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Identity Theft Articles

September 23, 2009

Federal Act will Improve ID Theft Protections

By Rick Hazeltine
Staff Editorial Writer

 

Senator Patrick Leahy (D-Vt.) is again championing legislation that would provide identity theft protection. The Personal Data Privacy and Security Act of 2009, introduced in late July 2009, will require data brokers and companies to establish and implement data privacy and security programs.

Specifically, the Personal Data Privacy and Security Act of 2009 would help provide identity theft protection by:

  • Increasing criminal penalties for identity theft involving electronic personal data and making it a crime to intentionally or willfully conceal a security breach involving personal data;
  • Giving individuals access to, and the opportunity to correct, any personal information held by commercial data brokers;
  • Requiring entities that maintain personal data to establish internal policies that protect the personal data of Americans;
  • Requiring entities that maintain personal data to give notice to individuals and law enforcement when they experience a breach involving sensitive personal data.
  • Requiring the government to establish rules protecting privacy and security when it uses information from commercial data brokers, to conduct audits of government contracts with data brokers and impose penalties on government contractors that fail to meet data privacy and security requirements.

The identity theft protection bill has been read and sent to the Senate Judiciary Committee, of which Leahy is chairman. If the bill clears the committee it would go to the Congress for a vote and then move to the Senate. If the identity theft protection bill is passed by both houses it would go to President Obama, who could sign it into law or veto the identity theft protection bill.

"This is a comprehensive (identity theft protection) bill that not only deals with the need to provide Americans with notice when they have been victims of a data breach, but that also deals with the underlying problem of lax security and lack of accountability to help prevent data breaches from occurring in the first place," said Leahy. "Passing this comprehensive data privacy legislation is one of my highest legislative priorities as Chairman of the Judiciary Committee."

Leahy also noted that individuals aren't the only ones who need identity theft protection. He cited the President's Cyberspace Policy Review that stated the industry estimates its losses from the theft of intellectual property at as high as $1 trillion. Also, the FBI's Internet Fraud Complaint Center has reported that complaints increased 33 percent in 2008.

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