Posted at 12:23 p.m., Thursday, May 31, 2007
State gets $5,500 in settlement with ChoicePoint
Advertiser Staff
The state has received $5,500 as part of a 44-state settlement with ChoicePoint Inc., an Alpharetta, Georgia-based company that the states sued claiming it inadequately protected consumers' personal data.The action stems from 2005, when ChoicePoint announced criminals posing as businesses had gained access to consumers' personal information in its databases. It had to mail notices to more than 145,000 people, at least 677 of which were in Hawai'i, saying their information may have been viewed or acquired by identity thieves.
ChoicePoint settled another case previously with the Federal Trade Commission, paying a $10 million penalty and $5 million in consumer redress.
The states' settlement includes a requirement that ChoicePoint make significant changes to the way company hands out credentials to new customers wanting to access its databases.
"This case should serve as a reminder that any company holding personal information must maintain it in a safe and secure environment in order to safeguard it from unauthorized access," said Stephen Levins, executive director for the Hawai'i Office of Consumer Protection.
