http://www.usatoday.com/news/washington/2006-06-29-va-laptop_x.htm?csp=34
 
WASHINGTON (AP) - The government has recovered the stolen laptop computer
and hard drive with sensitive data on up to 26.5 million veterans and
military personnel. The FBI said Thursday there is no evidence that anyone
accessed Social Security numbers and other data on the equipment. 

Veterans Affairs Secretary Jim Nicholson, in announcing the recovery of the
computer, said there have been no reports of identity theft stemming from
the May 3 burglary at a VA employee's Maryland home. 

The FBI, in a statement from its Baltimore field office, said a preliminary
review of the equipment by its computer forensic teams "has determined that
the data base remains intact and has not been accessed since it was stolen."
More tests were planned, however. 

Nicholson said the laptop and hard drive were turned in Wednesday to the FBI
by an unidentified person in response to the $50,000 reward offer. No
suspects were in custody. 

"This has brought to the light of day some real deficiencies in the manner
we handled personal data," Nicholson told a House hearing investigating one
the nation's worst largest information security breaches. "If there's a
redeeming part of this, I think we can turn this around." 

Michelle Crnkovich, a spokeswoman for the Baltimore FBI field office, said
tipster who turned in the laptop in Baltimore has not been charged and
likely was not the thief. She said the FBI still believes the laptop was
taken in a routine burglary and that the VA data was not the target. 

Nicholson urged veterans to keep watch over their financial records until
more tests are completed in the coming days. The VA's offer of free credit
monitoring for a year is still in effect until subsequent tests are
completed, and plans are still on to hire a data analysis company to be on
the watch for potential identity theft, he said. 

"That's relatively inexpensive," he said of the data analysis work. If it's
decided after further analysis that the FBI "has a high enough sense of
confidence" in its findings, the credit monitoring may not be needed, he
said. 

Veterans groups cheered the news that the laptop was recovered but said they
still needed the free one-year credit monitoring just to be safe. 

"The worst-case scenario may have been averted this time, but an even
greater tragedy would be if this type incident was allowed to happen again
because of complacency in the work place," said Joe Davis, a spokesman for
the Veterans of Foreign Wars. "Those who are entrusted with our nation's
secrets and the personal information of its citizens must be held
accountable when they fail to do their jobs." 

Newly discovered documents show that the VA analyst blamed for losing the
laptop had received permission to work from home with data that included
millions of Social Security numbers and other personal information on
veterans and military personnel. 

Rep. Steve Buyer, R-Ind., chairman of the House Veterans Affairs Committee,
which was investigating the breach, said he was pleased that veterans may
now be able to "breathe a sigh of relief." 

"However, this will not diminish our oversight," he said. "We will hold the
VA responsible and accountable." 

According to documents obtained by The Associated Press, the data analyst
faulted for losing the personal data had the department's approval to access
millions of Social Security numbers on a laptop from home. One document
shows the analyst, whose name was being withheld, had approval as early as
Sept. 5, 2002, to use special software at home that was designed to
manipulate large amounts of data. 

A separate agreement, dated Feb. 5, 2002, from the office of the assistant
secretary for policy and planning, allowed the worker to access Social
Security numbers for millions of veterans. A third document, also issued in
2002, gave the analyst permission to take a laptop computer and accessories
for work outside of the VA building. 

The department said last month it was in the process of firing the data
analyst, who is now challenging the dismissal. 

Under questioning, Nicholson said he was not personally aware of the
agreements. Tim McClain, the VA's general counsel, told the committee that
the Social Security authorization is standard for an employee doing data
analysis work, and that the laptop authorization was for a computer
different from the one that was stolen. 

"I can't comment on a pending action because it is still pending," McClain
said.



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