South Carolina Secures 20 Million Loan Following Cyber Attack

Wednesday, 12 Dec 2012 01:45 PM

By Bill Hoffmann

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The South Carolina Department of Revenue — reeling from a massive cyberattack that exposed up to 3.6 million Social Security numbers and other sensitive information — has secured a $20 million loan to stem the damage.

The department will use the loan to pay for notifying affected taxpayers and providing them with a year of free credit monitoring, according to The State newspaper.

The funding will also pay for the encrypting of data and for legal costs.

The loan — which represents half of the agency’s $41 million annual budget — will come from the state’s insurance reserve fund.

Along with Social Security numbers, 387,000 credit and debit card numbers used by state taxpayers may have been exposed to a cyberhacker.

"This is not a good day for South Carolina," Governor Nikki Haley said at a news conference in October when the breach was discovered. "I want this person slammed against the wall.’’

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