{"id":48135,"date":"2022-08-24T23:09:01","date_gmt":"2022-08-24T23:09:01","guid":{"rendered":"https:\/\/www.threatshub.org\/blog\/block-sued-after-ex-staffer-siphons-customer-data\/"},"modified":"2022-08-24T23:09:01","modified_gmt":"2022-08-24T23:09:01","slug":"block-sued-after-ex-staffer-siphons-customer-data","status":"publish","type":"post","link":"https:\/\/www.threatshub.org\/blog\/block-sued-after-ex-staffer-siphons-customer-data\/","title":{"rendered":"Block sued after ex-staffer siphons customer data"},"content":{"rendered":"<p>Block \u2013 the digital payments giant formerly known as Square \u2013 faces allegations it failed to take adequate measures to protect customers&#8217; personal information.<\/p>\n<p>A <a target=\"_blank\" rel=\"nofollow noopener\" href=\"https:\/\/regmedia.co.uk\/2022\/08\/24\/pacer_block_lawsuit.pdf\">lawsuit<\/a> [PDF], filed Tuesday in a federal district in Oakland, California, on behalf of two users of Cash App, operated by Block subsidiary Cash App Investing, claims the company failed to implement reasonable security. As a result, a former employee was able to download internal reports containing personal information after leaving the firm.<\/p>\n<p>Coincidentally, Twitter \u2013 another venture co-founded by <a href=\"https:\/\/www.cnbc.com\/2022\/04\/22\/jack-dorseys-new-title-block-head.html\">Block Head<\/a> Jack Dorsey \u2013 was <a href=\"https:\/\/www.theregister.com\/2022\/08\/23\/twitter_security_whisterblower\/\">accused<\/a> of subpar security by its former security chief in a recent whistleblower complaint.<\/p>\n<div aria-hidden=\"true\" class=\"adun\" data-pos=\"top\" data-raptor=\"condor\" data-xsm=\",fluid,mpu,\" data-sm=\",fluid,mpu,\" data-md=\",fluid,mpu,\"> <noscript> <a href=\"https:\/\/pubads.g.doubleclick.net\/gampad\/jump?co=1&amp;iu=\/6978\/reg_security\/cso&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=2&amp;c=2Ywa8GFugdF4OXfX7Ca5CegAAAQ0&amp;t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0\" target=\"_blank\" rel=\"noopener\"> <img decoding=\"async\" src=\"https:\/\/pubads.g.doubleclick.net\/gampad\/ad?co=1&amp;iu=\/6978\/reg_security\/cso&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=2&amp;c=2Ywa8GFugdF4OXfX7Ca5CegAAAQ0&amp;t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0\" alt> <\/a> <\/noscript> <\/div>\n<p>Block disclosed the December 10, 2021 data theft on April 4, 2022, and stated it was contacting 8.2 million current and former customers about the privacy snafu. The biz <a href=\"https:\/\/www.sec.gov\/ix?doc=\/Archives\/edgar\/data\/0001512673\/000119312522095215\/d343042d8k.htm\">said<\/a>, &#8220;a former employee downloaded certain reports of its subsidiary Cash App Investing LLC \u2026 that contained some US customer information.&#8221;<\/p>\n<div aria-hidden=\"true\" class=\"adun\" data-pos=\"top\" data-raptor=\"falcon\" data-xmd=\",fluid,mpu,leaderboard,\" data-lg=\",fluid,mpu,leaderboard,\" data-xlg=\",fluid,billboard,superleaderboard,mpu,leaderboard,\" data-xxlg=\",fluid,billboard,superleaderboard,brandwidth,brandimpact,leaderboard,mpu,\"> <noscript> <a href=\"https:\/\/pubads.g.doubleclick.net\/gampad\/jump?co=1&amp;iu=\/6978\/reg_security\/cso&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=4&amp;c=44Ywa8GFugdF4OXfX7Ca5CegAAAQ0&amp;t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0\" target=\"_blank\" rel=\"noopener\"> <img decoding=\"async\" src=\"https:\/\/pubads.g.doubleclick.net\/gampad\/ad?co=1&amp;iu=\/6978\/reg_security\/cso&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=4&amp;c=44Ywa8GFugdF4OXfX7Ca5CegAAAQ0&amp;t=ct%3Dns%26unitnum%3D426raptor%3Dfalcon%26pos%3Dmid%26test%3D0\" alt> <\/a> <\/noscript> <\/div>\n<div class=\"adun_eagle_desktop_story_wrapper\">\n<div aria-hidden=\"true\" class=\"adun\" data-pos=\"mid\" data-raptor=\"eagle\" data-xxlg=\",mpu,dmpu,\"> <noscript> <a href=\"https:\/\/pubads.g.doubleclick.net\/gampad\/jump?co=1&amp;iu=\/6978\/reg_security\/cso&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=3&amp;c=33Ywa8GFugdF4OXfX7Ca5CegAAAQ0&amp;t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0\" target=\"_blank\" rel=\"noopener\"> <img decoding=\"async\" src=\"https:\/\/pubads.g.doubleclick.net\/gampad\/ad?co=1&amp;iu=\/6978\/reg_security\/cso&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=3&amp;c=33Ywa8GFugdF4OXfX7Ca5CegAAAQ0&amp;t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0\" alt> <\/a> <\/noscript> <\/div>\n<\/p><\/div>\n<p>The employee had access to those reports while employed but in this instance downloaded the files after leaving the company. The data obtained included customers&#8217; full name and brokerage account numbers, and in some cases, brokerage portfolio values, brokerage portfolio holdings and\/or stock trading activity for one trading day.