RadioShack Corp. was sued Monday by the Texas Attorney General's office, which charged that the electronics retailer exposed consumers to potential identity theft by dumping data such as addresses and credit-card numbers in a trash bin behind one of its stores.
The civil suit, filed in San Patricio County, Texas, accuses the company of violating the state's 2005 Identity Theft Enforcement and Protection Act, which requires businesses to protect consumer records that contain sensitive information.
RadioShack, based in Fort Worth, Texas, did not immediately return phone calls seeking comment.
According to the complaint, which was posted on the state attorney general's Web site, "thousands" of records containing customer names, addresses, telephone numbers and other data were found in a trash can in an alley behind a RadioShack store located in Portland, Texas, in March 2007.
RadioShack "failed to safeguard the information by shredding, erasing or other means, to make it unreadable or undecipherable before disposing of its business records ...," the complaint states.
The lawsuit seeks a permanent injunction, civil penalties and other relief. News of the lawsuit came before markets closed on Monday.
RadioShack shares closed 2.6 percent higher on the New York Stock Exchange. It's competitors Best Buy and Staples ended lower.
Story courtesy of CNN Newsource.
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