DAVIS STOPS PAYROLL DATA SALES; LAW WAS ENACTED TO EASE PROCESSING OF LOANS.Byline: Associated Press Associated Press: see news agency. Associated Press (AP) Cooperative news agency, the oldest and largest in the U.S. and long the largest in the world. Gov. Gray Davis on Friday ordered state authorities to halt the sale of confidential payroll data to private lenders, saying providing the information would violate the privacy of millions of Californians. A new law allows the state's Employment Development Department to sell personal financial information to banks, car dealers and other lenders to help them verify an applicant's income, with the applicant's written permission. The plan, supported by lenders who said it contained privacy protections and would expedite loan applications, was approved by the Legislature last September and signed into law by former Gov. Pete Wilson For others named Pete Wilson, see . Peter Barton Wilson (born August 23, 1933) is an American Republican politician from California. Wilson served as the thirty-sixth Governor of California (1991–1999), the culmination of more than three decades in the public arena that . After a review period, it was expected to take effect later this year. But a number of privacy rights groups, including the American Civil Liberties Union American Civil Liberties Union (ACLU), nonpartisan organization devoted to the preservation and extension of the basic rights set forth in the U.S. Constitution. and the San Diego-based Privacy Rights Clearinghouse Privacy Rights Clearinghouse (PRC) is a project of the Utility Consumers' Action Network (UCAN), an American 501(c)(3) non-profit consumer advocacy organization. The Privacy Rights Clearinghouse is devoted to upholding the right to privacy and protecting consumers against identity , said the law allowed systematic privacy violations and could result in the unauthorized distribution of sensitive personal information. Davis agreed. The state ``has a responsibility to protect the privacy of its citizens. The wholesale distribution of such information on the open market, in my view, would violate that trust and the privacy of those individuals,'' the Democratic governor said. The language of the law gives EDD Noun 1. EdD - a doctor's degree in education DEd, Doctor of Education doctor's degree, doctorate - one of the highest earned academic degrees conferred by a university Director Michael Bernick Michael S. Bernick Counsel SEDGWICK, DETERT, MORAN & ARNOLD LLP Michael Bernick (born October 1, 1952) is a national authority on job training and employment, who served as Director of California’s labor department, the Employment Development Department (EDD), discretion over whether to actually sell the information. That leeway also allows the governor to block the sale if he chooses, Davis' office said. Davis said he would ask the Legislature to reconsider its action to pass the original bill, which was authored by former Assemblyman Steve Kuykendall, R-Rancho Palos Verdes Palos Verdes is often used to refer to a group of coastal cities on the Palos Verdes Peninsula in the Los Angeles/South Bay area of California. This affluent bedroom community is known for its dramatic views, good schools [1] extensive horse trails [2] . Kuykendall later was elected to Congress. Kuykendall's bill was designed to speed up processing of loan applications and reduce fraud by allowing lenders to quickly verify information provided by people seeking credit. It applies to information collected on about 14 million Californians that normally is used to calculate worker compensation and unemployment insurance payments employers make to the state. Privacy advocates said the information could fall into the wrong hands. ``Once you establish electronic access to a large-scale database, there are going to be illegitimate uses of the information,'' said Beth Givens of the San Diego-based Privacy Rights Clearinghouse. Programs already are operating in Iowa, Minnesota, North Carolina North Carolina, state in the SE United States. It is bordered by the Atlantic Ocean (E), South Carolina and Georgia (S), Tennessee (W), and Virginia (N). Facts and Figures Area, 52,586 sq mi (136,198 sq km). Pop. and Texas and one is being implemented in Pennsylvania. Legislatures in Florida, Indiana and Oregon authorized such systems in recent weeks. It was unclear how much revenue the state could make from selling the data. The California data had been expected to be released through Verification of Income and Employment, a joint venture of Norwest Mortgage and First American First American may refer to:
Verification, which has been negotiating to run the California program, headed the lobbying campaign for the new law. |
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