Nationwidehas been fined £980,000 for inadequate security procedures,
following alaptop theftlast
November.
Industry watchdog the
Financial Services
Authority slapped the building society with the largest ever
fine for a data breach because it said it potentially exposed the
society’s customers to increased risk of financial crime.
The FSA said this resulted from inadequate security controls,
revealed because Nationwide did not realise the laptop contained
sensitive data, including customer names, addresses and account
numbers.
Nationwide only launched an investigation into the theft three
weeks after the employee reported it. It also wrote to customers at
the time apologising for the breach and has cooperated with
investigators, saving itself 30% on the potential £1.4m fine under
FSA executive settlement procedures.
Laptop theft offers data security
lessons
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