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Wednesday, November 15, 2006

WASHINGTON D.C IRS LATEST FEDERAL AGENCY TO HAVE COMPUTERS STOLEN IRS Latest Federal Agency to Lose Laptops

WASHINGTON - The Internal Revenue Service is the latest federal agency to acknowledge a security breach involving missing laptop computers. The breach once again puts Americans at risk of identity theft.

According to documents obtained by WTOP through the Freedom of Information Act, between 2002 and 2006 year-to-date, the agency charged with collecting taxes and protecting taxpayers' personal information had 478 laptops either lost or stolen.

Of those missing computers, 112 contained sensitive data including the Personal Identifiable Information, such as Social Security numbers, for some U.S. taxpayers.

The IRS was unable to disclose how many people could be at risk of identity theft, but said they are working to make that determination.

The majority of the laptops -- 379 -- were stolen. Officials have recovered 17 laptops, and 18 IRS employees have been disciplined in connection with missing laptops.

In a written statement, an IRS spokesperson tells WTOP:

"We will be installing an automatic encryption system that will encrypt all information on the hard drives, so that the employee does not specifically need to choose individual files to encrypt. This will start in January. A physical security locking cable is also being provided to all employees with laptops, so that they can physically secure their laptops and help prevent the laptops from being stolen.

Also, the IRS has focused on providing security education, training, and awareness of our employees to ensure they recognize the need to protect sensitive information, and how to use the current encryption capabilities that are available on all IRS computers."

The master taxpayer database is not at risk and is never downloaded to any laptop computer, the IRS spokesperson added.

WTOP was first to report on similar security breaches at the U.S. Departments of Commerce and Transportation.

The U.S Treasury Department reported 54 laptops missing from their inventory. None of those computers contained sensitive data.

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