27 Mar 2014

Target Corp and Trustwave Holdings Inc sued by banks

The lawsuit alleges:

Target failed to implement and maintain the necessary safeguards because doing so cut into profits. Indeed, Target's IT department, called Target Technology Services, chooses cost-effective but not actually effective technology to deploy across Target's stores. As explained by  Target's Director of Infrastructure Engineering, Brad Thompson ("Thompson"), in a study analyzing Target's systems, the Target's IT systems are "a cost center, and so [it is] always looking to drive down costs where possible." In the same case study, Target's Senior Group Manager of Server  Technology and Enterprise Storage, Fritz DeBrine, said that "[t]o keep our management costs down, it's in our best interests to have a streamlined IT infrastructure at each store."

That fact was confirmed by John Deters, a Target engineering consultant who testified on behalf of Target in litigation alleging that Target violated provisions of the Fair and Accurate Credit Transaction Act [FACTA] by improperly printing credit and debit account informationincluding the full account number and card expiration date on credit and debit transaction receipts. As Deters testified, "Target retain[s] the full account number" and "then store[s] that information regarding the transaction, including the account numbers… of the credit card or debit card and the expiration date and the cardholder's name, in its computer system."

[scribd id=214452922 key=key-2b59f6wcacvvipm9t3oa mode=scroll]

]]>

Comment List

Comments are closed.