[BreachExchange] TIO Networks Provides Update on Suspension of Operations

[Destry Winant]

http://www.tionetworks.com/PYPL_News_2017_12_01_General_Releases.pdf

PayPal Holdings, Inc. (Nasdaq: PYPL) today announced an update on the
suspension of operations of TIO Networks (TIO), a publicly traded
payment processor PayPal acquired in July 2017. A review of TIO’s
network has identified a potential compromise of personally
identifiable information for approximately 1.6 million customers. The
PayPal platform is not impacted in any way, as the TIO systems are
completely separate from the PayPal network, and PayPal’s customers’
data remains secure.

As announced on November 10, PayPal suspended the operations of TIO to
protect customer data as part of an ongoing investigation of security
vulnerabilities of the TIO platform. This ongoing investigation has
identified evidence of unauthorized access to TIO’s network, including
locations that stored personal information of some of TIO’s customers
and customers of TIO billers. As a result, PayPal is taking steps to
protect affected customers.

TIO has also begun working with the companies it services to notify
potentially affected individuals, and PayPal is working with a
consumer credit reporting agency to provide free credit monitoring
memberships. Individuals who are affected will be contacted directly
and receive instructions to sign up for monitoring.

More information has been posted at www.tio.com.