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Category: Of Note

PRI Settles with Vermont AG

Posted on July 1, 2009 by Dissent

Payment Resources International, L.L.C. (PRI), a Newport Beach, California, company, will refund more than $18,000 to over 90 Vermont consumers and pay the State $30,000 to settle claims that it processed electronic debits (charges) from Vermonters’ bank accounts on behalf of telemarketers whose scripts were fraudulent or otherwise unlawful. Commenting on the settlement, one of…

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VITA Faces Hacking Questions

Posted on June 30, 2009 by Dissent

Some Virginia lawmakers say they’re not getting the answers they need from Virginia’s Information Technology Agency or Vita. The FBI and Virginia State Police are investigating a security breach that took place in the state’s prescription drug monitoring database. On April 30th, a hacker accessed about 35 million computerized prescription records. Sandra Ryals, director of…

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Prescription Database Breach Could Cost Contractor

Posted on June 30, 2009 by Dissent

The hack of the Virginia Prescription Monitoring Program may have serious consequences for contractor Northrop Grumman. The company had received a 10-year $2.3 billion state contract to upgrade the state’s computer system. According to stories in the Washington Post and Daily Press, the state has had issues with Northrop Grumman over the past few years…

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CFTC Fines Interbank for Security Breach

Posted on June 30, 2009 by Dissent

The U.S. Commodity Futures Trading Commission today simultaneously filed and settled charges against Interbank FX, LLC (Interbank), ordering Interbank to pay a $200,000 civil monetary penalty for violating rules designed to protect the confidential personal information of consumers. The CFTC order also requires Interbank to establish a comprehensive security program that provides administrative, technical, and…

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CardersMarket.com Boss Pleads Guilty

Posted on June 29, 2009 by Dissent

Max Ray Vision pleaded guilty to wire fraud today in a Pittsburgh federal court for stealing credit card and identity information from tens of thousands of people by hacking into the computers of financial institutions and credit card processing centers. Vision, who legally changed his name from Butler, used online aliases of “Iceman,” “Aphex,” “Digits”…

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Pain and Suffering in the Aftermath of a Breach

Posted on June 29, 2009 by Dissent

One of the obstacles to consumer class action lawsuits in response to data breaches has been that most individuals cannot demonstrate actual harm, where harm is defined by the courts in financial terms. As Judge D. Brock Hornby explained when he threw out most of the Hannaford Bros. lawsuit, Maine state law requires that there…

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