The US Federal Trade Commission has finally begun the process to compensate victims of ChoicePoint's enormous data breach. Only those who ultimately were victims of fraud are being compensated, excluding those whose data was merely leaked:
FTC to Reimburse ChoicePoint Victims: Financial News - Yahoo! Finance:FTC Mails Claim Forms to 1,400 ChoicePoint Victims
WASHINGTON (AP) -- Victims of identify theft stemming from a security lapse last year at consumer data provider ChoicePoint Inc. can seek reimbursement from a $5 million fund set up to recoup their losses, the Federal Trade Commission said Wednesday.
Alpharetta, Ga.-based ChoicePoint collects, sells access to and analyzes information on consumers. The company agreed Jan. 26 to pay the FTC $15 million to settle charges that the company's security and record-handling procedures violated consumers' privacy rights when thieves infiltrated the company's massive database.
Identity thieves gained access to ChoicePoint's database by posing as small business customers, possibly compromising the personal information of 163,000 Americans, according to the FTC.
The settlement included a $10 million fine -- the agency's largest ever -- and $5 million for a victims' fund that will be used to reimburse those who file claims.
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