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It is not only important, but absolutely necessary, to let personnel know what your information security and privacy policies are, along with your organization's sanctions, and then consistently enforce your policies. If personnel know that policies are not enforced, and that there is no negative consequence for not properly safeguarding information and systems, it becomes easy for personnel to not follow policies when it is inconvenient or time-consuming to do so. It is also easier for personnel to do bad things as vendettas when they get upset.
Yesterday the U.S. Federal Trade Commission (FTC) handed down yet another penalty against an online retailer, Life is good, Inc., for not properly safeguarding their online ecommerce applications.
The FTC charged they were in violation of the FTC Act because they promised in their online privacy statement that they would safeguard their customer data, but yet a hacker "was able to use SQL injection attacks on Life is good’s Web site to access the credit card numbers, expiration dates, and security codes of thousands of consumers."
I'm still catching up on December news...and I ran across a significant e-discovery ruling. The U.S. District Court for the Central District of California ruled December 13, 2007, that Justin Bunnell/www.TorrentSpy.com was guilty of "willful spoliation of evidence" violating the E-Discovery Rule in the suit Columbia Pictures, Inc. brought against them for copyright infringement.
Reading through the court records, it is really amazing how blatantly the defendent violated what seemed to be almost every e-discovery rule possible in this situation. They...
Under the terms of the penalty, American United Mortgage Company must:
This week the FTC once again demonstrated that they aggressively enforce compliance with those regulations for which they have responsibility.
In their press release, "FTC Announces Law Enforcement Crackdown on Do Not Call Violators" they detail their recent actions against six organizations for non-compliance with the Do Not Call (DNC) registry requirements. The involved settlements totaled close to $7.7 million in civil penalties. In addition to the following, actions against Global Mortgage Funding are pending.
Here is an overview of the non-compliance activities and associated fines/penalties:
I've been noticing lately more and more organizations sanctioning their employees for not following information security policies. I first blogged about it recently on September 24 about a hospital actively enforcing sanctions for HIPAA violations, then again on October 10 about another hospital sanctioning employees for noncompliance, then again on October 11, and then again just yesterday.
Continue reading Trending Towards More Business Applied Employee Sanctions For Security Incidents...
The Ohio Department of Administrative Services (DAS) has determined that the appropriate sanction for inadequate security practices by the Ohio Department of Administrative Services' Administrative Knowledge System (OAKS) ERP project system team leader, that resulted in the theft of an un-encrypted backup tape containing the personally identifiable information (PII) of 1.3 million individuals, is the loss of 40 hours of vacation time.
Continue reading Sanctions For Ohio Breach: Lost Vacation Time, Terminations, and a "Resignation"...