Computers Sold with 'Sensitive' Files

Used state government computers may have been sold to the public.

Raleigh, N.C. (Associated Press) - Used state government computers may have been sold to the public with Social Security numbers and other sensitive information still on their hard drives, according to a state audit released Wednesday. Bank account numbers and agency passwords that could be used to hack into the state computer network also were left on hard drives, officials said.

"Absolutely, they went to the public," said Dennis Patterson, a spokesman for the state auditor's department. "We've got to assume that our sample is probably indicative of what was in the rest" of what was sold to the public.

He referred questions about how many computers with sensitive information passed into the public's hands to the state's Surplus Property Agency, which did not immediately return a call. The findings raise worries about identity theft, State Auditor Ralph Campbell said.

People have to give confidential information to government agencies, but they correctly expect that the information will be carefully guarded by those agencies. As we discovered, this has not been the case.

Ralph Campbell

State Auditor

The study looked at a random sample of computers sent to the Surplus Property Agency in October and November last year. Auditors read information on 62 of 96 computers and gleaned "sensitive" information from 35 of them, including lists of National Guard members and their Social Security numbers, loan applications, and wage garnishment records.

Computers that hadn't been properly erased came from the General Assembly, the courts and various executive branch agencies. Auditors informed the offending agencies about what was found on the computers and urged them to be more diligent in erasing records.

A rule in place since July 2002 requires state agencies to erase information on their computers before they turn them over as surplus property for refurbishing or resale. Some of these computers are sent to state prisons to be repaired by prisoners. Some are sold to schools and the public. The review, the first since the 2002 requirement, surprised auditors, Patterson said.

"When two-thirds of them aren't even bothering to comply, that was worse than what we expected," he said.

Campbell's investigative division also found pornographic material on several of the computers and is investigating who was responsible for that, he said.