Tower Records Settles Hacker Attack Suit
The company that operates the Web site for music retailer Tower Records has settled complaints by U.S. regulators that it allowed hackers in 2002 to steal personal information about thousands of its online customers. Under the agreement announced Wednesday, MTS Inc. of West Sacramento, Calif., must maintain a "reasonably designed" program to assure the security of customers to the Web site and hire outside consultants every two years during the next decade to test its security.
The Federal Trade Commission said failure to abide by those terms could result in fines up to $11,000.
The FTC said Tower Records, which emerged from bankruptcy last month, redesigned part of its Web site in November and December 2002 but failed to update one feature that customers used to check the status of their online purchase.
