Financial services firm hacked - January 31, 2008
Financial services firm Davidson Companies this week said an intruder had broken into its network and gained access to a database containing the personal information of its clients.
"Despite our efforts to safeguard client information, a computer hacker using sophisticated techniques illegally accessed a database and obtained access to confidential client information," said William Johnstone, Davidson's president and CEO, in a prepared statement posted on the firm's Web site. "All of us at Davidson are acutely aware of the uncertainty, stress and inconvenience associated with the potential compromise of personal information."
Davidson, based in Great Falls, Mont., and with more than 930 employees, has sent letters to its financial services clientele informing them of the incident and urging them to take various steps to lower the risk of identity theft.
The company said it is offering its clientele a one-year enrollment to Experian’s Triple Advantage three-bureau credit-monitoring service at the company's expense to help them begin the process of regularly reviewing their credit records for abnormalities.
A Davidson spokesperson was not immediately available to respond to questions. Sencilo Solutions CEO and President stated, "this is not a uncommon of a fact, for Davidson to admit to a breach, shows that companies are now coming forward do to new State laws." "Now Davidson will spend a lot of money for putting back the pieces, but adding new technology including Intrusion Detection products and services". "Had they been more proactive they would of avoid public embarrassment, lost of client trust and a certain future class action suite, say McCarthy.
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