Davidson Companies announced that a database containing certain personal information of its current and past clients may have been unlawfully accessed by a third party through a sophisticated network intrusion. Based on the company’s review, there is no evidence the unauthorized access enabled the third party to affect or alter client accounts through company systems.
The company recently became aware of the intrusion and immediately took its public Internet site offline. The company has contacted law enforcement and its regulatory authorities, notified the three credit reporting bureaus, and retained an information technology security and forensic firm to review the incident and assist the company in its response.
“Despite our efforts to safeguard client information, a computer hacker using sophisticated techniques illegally accessed a database and obtained access to confidential client information,” said William A. Johnstone, Davidson Companies president and chief executive officer. “All of us at Davidson are acutely aware of the uncertainty, stress and inconvenience associated with the potential compromise of personal information. We are fully committed to helping our clients deal with this unfortunate event as quickly as possible and are adopting measures to further enhance our network security.”
In a letter sent to clients, Johnstone wrote, “Because we are concerned about the possible misuse of your personal information, we are writing so that you may take steps to protect yourself from fraud and identity theft.” Johnstone said he encourages clients to read the letter in full.
The letter includes a special number for Davidson’s past and present clients to call with questions related to the incident. Current clients can call 1-800-909-6485, and former clients can call 1-800-736-6153, starting Wednesday morning. Additionally, the company is offering those affected a one-year enrollment to Experian’s Triple Advantage three-bureau credit monitoring service at the Company’s expense to help them begin the process of regularly reviewing their credit records for abnormalities. The letter recommends that clients:
– Immediately report to their financial consultant any unauthorized activity in their Davidson accounts.
– Contact credit and bank card issuers to review recent card charges and bank account transactions and should unauthorized charges appear, contact card issuers immediately to request that current accounts be closed and new cards be issued.
– Consider placing fraud alerts on their credit files through contacting one of the three principal credit reporting bureaus (Equifax, Experian and TransUnion).
– Review the identity theft materials posted for consumers on the Federal Trade Commission’s Web site, www.consumer.gov/idtheft/ including the FTC’s booklet, “Take Charge: Fighting Back Against Identity Theft.”
About Davidson Companies
Davidson Companies is an employee-owned financial services holding company founded in 1935 and based in Montana. The company has more than 930 employees who deliver financial products and services to individual and institutional investors from offices in 16 states. Within the Davidson Companies family are these firms: D.A. Davidson & Co., a full-service investment firm; Davidson Investment Advisors, a professional money management firm; Davidson Trust Co., a wealth management and trust company; Davidson Fixed Income Management, a registered investment adviser providing money management and other fixed income services to mostly institutional clients; and Davidson Travel, a full-service travel agency.