For Immediate Release:
Tuesday, November 8, 2022

Contact: Nazneen Ahmed
919-716-0060

(RALEIGH) Attorney General Josh Stein today announced a $1 million settlement with Experian Data Corp for failing to warn affected consumers after it learned that an identity thief was posing as a private investigator and retrieving sensitive personal information from Court Ventures Inc., a database that Experian had purchased.

“We have to be able to trust companies like Experian,” said Attorney General Stein. “They access our personal information to establish our credit reports — they must keep it safe. I am pleased that Experian will strengthen its procedures to avoid incidents like this in the future.”

In 2012, the U.S. Secret Service notified Experian of the existence of the identity thief, who had begun accessing information from the Court Ventures database before Experian purchased the company and continued to do so after the purchase. Experian failed to notify affected consumers of the identity thief’s actions.

Since that time, the individual has pleaded guilty to federal criminal charges for wire fraud, identity fraud, access device fraud, and computer fraud and abuse, among other charges.

Experian has agreed to injunctive relief and a payment of $1 million to resolve this multistate investigation.

Under this resolution, joined by a group of 40 states, Experian has agreed to a series of provisions designed to strengthen its security and reporting practices, including:

• Strengthening its vetting and oversight of third parties that it allows to access personal information;
• Investigating and reporting data security incidents to the Attorneys General;
• Maintaining a “Red Flags” program to detect and respond to potential identity theft; and
• Implementing certain personal information safeguards and controls, including encryption or its equivalent for personal information on their network and in transit.

Joining Attorney General Stein in today’s settlement are the Attorneys General of Alaska, Arizona, Arkansas, Colorado, Connecticut, Delaware, District of Columbia, Florida, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Maine, Maryland, Massachusetts, Michigan, Minnesota, Missouri, Montana, Nebraska, Nevada, New Jersey, New Mexico, North Dakota, Ohio, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Washington, and Wisconsin.

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