Companies Settle After Compromising Privacy of 65,000 Consumers

companies settle with FTC
companies settle with FTC

Two companies whose lax security procedures exposed more than 60,000 of their customers' employees to identity theft and fraud have settled Federal Trade Commission charges that they violated federal law by failing to protect sensitive data.

Despite claims from Ceridian Corporation and Lookout Services Inc. that they took reasonable measures to secure sensitive personal information -- including Social Security numbers -- FTC lawsuits against the companies accused them of negligence whose "unfair and deceptive" security practices put the personal information of nearly 65,000 consumers at risk.