-776-7756

Contact Me

Email: info[at]databreaches.net

Mastodon: Infosec.Exchange/@PogoWasRight

Signal: +1 516-776-7756

DMCA Concern: dmca[at]databreaches.net
© 2009 – 2025 DataBreaches.net and DataBreaches LLC. All rights reserved.