Identity theft bill awaits Holden's OK

JEFFERSON CITY, Mo. -- For victims of identity theft, getting their affairs back in order can be a hassle. For the victims' creditors, the crime can be financially costly.

Legislation awaiting Gov. Bob Holden's signature would substantially toughen criminal penalties for identity theft, with the most serious violations being punishable by life in prison.

Max Cook, president of the Missouri Bankers Association, said the state law hasn't dealt with identity thieves as aggressively as has been warranted.

"Identity theft is an ugly, cruel crime," Cook said. "Generally, the person being victimized doesn't even know it is happening at the time it occurs. And later they have to contend with all the problems of their creditors calling."

Victims who have had their bank accounts drained or credit-card bills run up aren't held responsible for the monetary damage, which leaves financial institutions on the hook for losses.

According to the Federal Trade Commission, identity theft cost businesses and financial institutions nearly $48 billion in 2002 and consumers another $5 billion.

Under the bill that cleared the legislature on Thursday, it would be a crime to falsely use a means of identification belonging to another person. Those means include Social Security numbers, driver's license numbers, bank account information, computer passwords, birth certificates, fingerprints and biometric data.

The level of the criminal charge would be tied to the value of money or property stolen using such information. Incidents resulting in the theft of assets valued at $500 or less would be a misdemeanor. Losses above that amount would result in felony charges of escalating scale.

At the low end of the felony counts, thefts of between $500 and $1,000 would be a class D felony punishable by up to four years in prison. On the high end, a theft of more than $100,000 would be a class A felony, which carries 10 to 30 years or life in prison.

Dunklin County Prosecuting Attorney Stephen Sokoloff said existing laws allow for felony charges in many identity theft cases but that having a specific statute could provide prosecutors with an additional tool to pursue such matters.

"There may be some clear-cut instances where this would be of benefit," Sokoloff said.

The use of another's identification by a minor to purchase alcohol or cigarettes or to enter a casino is specifically excluded from being considered identity theft under the bill.

The measure enjoyed overwhelming legislative support, passing 29-0 in the Senate and 126-3 in the House of Representatives. Gov. Bob Holden, having requested the legislature's action on the bill, is expected to sign it into law.

Cape Girardeau police spokesman Sgt. Rick Schmidt said the department has been largely successful in solving local identity theft cases.

Although instances involving unseen computer hackers stealing personal information via the Internet do occur, Schmidt said in reality most identity thefts occur by more mundane means, usually by someone who has access to another's vital data.

"What seems to be the trend here lately is that the victim and suspect are familiar with each other," Schmidt said.

The bill is HB 916.

mpowers@semissourian.com

(573) 635-4608