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Senators Introduce New Identity Theft BillMore victims could seek restitution, penalties would be tougher |
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by Martin H.
Bosworth October 18, 2007
Senators Patrick Leahy (D-VT) and Arlen Specter (R-PA) introduced the "Identity Theft Enforcement And Restitution Act of 2007" on Oct. 16, building on previous bills. Leahy, the chairman of the Senate Judiciary Committee, said that "[p]rotecting American consumers from identity theft and fraud should be one of the Senate’s top priorities." “In 2006, some 8.4 million Americans became victims to identity theft. Victims are often left with a bad credit report and must spend months and even years regaining their financial health," Specter said. "The Identity Theft Enforcement and Restitution Act will give federal prosecutors the tools they need to combat identity theft." The Act's provisions include:
Uphill BattleVictims of data breaches who have sued companies for not protecting their information have been hampered by recent court decisions that claimed the victim had to show actual damages from the data breach, such as confirmed cases of identity theft or fraud. A recent study authored by the Government Accountability Office (GAO) similarly concluded that while data breaches are frequent, tracking connections between breaches and confirmed cases of identity theft often proves difficult. Although Congress has repeatedly tried to push various bills in recent years to prevent identity theft and strengthen penalties for data breaches, lawmakers often run the risk of causing as many problems as they might solve. Members of the House Oversight Committee recently wrote to Federal Trade Commission chair Deborah Platt Majoras, asking her agency to investigate the potential risk of identity theft peer-to-peer (P2P) file sharing networks may pose to their users. Although there have been very few documented instances of a P2P network leading to a data breach or actual fraud, the Committee members urged Majoras to urgently investigate the possibility that file-sharing networks might cause sensitive government information to be leaked. Report Your Experience
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