<\/p>\n<p>As far as the litigants are concerned, Block didn&#8217;t meet its security obligations, failed to notify customers in a timely manner, provided too little information about the incident, and failed to offer credit or identity monitoring services.<\/p>\n<div class=\"promo_article\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/regmedia.co.uk\/2020\/10\/28\/jack_dorsey.jpg?x=174&amp;amp;y=115&amp;amp;crop=1\" width=\"174\" height=\"115\" alt=\"jack dorsey\"><\/p>\n<h2 title=\"As shareholders sue the social network amid Elon Musk's takeover scramble\">Twitter founder Dorsey beats hasty retweet from the board<\/h2>\n<p><a href=\"https:\/\/www.theregister.com\/2022\/05\/26\/twitter_jack_dorsey\/\"><span>FROM MAY<\/span><\/a><\/div>\n<p>&#8220;The breach occurred because [Block] failed to take reasonable measures to protect the Private Information it collected and stored,&#8221; reads the complaint, which aspires to be certified in the United States as a class action. &#8220;Among other things, [Block] failed to implement data security measures designed to prevent this release of information to former employees.&#8221;<\/p>\n<p>Both of the plaintiffs \u2013 Michelle Salinas and Raymel Washington \u2013 saw unauthorized charges to their Cash App accounts in the wake of the December privacy breach, the lawsuit claims, and had to spend many hours trying to undo the damage. The pair are seeking damages and other punishment.<\/p>\n<div aria-hidden=\"true\" class=\"adun\" data-pos=\"top\" data-raptor=\"falcon\" data-xsm=\",fluid,mpu,\" data-sm=\",fluid,mpu,\" data-md=\",fluid,mpu,\"> <noscript> <a href=\"https:\/\/pubads.g.doubleclick.net\/gampad\/jump?co=1&amp;iu=\/6978\/reg_security\/cso&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=4&amp;c=44Ywa8GFugdF4OXfX7Ca5CegAAAQ0&amp;t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0\" target=\"_blank\" rel=\"noopener\"> <img decoding=\"async\" src=\"https:\/\/pubads.g.doubleclick.net\/gampad\/ad?co=1&amp;iu=\/6978\/reg_security\/cso&amp;sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&amp;tile=4&amp;c=44Ywa8GFugdF4OXfX7Ca5CegAAAQ0&amp;t=ct%3Dns%26unitnum%3D426raptor%3Dfalcon%26pos%3Dmid%26test%3D0\" alt> <\/a> <\/noscript> <\/div>\n<p>No evidence is presented that those unwanted charges were made by someone using data obtained as a result of the Block security fiasco. And in its disclosure notice, Block explicitly stated that the downloaded reports &#8220;did not include usernames or passwords,&#8221; or other sensitive personal information. At the same time, <a href=\"https:\/\/www.vice.com\/en\/article\/dy7yyy\/my-cash-app-hacked-hackers-stealing-money\">a recent report<\/a> claimed Cash App accounts are being actively targeted by hackers using information obtained from fraud sites peddling account information.<\/p>\n<p><em>The Register<\/em> asked Block to comment and to say whether the company has any reason to believe that reported Cash App cyber-heists may be linked to the company&#8217;s December 2021 data breach.<\/p>\n<p>So far, we&#8217;ve had no word from Block. \u00ae<\/p>\n<p> READ MORE <a href=\"https:\/\/go.theregister.com\/feed\/www.theregister.com\/2022\/08\/24\/block_headed_to_court_to\/\">HERE<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8216;Don&#8217;t be such a Square&#8217; hits different these days Block \u2013 the digital payments giant formerly known as Square \u2013 faces allegations it failed to take adequate measures to protect customers&#8217; personal information.\u2026 READ MORE HERE&#8230;<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"colormag_page_layout":"default_layout","footnotes":""},"categories":[63],"tags":[],"class_list":["post-48135","post","type-post","status-publish","format-standard","hentry","category-the-register"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.6 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Block sued after ex-staffer siphons customer data 2026 | ThreatsHub Cybersecurity News<\/title>\n<meta name=\"description\" content=\"ThreatsHub Cybersecurity News | ThreatsHub.org | Cloud Security &amp; Cyber Threats Analysis Hub. 100% Free OSINT Threat Intelligent and Cybersecurity News.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" 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