Over 40,000 social security numbers of applicants to the Lifeline Program in Indiana were posted online and made publicly available. This security breach is being investigated by the attorney general’s office of Indiana.
The state of Indiana apparently has the highest number of Lifeline Program applicants at 17,400. TerraCom Inc, an affiliate of YourTel America is the main mobile provider of the state. Surprisingly, the social security fiasco did not only happen to Indiana residents. Apparently, participants of the Lifeline Program from over 25 other states were victims of the online breach.
Information such as scanned driver’s licenses, tax returns, parole letters and pay stubs were also available online for these unfortunate victims. A company that is based in India called Call Centers India was contracted by TerraCom to hold the clients’ records.
TerraCom officials have kept their mouths shut and have not been able to be reached for comment or for interviews. However, the authorities have been notified and the Federal Communications Commission, the official body that runs the Lifeline Program, has also been notified of the unfortunate situation. The FCC has claimed that security breaches for just a single violation can cost up to $1.5 Million US Dollars in fines.
The Federal Communications Commission, otherwise known as the FCC, created the Lifeline Program during the Reagan Administration in 1985. This program was meant to provide free mobile phones and free text and talk minutes every month for American citizens who were living at or around the poverty line. Other criteria include being a participant of one of the federal or state-run assistance programs, such as Food Stamps or Free School Lunches or disability assistance. Proof of receipt of those programs will also allow one to become eligible for a free government mobile phone.
The Lifeline Program has met a lot of criticism over the past few years, particularly since President Obama came into office. They are often referred to as Obama phones and have landed Obama in a lot of hot water with the budget having increased annually from $800 million to $2.2 Billion US Dollars per year. However, this is more of a political strategy to paint Obama and the Lifeline Program in a bad light.
The fact is, that the Lifeline Program was created during Reagan’s term in office in order to allow lower-income families the opportunity to have access to safety and increase their employment opportunities. Now, with our society moving ever so quickly towards an online-dependent community – with job applications and education opportunities all moving to the online arena, living without cellular or broadband connection makes it next to impossible to be competitive in this market. As such, access to affordable modern day telecommunications is now more important than ever.
The Lifeline Program has been rife with fraud and abuse, resulting in millions of US dollars being wasted since 2008. The FCC has been working hard in order to minimize the amount of fraud and now has a plan in place that is said to save hundreds of millions of US dollars by the year 2015. The plan includes a central database that all of the carriers have access to in order to prevent duplicate accounts. The FCC is also going to keep an eye on carriers that start charging for subsidies above and beyond the $5 Million US Dollar mark, in order to reduce the amount of account approvals that are taking place.
This program is funded through a monthly fee on paying clients’ phone bills, which then goes to the Universal Service Fund, the central agency that hands out the budget for the Lifeline Program. Citizens see this as a tax in order to subsidize the free mobile phone program.
The Lifeline Program provides safety and peace of mind to millions of needy American families.
Return to our homepage.