News from the Mishcon de Reya website on data protection concerns arising from criminal barristers’ dispute with the MoJ
Category Archives: Data Protection
OMG – OCG attacks HMRC
ICO declines to take action after 1000 HMRC customer records apparently altered in 2020 by Organised Crime Gang and used to make fraudulent claims
Rather hidden away on the Information Commissioner’s Office (ICO) website is information, disclosed under the Freedom of Information Act 2000 (FOIA), in relation to an ICO investigation of a security incident involving HMRC, and an organised crime gang (OCG).
It appears that, in June 2020, an OCG had used 193 genuine National Insurance Numbers (NINOs) which it had managed to “hijack” (it is not clear how) from external sources, and set up bogus Government Gateway (GG) accounts. This subsequently “enabled the OCG to carry out enrolments on the bogus GG accounts of genuine Self-Assessment customer Unique Tax References”, which in turn enabled the submission of fraudulent tax returns with the aim of the OCG being to make fraudulent expenses claims.
It was also discovered that details of 130 of the data subjects whose NINOs had been compromised were also used to “utilise” the DWP universal credit service.
HMRC did not become aware of this incident until 2 December 2020, and it notified the ICO (pursuant to its obligations under Article 33 GDPR) on 14 December 2020.
Details of the incident also appear to be contained in HMRC’s Annual Report for the period in question, where (at page 188) it refers to an incident involving 1023 people where “Personal information [was] used to make changes to customer records on HMRC systems without authorisation”.
There are many redactions in the information that the ICO has now published, but the headline point is that it did not view the incident as a serious enough infringement of HMRC’s obligations under GDPR so as to warrant a monetary penalty. The ICO noted that
…there is no indication that any of the originating personal data used to commit the fraud was obtained from HMRC.
However, it does appear that some people might have lost money, although this has since been repaid to them:
…any repayments due to genuine customers have been (or will be) made good…and therefore all the financial losses will be HMRC’s.
Also redacted are what would probably be details of systems changes that HMRC has taken or agreed to undertake as a result of the incident. These would, says the ICO
increase the protection applied to customer records and data and make stacks of this nature more difficult…
This wording suggests that the ICO felt that the level of protection had not been adequate, in line with HMRC’s security obligations under the GDPR. That being the case, the ICO must have decided that, in this instance, despite the infringement, it wasn’t necessary, or appropriate, to issue a fine or take other enforcement action.
The views in this post (and indeed most posts on this blog) are my personal ones, and do not represent the views of any organisation I am involved with.
Filed under Breach Notification, Data Protection, GDPR, HMRC, Information Commissioner, security
ICO secures court-awarded compensation
ICO often say they can’t award compensation, but what they can do is – in criminal cases – make an application for the court to make an award (separate to any fines or costs). But as far as I know, until this case last week, they’d never done so:
https://www.mishcon.com/news/ico-recommends-compensation-awards-in-criminal-prosecution-case
High Court muddle over data protection regime
A relatively common error by those unaccustomed to the rather odd structure of the data protection statutory regime in the UK, is to look first to the Data Protection Act 2018 (“DPA”) for the applicable law, instead of the UK GDPR. This is despite the fact that the very first section of the DPA instructs us in how the regime works. Section 1(2) provides that “most processing of personal data is subject to the UK GDPR”, and then sections 1(4) and (5) explain that Parts 3 and 4 of the DPA deal with those parts of the regime (law enforcement processing and intelligence services processing) which are out of the scope of UK GDPR.
“Put me to one side” – says the DPA tactfully – “you should have picked up your copy of the UK GDPR first, and not me”.
Accordingly, the key provisions, and the basic principles, applying to most processing, are to be found in the UK GDPR.
The result of this relatively common error, is that people will sometimes cite, say, section 45 of the DPA in relation to a generic subject access request, when in fact, the applicable provision is Article 15 of the UK GDPR (section 45 applies to subject access requests to competent authorities for the purposes of law enforcement).
Occasionally, I have seen non-specialist lawyers make this mistake.
And now, I have seen a high court judge do the same. In a judicial review case in the High Court of Northern Ireland, challenging the accuracy of a child’s social care records, part of the claim (which was primarily an Article 8 human rights claim) was pleaded as also a breach of Article 5(1) and (6) of the “GDPR” (the correct pleading should have been, and maybe was, by reference to the UK GDPR) and Part 1 of the DPA. Article 5(1) of the UK GDPR contains the data protection principles.
The judge, however, stated that
It seems to the court that in fact the relevant part of the 2018 Act are sections 86 to 91 which set out the six data protection principles in relation to data processing.
This is simply wrong. Sections 86 to 91 of the DPA lay out the data protection principles only in relation to intelligence services processing (i.e. processing of personal data by the Security Service, the Secret Intelligence Service or by the Government Communications Headquarters).
It isn’t clear whether there was any discussion about this in the court (quite possibly not), but it appears not to have been picked up when the judgment was circulated in draft or published to the parties. As it is, it seems very likely that nothing turns on it. This is because the Part 4 DPA principles, like the Part 3 DPA principles, effectively mirror the principles in Article 5(1) UK GDPR, and so the analysis, for the purposes of the substantive matter, was sound.
So this was an error of form, more than substance.
However, there are some differences between the UK GDPR regime, the Part 3 DPA regime and the Part 4 DPA regime, and in different circumstances an error like this could result in an outcome which is wrong, and harmful.
The views in this post (and indeed most posts on this blog) are my personal ones, and do not represent the views of any organisation I am involved with.
Filed under accuracy, Data Protection, Data Protection Act 2018, GDPR, human rights, Ireland, judiciary, UK GDPR
Data Protection reform bill – all that? or not all that?
I’ve written an “initial thoughts” analysis on the Mishcon de Reya website of the some of the key provisions of the Data Protection and Digital Information Bill:
The Data Protection and Digital Information Bill – an (mishcon.com)
Podcast on UK data protection reforms
My Mishcon de Reya colleague Adam Rose and I have recorded a short (25 minute) podcast on the government’s recent announcement of proposed data protection reforms.
Filed under adequacy, Data Protection, Data Protection Act 2018, GDPR, UK GDPR
ICO to keep income from UK GDPR fines
This is a significant development – the Information Commissioner will now be able to keep up to £7.5m a year from penalties, to cover their litigation and debt recovery costs:
https://www.mishcon.com/news/ico-to-keep-money-from-uk-gdpr-fines
Filed under Data Protection, DCMS, GDPR, Information Commissioner, monetary penalty notice, UK GDPR
GDPR reprimands for Cabinet Office, UKIP, CPS & ors
A piece by me just uploaded to the Mishcon de Reya website, on an FOI disclosure to me of the most recent reprimands under GDPR/ UK GDPR issued by the Information Commissioner
ICO reprimands Cabinet Office, UKIP, CPS and others for (mishcon.com)