Wall Street bank penalized for violating Safeguards Rule leading to theft of customer data.
Morgan Stanley will pay a fine of $1 million to the Securities and Exchange Commission (SEC) for failing to protect customer data, reports Security Week.
The banking giant reportedly violated the Safeguards Rule, which allowed then employee Galen J. Marsh to transfer client details to his home computer, which was later hacked by a third party.
In January 2015, confidential details of around 900 of Morgan Stanley’s 730,000 clients were released online by the hackers briefly with an offer to sell more, says Security Week, quoting the federal agency. Marsh was soon criminally charged and ordered to pay $600,000 in restitution and sentenced to 36 months of probation.
“We expect SEC registrants of all sizes to have policies and procedures that are reasonably designed to protect customer information,” said Andrew Ceresney of SEC.
Morgan Stanley has agreed to pay the fine.
For details on the story, click here.
Related Content:
About the Author(s)
You May Also Like
Guarding the Cloud: Top 5 Cloud Security Hacks and How You Can Avoid Them
April 4, 2024Cybersecurity Strategies for Small and Med Sized Businesses
April 11, 2024Defending Against Today's Threat Landscape with MDR
April 18, 2024Securing Code in the Age of AI
April 24, 2024
Black Hat USA - August 3-8 - Learn More
August 3, 2024Cybersecurity's Hottest New Technologies: What You Need To Know
March 21, 2024Black Hat Asia - April 16-19 - Learn More
April 16, 2024