WNYT.com reports “the Social Security Administration in New York City says that 15,000 Social Security numbers were stolen by a subcontractor who was working in Office of Temporary Disability Assistance making computer infrastructure upgrades.”

In this case the culprit is a subcontractor and succeeded either because he had the contractor’s credentials/passwords and/or the files containing the SSN info weren’t encrypted.

The problem with protecting only with userid/passwords is well understood. Passwords are generally 123456 or otherwise easily cracked. Even if the password is a good one, chances are it is used on dozens of other sites that don’t do a good job of protecting it.

In this case the password gave a “good guy” access and he went rougue.

Some organizations think that deploying Full Disk Encryption (FDE) or File and Folder Encryption (FFE) provides them the desired security level. The point often missed is that even with Full Disk Encryption or File and Folder Encryption in place, users with correct credentials can access, copy, transfer/download to USB sensitive data without any problem.

I’ve said this before and I’ll say it again: Zafesoft can prevent such incidents from both of the above. Company administrators can remove access for a suspected malicious insider at any time and even if they have the physical file with them, it’ll be in encrypted format which they won’t be able to open.

Secondly, the Zafe technology travels with the information so they wouldn’t have been able to open the files even they were a legitimate user unless they were also using an approved laptop that has been registered and authorized with the company.

Moreover the moment they copied the data and tried to open it on a non-authorized laptop an alert would have gone to Company administrators alerting them of a possible theft and they could have prevented the incident from happening.

Robert Siciliano is a Personal Security and Identity Theft Expert. See him discussing another databreach on Good Morning America. (Disclosures)