Information Technology Act
Greg Bennett
BIS/220
January 15, 2013
Nikia Johnson

Information Technology Act
Information technology continues to forge ahead and has done so from day one. Technology, moving forward, and becoming more advanced and sophisticated, adds growing concern over the ethical integrity of that technology. In correlation with those concerns, the United States government implemented various acts to aid control in these concerns and combat unethical behavior. Given the number of implemented acts, this paper focuses on two specific sections: the Fair Credit Reporting Act of 1970, and the U.S. Patriot Act of 2001. The implementation of the Fair Credit Reporting Act of 1970 enabled each American to be on an even plane with credit opportunities. The government executed the U.S. Patriot Act in 2001, in part because of the atrocity of 9/11, to lessen terrorist activities by the use of the Internet and cyberspace. Fair Credit Reporting Act of 1970 The Fair Credit Reporting Act (FCRA) ordained to “protect consumers from the disclosure of inaccurate and arbitrary personal information held by consumer reporting agencies” (Consumer Privacy Guide (2001). The Fair Credit Reporting Act (1970). 2001).
At the time when this act was established, American citizens were not viewed equally by credit facilities when attempting to purchase homes or vehicles. This act was a means of governing and guaranteeing equal opportunity and consideration for these loans. American consumers are rated on a numerical ranking for calculating his or her ability to repay any loan. This ranking is called the credit score and is based on past credit and current credit records. The ensuing record reprises the sections of the FCRA.

Sections of the Fair Credit Reporting Act of 1970
Section Work 601 “Short title 602 Congressional findings and statement of purpose 603 Definitions; rules of construction 604 Permissible purposes of consumer reports 605 Requirements relating to information contained in consumer reports
605A Identity theft prevention; fraud alerts and active duty alerts
605B Block of information resulting from identity theft 606 Disclosure of investigative consumer reports 607 Compliance procedures 608 Disclosures to governmental agencies 609 Disclosures to consumers 610 Conditions and form of disclosure to consumers 611 Procedure in case of disputed accuracy 612 Charges for certain disclosures 613 Public record information for employment purposes 614 Restrictions on investigative consumer reports 615 Requirements on users of consumer reports 616 Civil liability for willful noncompliance 617 Civil liability for negligent noncompliance 618 Jurisdiction of courts; limitations of actions 619 Obtaining information under false pretenses 620 Unauthorized disclosures by officers or employees 621 Administrative enforcement 622 Information on overdue child support obligations 623 Responsibilities of furnishers of information to consumer reporting agencies 624 Affiliate sharing 625 Relation to state laws 626 Disclosures to FBI for counterintelligence purposes 627 Disclosures to governmental agencies for counterterrorism purposes 628 Disposal of records 629 Corporate and technological circumvention prohibited” (Consumer Privacy Guide (2001). The Fair Credit Reporting Act (1970), 2001).

When an individual submits a credit application, for consideration, it contains personal information, including name, address, social security number, and other data. This information is tracked via a database to ascertain their credit record and history. Obviously if approved, the process continues, however should that person be declined, the credit bureau is obligated to send an explanation for the refusal, usually by mail. It is every person’s right to receive an annual credit report, at no cost to him or her. If there is a discrepancy or inaccuracy found, and contested by that person, the government will investigate it.

The Patriot Act of 2001 The Patriot Act of 2001, also known as the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism, was established to “deter and punish terrorist activity and acts in the United States and around the world, to enhance law enforcement investigative tools and purposes” (US). The record below supplies a summary of the sections of the Patriot Act in regard to financial institutions and their operations.
Summary of the Patriots Act of 2001
Section Purpose
311 “Special Measures for Jurisdictions, Financial Institutions, or International Transaction of Primary Money Laundering Concern
312 Special Due Diligence for Correspondent Accounts and Private Banking Accounts
313 Prohibition of U.S. Correspondent Accounts for Foreign Shell Banks
314 Cooperative Efforts to Deter Money Laundering
319(b) Bank Records Related to Anti-Money Laundering Programs 325 Concentration Accounts at Financial Institutions 326 Verification of Identification 351 Amendments Relating to Reporting of Suspicious Activities 356 Reporting of Suspicious Activities by Securities Brokers and Dealers; Investment Company Study 359 Reporting of Suspicious Activities by Underground Banking Systems 362 Establishment of Highly Secure Network” (FINCEN (n.d.). USA Patriot Act. 2012).
The Patriot Act enables the federal government to operate as a supervisory body over financial institutions, both foreign, and domestic, for suspected laundering of money for terroristic activities. This Act also obligates these institutions to monitor and report significant financial transactions, including the intent, and destination of said activities. This also includes discrepancies, inconsistencies, and debatable transactions to be reported. Failure to comply with any of the sections, mentioned in the above record, by any institution is subject to penalties brought about by the Patriot Act.
The Internet plays a significant role in today’s activities and transactions, such as online banking. These transactions heighten the necessity and need for further involvement to safeguard against suspected terrorist activity. Because the government could view a significant financial transaction, not normally done a frequent basis, as suspicious, the government could sanction any account involved. This is considered a “double edge sword” in the eyes of the public, who see this as an intrusion to their privacy.
As information technology evolves and advances, security, and ethics will continue to be a major concern, and the government will likewise continue to evolve and advance, in an effort to keep up with it. The downside to this will be the views, of a few, depicting this as infringement on their civil rights and personal privacy.

References
Consumer Privacy Guide (2001). The Fair Credit Reporting Act (1970). (2001, Spring). Retrieved from http://www.consumerprivacyguide.org/law/fcra.shtml
FINCEN (n.d.). USA Patriot Act. (2012, Winter). Retrieved from http://www.fincen.gov/statutes_regs/patriot.