Ohio Gov. Ted Strickland has announ ced that
the names and Social Security number s of all
64,000 state employees were contained
on a computer back-up device that was
stolen in mid-June. The device also
contained the names and Social Secu-
rity numbers of 225,000 Ohio taxpayers.
However, the governor says the data wo uld
be very difficult for a thief to access.
Preliminary research had revealed that some of the
nearly 339,000 files might have contained names and Social Security numbers. How-
ever, after two days of review, it was determined that the names and Social Security
numbers for all state employees were on the device. The device also contained a
list of taxpayers with uncashed personal income tax refund checks, a list of lottery
winners with uncashed checks, a list of uncashed checks from unclaimed funds
payments and a list of rejected electronic funds transfers. Names, Social Security
numbers and bank account numbers were among the information.
A Web site, www.ohio.gov/idprotect, will provide ongoing information for em-
ployees and the public regarding the situation.
The device was stolen from a state intern’s car. Electronic data management
standards at the intern’s worksite call for one set of backup data to be stored off-site,
and the intern had been inappropriately designated to store the data at his home.
The governor has ordered the cessation of this data management practice and
a review of the events that led to the data being compromised. Strickland says he
will take appropriate disciplinary action when the facts are known.
Affected parties have access to free ID theft protection services for one year.
FINE FOR MELLON
Mellon Financial Corp. has agreed to pay
$16.5 million to settle a civil case involving
the shredding of thousands of unprocessed
tax returns in 2001.
According to the Pittsburgh Post-Gazette,
the agreement covers Mellon’s civil dam-
ages and penalties for violations of the False
The shredding occurred after the Mellon Cli-
ent Service Center in Pittsburgh had contracted
with the Internal Revenue Service to process tax
returns. A supervisor, realizing the staff would
not be able to complete the work by the April
29 deadline, ordered the unprocessed returns
to be shredded.
Eight former Mellon employees have been
charged, four of whom have pleaded guilty to
criminal charges in federal court, according to
the Pittsburgh Post-Gazette.
Mellon has paid $18.1 million in a separate
settlement to cover the interest lost from the
time the checks were shredded to the time
the replacements were sent and the cost for
the IRS and U.S. Department of the Treasury
to move the processing contracts, according
to the report.
To avoid further criminal action, Mellon has
agreed to appoint a special monitor to oversee
its corporate compliance program for the next
MEETING OF THE MINDS
Secure Destruction Business magazine and Shred-Tech are
among the sponsors of Shred Summit 2007, which is Oct. 17-19
at the Wyndham Chicago O’Hare hotel.
Total Training Services, Spartanburg, S.C., is the event orga-
nizer. Sponsors include EZ Shred, IPS Balers, Jim Kiltch Enter-
prises, North Shore Capital Advisors and Viking Fibres Inc.
The programming offers topics specific to secure shredding
and storage businesses, such as “Record Storage 101” and
“Electronic Scrap,” as well as guest speakers in sales, motiva-
tion and management.
Guest speakers include:
• Chris Denove, a vice president with JD Power and Associates and author of the book Satisfaction: How Every Great
Company Listens to the Voice of the Customer;
• Fara Warner, Wall Street Journal correspondent and author
of The Power of the Purse;
• Scott Ginsberg, the author of several books, including The
Power of Approachability and How to Be That Guy; and
• Greg Blake, a motivational speaker and “Chief Encourage-
ment Officer” of Pepworks International.
An early registration rate is available until Sept. 1. Regis-
tration information can be obtained by e-mailing rsanborn@