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FederalDaily - June 23, 2006

USDA Info Hacked
House Blocks NSPS Funding
DOE Agency Alleged Identity Theft Cover-Up
Fake Postal Jobs Scam Busted

USDA Info Hacked

A recent attack on the U.S. Department of Agriculture (USDA) computer system may have compromised the personal identity information of the department’s Washington, D.C., area employees. USDA sent out notifications last week to the 26,000 employees that may be affected. According to a statement from the department, the breach occurred on June 6. At first, USDA officials believed that the personal data had been protected. However, subsequent analysis left the department uncertain, prompting last week’s alert. USDA said it will offer free credit monitoring services for one year for affected individuals. In related news, the Department of Veterans Affairs has also announced that it will provide credit monitoring services to veterans whose sensitive information may have been exposed in a recent data theft.

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House Blocks NSPS Funding

The U.S. House of Representatives passed its version of the 2007 Department of Defense Appropriations Act on June 20 with an amendment that, if signed into law, would block funding for the National Security Personnel System (NSPS). The amendment, introduced by Jay Inslee, D-Wash., prohibits the use of the upcoming year’s appropriated funds to waive or modify personnel regulations under the U.S. Code. The American Federation of Government Employees (AFGE) applauded the decision. In a June 21 statement AFGE President John Gage said, “I am pleased to see the House of Representatives show its support for the findings of the court that the department has overreached in its labor relations and appeal rights regulations.”

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DOE Agency Alleged Identity Theft Cover-Up

A June 20 letter from a prominent U.S. senator to the Department of Energy (DOE) indicates that a subsidiary agency failed to alert employees of a September 2005 theft of private information. The letter, from Sen. Chuck Grassley, R-Iowa, pointed out that the theft of National Nuclear Security Agency (NNSA) data compromised personal information of over 1,500 agency employees and contractors. However, he wrote, NNSA Administrator Linton Brooks did not notify DOE leadership until nine months later—after the theft became public. “It’s obvious that some serious errors in judgment were made during recent security breaches at various DOE sites,” Grassley said. The senator asked the department to explain the recent thefts and efforts to improve data security.

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Fake Postal Jobs Scam Busted

The Federal Trade Commission (FTC) announced June 21 a settlement with scam artists who sold test preparation materials for non-existent Postal Service jobs. The defendants, Sean Terrance Asberry and bogus companies Exam Prep, LLC and Registration Department, received a suspended damages judgment of just over $3 million—the amount they took in from consumers—and a ban on any future misrepresentations of having any affiliation with the Postal Service. The companies placed classified ads in publications and then conned prospects into buying the test aids on a false promise they would help them pass the postal exam.

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