Australia's privacy chief to investigate data thefts

Computerworld Australia - SYDNEY -- Australia's federal privacy commissioner has opened a formal investigation into possible violations of the Privacy Act by Telstra Corp. mobile reseller Switch Mobile and call center outsourcer One Touch Solutions after revelations that customer data from the two companies was found for sale on the black market in India.
A statement issued by Privacy Commissioner Karen Curtis said the investigation will follow up on "allegations raised in the ABC's [Australian Broadcasting Corp.'s] Four Corners story, 'Your Money and Your Life,'" adding that the Privacy Commission has contacted both companies.
The Four Corners program alleged that sensitive customer records, including financial and identity details, had been lost from the two companies and were available for sale (see "Report: Black market growing for offshore data").
Curtis said customers not satisfied with the responses from the two companies should contact her office to bring formal complaints.
People should consider dealing "with businesses that have a clear Australian connection, and be sure you can contact them if you have any concerns," Curtis said. "Only give out personal information that is relevant to the transaction."
The investigation comes only days after Attorney General Philip Ruddock said the alleged breaches raised by the ABC report fell under Australia's Privacy Act and that companies could be penalized if the breaches are proved.
A statement on Switch Mobile's Web site states that the company believes that around 200 customers may have been affected by the data theft, and that "all customers telemarketed by this contractor [One Touch Solutions] need to be aware that their personal details offered to this contractor at the time of the sale has been sold to a journalist in India.
"We must assume that your information too has been compromised. We recommend all customers contact our hotline to ensure you are aware of what has transpired. We will work with you actively to ensure that your identity is re-secured. This may require requesting a replacement credit card or in a handful of cases a re-issue of your passport," it said.
Switch's statement also said it "regrets that one of our supplier's subcontractor has committed this act" and offers to compensate customers "for this inconvenience."