Feeds

Gambling companies must be extra careful with personal data

Protect punters' info while palming their cash

Intelligent flash storage arrays

If you do not react quickly, if you do not share information with customers and if you do not offer appropriate compensation, you will suffer a major backlash. People understand that mistakes can be made. If you try to hide them or try to avoid responsibility, that is when you will find the public turning against you.

A civil case being brought against Sony in Canada has reportedly argued that the company's failure to notify customers and regulators about the breach exacerbated its non-compliance. As well as considering their regulatory obligations, companies should check their own terms and conditions to see what they have promised they will do in this situation.

If your operation covers many countries, apply the standards of the most rigorous regime. Customers will not welcome seeing other people treated better because of where they live. Again, the biggest risk to your firm is reputational, not regulatory. In a fast-moving competitive market, there are plenty of other operators waiting to pick up disenchanted customers in the wake of a security breach.

That said, the regulators most certainly matter. Gambling is in a different position to most industries because there is an obligation to report any serious data security breach.

The Gambling Commission's Information Security Code of Practice requires licensed operators regulated in Great Britain to notify the Gambling Commission of any major breach of information security that adversely affects the confidentiality of customer data or prevents customers accessing their accounts for a substantial period.

The DPA does not require businesses generally to notify the ICO of a breach, but significant breaches should be notified: it is far better if an organisation is able to tell the ICO its side of the story rather than the ICO finding out from the press or disgruntled customers.

A review of data protection legislation is now underway at European Union level and a mandatory requirement to notify information security regulators in the wake of high profile security breaches is one of the options being considered.

A gambling operator will have many concerns, and many systems to oversee. Protecting a database of customer details might not seem to be deserving of a place at the top of a priority list, but the consequences of a breach can be truly dire. Just ask Sony.

Copyright © 2011, OUT-LAW.com

OUT-LAW.COM is part of international law firm Pinsent Masons.

Internet Security Threat Report 2014

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Yes, yes, Steve Jobs. Look what I'VE done for you lately – Tim Cook
New iPhone biz baron points to Apple's (his) greatest successes
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
Edward who? GCHQ boss dodges Snowden topic during last speech
UK spies would rather 'walk' than do 'mass surveillance'
prev story

Whitepapers

Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.