Blumenthal Grills Former Equifax CEO on Company's Failure to Protect Confidential Consumer Information

[WASHINGTON, DC] – Yesterday in a hearing of the Senate Judiciary Subcommittee on Privacy, Technology, and the Law, U.S. Senator Richard Blumenthal (D-CT) questioned former Equifax CEO Richard Smith on the company’s failure to protect millions of American consumers’ confidential information. Blumenthal sent a letter to Smith on September 11 demanding Equifax provide meaningful solutions to consumers in the wake of the data breach. Smith resigned as CEO on September 26. In addition to his testimony before the Senate Judiciary Subcommittee on Privacy, Smith appeared today before the House Financial Services Committee.

Blumenthal asked Smith, “You would agree with me that people have been harmed here?”

“If nothing else, they’ve been angered and frustrated,” Smith responded.

Blumenthal continued, “Well they’ve been angered and frustrated because their privacy has been invaded, their most private information has been in effect given to thieves, their security over years to come has been shattered – whether or not they ever become victims of identity theft, correct?”

“Senator, I understand the question and the emotion of the question and I do believe the combination of the five services we’ve offered for a year combined most importantly with the ability of a consumer to lock down any access from any fraudulent activity for life, for free –” said Smith.

“But their sense of security has been shattered…by the way, is there any arbitration requirement attached to any of these programs?” asked Blumenthal.

Smith said, “We talked about, the initial roll out had that, early on, the first–” 

“But don’t the terms of use still require arbitration? Is there any arbitration requirement? Can you guarantee this committee that no consumer will ever be required to go to arbitration?” Blumenthal continued.

“I cannot, sir,” said Smith.

Video of Blumenthal’s full line of questioning is available for download here.