Haley admits hacking errors; revenue chief resigns

Last Updated: Tue, Nov 20, 2012 20:45 hrs

Gov. Nikki Haley says a report on a cyber-attack on South Carolina's tax collection agency shows officials could have done more to protect the personal information of nearly 4 million individual filers and 700,000 businesses.

Haley also said Tuesday that Department of Revenue Director Jim Etter has resigned, effective Dec. 31.

She says the report from computer security firm Mandiant found Revenue should have required dual verification for someone trying to access tax returns and should have encrypted Social Security numbers.

The breach involved those who filed electronically, dating to 1998 but mostly since 2002. Haley says the hacker stole 3.3 million unencrypted bank account numbers, as well as 5,000 expired credit card numbers.

Mandiant identified precisely whose information was stolen. Those taxpayers will be notified by email or letter.

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