Equifax CEO exits in wake of massive data breach


Equifax CEO exits in wake of massive data breach

The company also said Tuesday it has formed a special board committee to investigate the breach.

Feidler continued that Equifax is a substantially stronger company than it was 12 years ago when Smith began with the company, but "the Board and [Smith] agree that a change of leadership is in order".

The company said in an early Tuesday statement that Smith will "retire" after more than a decade at the company. Last week, the company said approximately 100,000 Canadian consumers might have also been affected by the breach - with vulnerable information including names, addresses, social insurance numbers and credit card numbers.

It is important to keep in mind that Equifax shares were north of $140 prior to disclosing this hack.

The U.S. Federal Trade Commission (FTC) as well as the House Oversight Committee are now investigating Equifax and its data security practices.

Rep. Maxine Waters (Calif.), the top Democrat on the House Financial Services Committee, told The Washington Post in a statement that Smith's retirement does not relieve Equifax of its obligations to answer for its security lapses.

Smith's September 26 "retirement" follows Equifax announcing on September 15 that its then-current CIO David Webb and CSO Susan Maudlin would be retiring.

Equifax' notorious breach was accomplished by attackers exploiting a Web application vulnerability that was discovered by researchers in March.

Equifax is a global information solutions company that uses trusted unique data, innovative analytics, technology and industry expertise to power organizations and individuals around the world by transforming knowledge into insights that help make more informed business and personal decisions. Several lawmakers, including Democratic U.S. Senators Elizabeth Warren and Sherrod Brown said they still expected Smith to appear.

It later said about 100,000 Canadian consumers may have had their personal information compromised in the massive cyberattack, in addition to 400,000 in the United Kingdom. In the meantime, the company has tapped Paulino do Rego Barros Jr., an executive from its Asia Pacific division, to serve as interim CEO. "If you are sitting on that board, I don't know how you could have permitted him to stay in his role". The House Energy and Commerce committee will hold its hearing on October 3 and the Senate Banking Committee the following day.

Smith has built a fortune with his Equifax holdings. "Our focus now is on providing impacted consumers with the support they need". But the Republican-controlled Congress has signaled that it will not pass any such laws (see Cynic's Guide to the Equifax Breach: Nothing Will Change).

Richard Smith, who leaves with immediate effect, has joined a growing list of senior people that exited Equifax in the wake of the mega leak that affected in excess of 100 million consumers.



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