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Local News

June 4, 2009

City alerted to security breach

Derrick Miller

DUNCAN — When Donna Howell, City of Duncan personnel supervisor, went to make an ACH transaction (electronic payment) for the city Tuesday evening, she found something strange. The payment had already been made.

Knowing she didn’t make the payment, Howell got the city to look into the matter, and it was discovered that an electronic security breach occurred, putting not only city funds, but also customer banking information at risk.

Gerald Morris, financial director for the city, said, “There could be a breach of our customers’ bank information, those using bank draft.

“We don’t know that for sure. But there is a possibility.”

Morris said this is the first time such an incident has occurred for the City of Duncan.

He also said the Duncan Police Department is investigating the breach, and the department has already contacted the FBI about the development.

After the breach was discovered, the city began contacting customers who had the highest risk of their accounts being breached.

The highest risk customers are those who use bank draft and have accounts beginning with a 1 or a 4.

An automated calling system has been set up to contact these customers to provide some advice about dealing with the possible breach.

The automated system advises customers to contact their banks to keep their accounts secure and to call the city for information.

“We tell them they may want to contact their bank,” Morris said.

“We can’t tell them anything else because we don’t know anything else.

“Our duty is to notify them in a timely manner.”

Capt. Jay Evans with the Duncan Police Department said he tried to make contact with the FBI on Wednesday and since has talked with the agency since. Evans said the department is continuing to follow leads in the investigation.

“It’s proceeding so far,” he said. “We’re looking at different areas. There’s a lot of leads to follow.

“That’s about all I can say. It’s still under investigation.”

Morris said numerous calls have already been received from customers and return calls are being made by the city as quickly as possible.

Morris said the hackers were trying to transfer the city’s funds, but the city wants to make sure customer accounts are secure. This is what prompted notifying the customers, he said.

“We don’t know that any of the customers’ information has been taken,” Morris said.

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