Experian Sued Over Identity Theft
Experian, one of the major credit bureaus, is being hit with a class action lawsuit for failing to detect data that was stolen from it and used in identity theft.
Hieu Minh Ngo, a Vietnamese scammer who was recently handed a 13 year jail sentence, ran an identity theft service. He admitted to getting his data through illegal means by hacking into a number of data brokers, including one called Court Ventures. Ngo pretended to be a US-based private investigator, which gave him access to 200 million consumer records. Ngo then sold the data he stole online. Over 13,000 fraudulent tax returns were from Ngo's victims.
Why does this matter in the Experian class action suit? Experian acquired Court Ventures back in 2012 and Ngo was able to continue mining data for about ten months after the acquisition.
The class action lawsuit seeks to hammer Experian for violating the Fair Credit Reporting Act, among other things. It not only seeks damages, but also wants Experian to notify all affected consumers and provide free credit monitoring services, give up funds collected by Ngo's activities and wants them to establish a fund to reimburse those who were affected for the time and out-of-pocket expenses from the theft.