28 Jan 2009

Companies urged to shred sensitive data

Firms are being advised to use effective methods of erasing confidential material after a boom in corporate identity theft.

Criminals retrieving data from dustbins and discarded computers cost businesses £20 billion a year, according to the Association of Chief Police Officers.

Security experts are urging companies to shred any used hard copies or use digital shredders to delete computer information.

"Measuring the true extent of business identity fraud is a minefield because the nature of the crime means it is often not reported. It has been suggested the £20 billion figure could be only the tip of the iceberg," says Simon Leila, of security specialists 360 Defence.

A reported 66 per cent rise in identity theft in the last year has seen shredder sales rise by almost a third, with supplies merchant Jim Stewart stating that shredding sensitive records is "the easiest way for organisations to protect themselves".

Earlier this week security solutions firm Steganos claimed that many firms are at risk because of a limited use of encryption methods.