The recent theft of data on 26.5 million veterans sends agencies a chilling message: Lock down your own data security and privacy policies immediately or you might wind up with confidential data walking out your own door. The Veterans Affairs Department probably is not the only agency whose security and privacy policies have gaping holes, government and industry experts agree.

The Office of Management and Budget said as much in a memo to agencies shortly after VA announced the theft of electronic data late last month. OMB urged agencies to scrutinize all administrative, technical and physical means to safeguard personally identifiable information, correct any gaps, and remind all employees of their responsibility to protect that information and the penalties for violating the rules.

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