Target Executive Visits Congress 05 Feb 14

The US Senate Judiciary Committee convened a hearing Tuesday on combating cybercrime, in the wake of recent data breaches that have hit Target and other major retailers.  Target CFO John Mulligan told lawmakers that converting credit cards to a “chip and pin” system rather than a magnetic swipe card would prevent many of these crimes. The cards use a computer microchip and have to be authenticated with a pin number rather than a simple signature. Experts say France has cut card fraud by more than 80% since it started using the system in 1992. In the first public appearance by a Target executive addressing the issue since the breach occurred over the holiday season, Mulligan said Target is “deeply sorry” for the effect of the data theft on consumers, and acknowledged that their confidence in the company has been shaken. He urged banks, retailers and the government to work together to protect consumers.