Article & Additional Instructional Info

WASHINGTON — As many as 26.5 million veterans were placed at risk of identity theft after intruders stole an electronic data file this month containing their names, birthdates and Social Security numbers from the home of a Veterans Affairs Department employee, VA Secretary Jim Nicholson said Monday.

The burglary occurred May 3 in Wheaton, Md., according to a source with knowledge of the incident who requested anonymity because the matter is under investigation.

"In terms of Social Security numbers, it's the biggest breach," said Evan Hendricks, author of the book "Credit Scores & Credit Reports." "As long as you've got that exact Social, most of the time the credit bureaus will disclose your credit report, and that enables the thief to get credit."

A career data analyst, who was not authorized to take the information home, has been put on administrative leave pending the outcome of investigations by the FBI, local police and inspector general of the VA, Nicholson said. He would not identify the employee by name or title.

"They believe this was a random burglary and not targeted at this data," Nicholson said. "There have been a series of burglaries in that community. ... There is no indication at all that any use is being made of this data or even that they know that they have it."

Although publicly revealing the incident might tip off the thieves to the value of their booty, Nicholson said VA officials decided veterans needed to know to monitor their credit scores and credit-card and bank statements.

Nicholson said affected veterans include anyone discharged since 1975 and some of their spouses, as well as some veterans discharged before that who submitted a claim for VA benefits.

The theft represents the biggest unauthorized disclosure ever of personal Social Security data, and could make affected veterans vulnerable to credit-card fraud if the burglars realize the value of their haul, one expert said.

For years, the VA inspector general has criticized the department for lax information-security practices, chiefly concerning the ease with which computer hackers might penetrate VA systems.

Democrats on the House Committee on Veterans Affairs issued a statement calling on the VA to restrict access to sensitive information to essential personnel, and to enforce those restrictions. "It is a mystifying and gravely serious concern that a VA data analyst would be permitted to just walk out the VA door with such information," the statement said.

Sen. Larry Craig, R-Idaho, chairman of the Senate Committee on Veterans Affairs, said his panel would hold hearings on VA information security.

Nicholson would not discuss specifics of the incident, saying that disclosing details could hurt the investigation. The data did not contain medical records or financial information, but in some cases had disability ratings, he said. "The employee took it home to work with it," Nicholson said. "He was working on a project. ... But he was not authorized to take it home."

The VA plans to send letters to all the veterans notifying them that their personal information has been compromised, Nicholson said.

Identity theft and fraud has become a national problem. Three years ago, federal authorities estimated about 750,000 people fell victim to some identity scam. These days, the estimate is as high as 10 million.

"This is an enormous breach, and because the data was not stored securely, millions of people are at risk," said Ari Schwartz, deputy director of the nonprofit Center for Democracy and Technology, a privacy group.

I am one of the 26.5 million vets who had his personal information compromised; so I did a bit of homework and came up with an insurance (LifeLock) that protects you credit for up to $1,000,000.00.

They are offering 90-days for free, and a minimal fee per year for subsequent years. Myself, I think it is worth the price of admission.

The information (from one of Phoenix's Broadcast channels) is posted below...

joe e

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LifeLock Offers Free Service to Millions of Veterans Whose Info was Stolen



(Chandler, AZ - May 22, 2006) - In an effort to keep millions of veterans protected from the high cost and frustration of identity theft, LifeLock, the country's first preventative identity theft service, is offering 90-days of free service for veterans and their families. This week it was reported that the personal information of 26.5 million veterans was stolen from the home of a Department of Veterans Affairs employee.

"This security breach is the largest reported loss of personal information so far this year," said LifeLock CEO Todd Davis. "The information that was taken can be a gold mine for identity thieves, and a major headache for veterans who become victims. That's why we want to offer our service to veterans and their families for free."

Veterans who sign up at at www.LifeLock.com or call 1-877-LIFELOCK (543-3562) can get 90-days of LifeLock's service for free. After the first 90-days, veterans can extend their service at a 25% discount. There is no obligation to extend the service beyond the first free 90-days.

LifeLock does the prevention work by maintaining active fraud alerts with the three major credit bureaus as well as ChexSystems. The LifeLock system makes personal information useless to everyone but the rightful owner. Every time someone attempts to open credit, change an address or make changes to bank accounts, LifeLock is there to ensure the right person is making the request.

Also unique to other products on the market, LifeLock removes a member's name from solicitation lists and junk mail, eliminating a primary target of ID thieves - the pre-approved credit offer. Best of all, the LifeLock system is backed by a $1 million guarantee to completely fix any problems if a client was ever compromised.

"We already have many veterans who are currently LifeLock customers," Davis said. "They can rest assured that no matter who has their personal information, they'll be protected. Now we want other veterans to know they can be safe, too. A short five minute phone call could prevent veterans from looking over their shoulders for the rest of their lives wondering when or if something could happen."

Based in Chandler, Arizona, LifeLock is the nation's first and only preventative answer to identity theft that completely guarantees its service. The company was the first to offer special programs for children under16 and victims of Hurricane Katrina and Rita.

I just heard in the Online Town Hall Meeting for the Southwest states that they are introducing a bill that would allow the Veterans affected free credit checks for a very extended period of time.. but they haven't posted the bill # in there yet.

http://www.wcpo.com/news/2006/local/05/31/vets_idtheft.html