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« Have You Looked In Your Trash Bins Lately? | Main | The Anatomy of a Privacy Breach »

Insider Threat: Ex-Employee Takes Files To New Employer

Here's a good article for your files, and to point out to your legal counsel to point out the very real insider threat to information security and privacy...

A Massachusetts trial court recently ruled that the unauthorized transfer of electronic files is actionable as a conversion under Massachusetts' common law.

Basically an employee of Network Systems Architects (NSA) Corporation, Michael Dimitruk, had a bunch of confidential information on the laptop they supplied to him to perform his work as a sales representative. When Dimitruk left NSA to work for a competitor, he took the laptop with him, even though NSA asked for the laptop back. When he finally returned it months later, he had scrubbed all the data from the laptop, and apparently also took several of NSA's customers based upon the sales he was making at his new employer.

You could use the docket from the link provided to create a really great case study about how to establish controls to prevent against the insider threat.

The court's decision supported the opinion that the common law tort of conversion (very generally that someone took possession of someone else's property) can be applied to deletions and misappropriations of documents and data stored on electronic media. In other words, the court understood that an electronic computer file, similar to a paper document, is information placed in a tangible form and under certain circumstances is subject to similar legal treatment.

You lawyer should understand that this decision supports the need to protect digital data just as stringently as printed material, and should also point out to your business leaders the need for strong controls to help protect against the insider threat.

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Rebecca Herold's Bio:

Rebecca Herold,CISSP, CIPP, CISM, CISA, FLMI, has been providing information security, privacy and regulatory assistance and services to organizations from a wide range of industries for over 18 years. Rebecca was instrumental in building the information security and privacy program while at Principal Financial Group, which was awarded the CSI Information Security Program of the Year Award in 1998. IT Security ranked Rebecca as one of the top 59 IT security influencers, and Computerworld put Rebecca their list of the 25 top privacy experts and on their list of the 9 best privacy consulting firms. Rebecca has been CPO for two consulting organizations, and has had her own information privacy, security and compliance business since 2004. Rebecca has written chapters for several books, dozens of articles, and has been writing a monthly privacy column for the CSI Alert newsletter since the beginning of 2001, and is working on her 11th book. Some of her other books include The Privacy Papers, Managing an Information Security and Privacy Awareness and Training Program, The Definitive Guide to Security Inside the Perimeter (Realtime Publishers), The Shortcut Guide to Improving IT Service Support through ITIL (Realtime Publishers), and The Practical Guide to HIPAA Privacy and Security Compliance. In addition, Rebecca is the leader of The Realtime IT Compliance Community where she posts to her IT Compliance weblog. You can contact Rebecca at: rebecca_herold@realtimepublishers.net.