Use of Egress Switch can stop data loss and eliminate FSA fines
London, U.K. - July 23, 2009 - Following yesterday's announcement of fines levied against three HSBC firms for data loss incidents, Egress Software, an innovator in secure data exchange, predicts further fines to be imposed on financial services institutions in the U.K. The fines, totaling over £3m, are the highest ever issued for a data loss incident. The two data loss incidents were both cases of sensitive information that was shared with third parties.
"It's very troubling to see these fines issued when there has been a growing awareness of the risks associated with data loss, especially over the past few years. The U.K. as well as many other countries around the world have seen data loss lead to opportunities for identity theft, resulting in huge recovery costs and nearly crippling the reputation of organizations who are seemingly unable to control the information with which they have been entrusted," stated Bob Egner, president of Egress Software's US Operations.
Egner explained, "Our customers tell us that over one-third of data loss incidents arise in situations where sensitive information is shared with third parties. This figure has been validated by industry analysts who study data breaches, such as the Ponemon Institute. The two data loss incidents in question were exactly these types of cases - information copied to disks that were sent via post or courier. While much of the attention in recent years has been on internal data loss, such as those experienced with a lost laptop incident, the loss attributed to third parties has continued to rise. If Egress Switch had been in use by HSBC, this data exposure would not have happened."
Egress Switch, an innovative solution to protecting shared information, addresses the four key elements to secure data exchange:
Protect
All information is encrypted at every step before, during, and after it is shared.
Control
Each piece of shared information has access control assigned to it, which can be set or changed in real-time so information believed to be lost or compromised can be immediately shut down.
Ease of Use
One click by the end user makes it simple to secure information that needs to be shared, and creates end user awareness that they are taking appropriate steps to protect sensitive information.
Audit
A full record is kept of where information has gone, who has been assigned to access it, plus the date and time of any successful or unsuccessful access attempts.
Egress Software was founded by data security industry leaders from Pointsec, Check Point, and Reflex Magnetics. With their combined experience in full disk encryption, media encryption, and now secure data exchange, the company has dedicated resources to helping financial services companies in the U.K. develop a strategy and drive implementation of data security for data at rest, in motion, and in use. Qualified organizations may contact Egress for rapid strategy development, implementation assistance, and secure data exchange solutions.
"We are expecting the FSA to diligently pursue the legislative authority they have been empowered to enforce. In spite of increasing awareness of the risks and solutions to guard against data loss, further fines will certainly be levied," added Egner.
For further information about FSA and fines to HSBC visit www.fsa.gov.uk or
http://www.fsa.gov.uk/pages/Library/Communication/PR/2009/099.shtml.
For further information about Egress Software or to download a free trial, visit www.egress.com.
About Egress Software Technologies
Egress Software Technologies is an innovator in secure data exchange. The company provides easy-to-use security technologies that can protect data no matter where it is shared or how it is stored - CD/DVD, USB stick, file attachment, FTP, and other methods. Founded in 2007 as a data security reseller, the company is self-funded, based in London, UK, and is led by senior executives from leading data security software companies Reflex Magnetics, Pointsec Mobile Technologies and Check Point Software. Egress' growing customer base includes blue chip companies and government organizations around the world.
