Identity Theft Feared in Workers’ Lost Data - New York Times
July 25, 2006
Identity Theft Feared in Workers’ Lost Data
By THE ASSOCIATED PRESS
ALBANY, July 24 — The names, addresses and Social Security numbers of as many as 540,000 injured workers have been lost, and the state and its contracted company are trying to protect the workers from identity theft.
Company and state officials confirmed on Monday that the information was on computer hardware that is missing from a secured facility of the company, Chicago-based CS Stars.
Most of the workers are New Yorkers from across the state who are in two special funds of the workers’ compensation system.
One group is made up of workers who have a second injury, and another of workers with a past injury that creates new problems, said Jon A. Sullivan, a state Workers’ Compensation Board spokesman.
The F.B.I. is investigating, said Mike Kachel, a spokesman for the CS Stars New York City office.
Mr. Kachel declined to release details that he said could hamper the investigation. But he confirmed that 540,000 letters had been sent to people identified on the hardware.
“At this time, we have no indication that any of the data stored on the missing hardware has been used inappropriately,” Mr. Kachel said. “That doesn’t lessen our desire to do what is right.”
The company is offering $25,000 of identity theft insurance for the people, 12 months of credit reports and access to fraud-resolution specialists.
“We obviously feel terrible about it and are taking every appropriate step we can to protect people,” Mr. Kachel said.
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