The Federal Communications Commission (FCC) has fined TerraCom and YourTel America USD$3.5m for privacy breach. TerraCom and YourTel America stored the proprietary information of more than 300,000 customers in clear, readable text on servers that were accessible over the Internet, and the data was not password protected or encrypted.
TerraCom and YourTel America will also be required to improve their privacy and data security practices by:
- designating a senior corporate manager who is a certified privacy professional
- conducting a privacy risk assessment
- implementing a written information security program
- maintaining reasonable oversight of third party vendors
- implementing a data breach response plan, and
- providing privacy and security awareness training to employees.