F.T.C. links data breach to file sharing

Source: Cecilia Kang, Washington Post (Free Registration)

The Federal Trade Commission said Monday that it has uncovered widespread data breaches at companies, schools and local governments whose employees are swapping music, software and movie files over the Internet.

The consumer protection agency said it sent nearly 100 letters to organizations where information on customers and employees—including health and financial data and Social Security and driver’s license numbers—leaked through peer-to-peer Web services. It warned that the security breaches could lead to identity fraud or theft, and it recommended that the groups review their policies and inform affected users.

“Unfortunately, companies and institutions of all sizes are vulnerable to serious P2P-related breaches, placing consumers’ sensitive information at risk,” FTC Chairman Jon Leibowitz said in a news release.

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