Letter to Acting Chairman Ohlhausen and Commissioner McSweeny - Klobuchar Urges the Federal Trade Commission to Increase Resources Dedicated to Investigation of Equifax after Consumer Financial Protection Bureau Pulls Back from Investigation

Letter

Dear Acting Chairman Ohlhausen and Commissioner McSweeny:

As you know, Equifax announced in September 2017 that a security breach had exposed the names, Social Security numbers, birth dates and addresses of as many as 145 million Americans.

This unprecedented attack on Americans' privacy and financial security falls under the jurisdiction of several federal agencies, including the Federal Trade Commission (FTC), the Consumer Financial Protection Bureau (CFPB), and the Department of Justice (DOJ), each of which announced investigations shortly after the breach occurred. While the investigation by DOJ will seek to uncover any criminal wrongdoing, thorough civil investigations are also essential for identifying the missteps that rendered Equifax's data vulnerable to such widespread exploitation and determining the necessary corrective actions.

Yet news reports yesterday indicated that Office of Management and Budget Director Mick Mulvaney has inexplicably directed CFPB investigators to pull back from their investigation of the Equifax breach. According to these reports, CFPB's investigation has been almost completely stalled, as investigators have failed to take routine investigative measures such as ordering subpoenas or seeking sworn testimony from Equifax executives.

In light of this concerning development, I urge the FTC to consider increasing the resources and manpower dedicated to its own investigation of the Equifax breach announced in September 2017. The FTC is well-positioned to investigate this matter and its effect on consumers and Director Mulvaney's actions suggest that FTC may be the only independent federal agency left undertaking a thorough civil investigation. A full and fair FTC investigation now appears to be the only way that we will determine the steps needed to prevent similar attacks in the future.

Thank you for your prompt attention to this matter.

Sincerely,

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