V.A. Laptop Is Recovered, Its Data Intact

New York Times Washington

V.A. Laptop Is Recovered, Its Data Intact
By JOHN FILES
Published: June 30, 2006

WASHINGTON, June 29 — The government has recovered a stolen laptop computer and external hard drive that contains the birthdates and Social Security numbers for millions of veterans and military personnel, the Department of Veterans Affairs said Thursday.
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The Federal Bureau of Investigation said in a statement from its Baltimore field office that it appeared that the data had not been copied or misused.

"A preliminary review of the equipment by computer forensic teams has determined that the database remains intact and has not been accessed since it was stolen," the statement said.

Michelle Crnkovich, a spokeswoman for the F.B.I. in Baltimore, said the computer was turned over to agents there on Wednesday. The person who delivered the laptop has not been charged, Ms. Crnkovich said. A $50,000 reward had been offered for information related to the computer.

Ms. Crnkovich said the United States Park Service had helped in the recovery of the equipment, which will be further tested by F.B.I. officials in Washington.

Veterans Affairs Secretary Jim Nicholson said on Capitol Hill on Thursday that there were no reports that the stolen data had been used for identity theft. But he acknowledged that the situation had "brought to the light of day some real deficiencies in the manner we handled personal data."

The laptop computer and a detachable hard drive were stolen in a burglary on May 3 from the home of an agency employee in Aspen Hill, Md. Some officials at the Department of Veterans Affairs learned of the theft almost immediately, but Mr. Nicholson said he was not notified until May 16.

Because of the delay, the F.B.I. did not find out about the theft until about two weeks after the burglary, which was under investigation by the police in Montgomery County, Md.

Officials at the veterans agency have said the employee violated department procedure by taking the information home. But The Associated Press reported on Wednesday that agency documents showed that the employee had approval to work on his laptop from home.

A spokesman for the agency, Matt Burns, said the employee had been put on administrative leave while the agency sought his dismissal. Mr. Burns declined to comment on the report by The A.P. "because it is an ongoing personnel matter."

Mr. Nicholson has said he wanted to dismiss the employee outright but was told he could not because of federal job-protection rights.

The records included names, dates of birth and Social Security numbers for millions of people, although the exact number has not been clear. At first, the department said information on 26.5 million veterans was affected. Later, it said the number included forces on active duty, as well as veterans.

Last week, the agency lowered the number of people at risk to 17.5 million, saying the earlier estimate had not taken into account deaths and duplication of records.

The data theft and the confusion about the scope of the breach have caused the agency to be sharply criticized by veterans' groups, and several have joined a class-action lawsuit. Federal lawmakers have also been critical.

Representative Steve Buyer, the Indiana Republican who is chairman of the House Veterans Affairs Committee, said he hoped that the recovery of the computer would allow veterans to "breathe a sigh of relief." But he added that it would not diminish concerns over the department's handling of personal information.

"We will hold the V.A. responsible and accountable," Mr. Buyer said.

The chairman of the Senate Veterans Affairs Committee, Larry E. Craig, Republican of Idaho, said in a statement that the recovery of the equipment was "wonderful for veterans and active duty personnel," adding, "We have all learned, as well, that serious changes are needed in data protection governmentwide."

The department offered to pay for a year of free credit monitoring for the veterans, which it said would cost about $160.5 million. The director of the White House Office of Management, Rob Portman, suggested Wednesday that the department pay for such monitoring with about $130 million from a food stamp employment and training program, a farmers' assistance program, student loans and a program for young people released from prison.

Asked whether the department would carry out its plan for credit monitoring now that the data has been recovered, the V.A. spokesman, Mr. Burns, said the "next steps are going to be determined after receiving additional information on law enforcement's analysis of the recovered equipment."


Related
Senators Criticize Payment Plan for Monitoring Veterans' Credit (June 29, 2006)
Panel Tries to Protect Veterans in Breach (June 23, 2006)
V.A. to Atone With Free Credit Monitoring (June 22, 2006)
Vast Data Cache About Veterans Is Stolen (May 23, 2006)

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