Police in Hebei catch suspect selling personal data to marketers
Staff Reporter 2013-09-18 17:38
Police raid a health food company in Zhangjiakou, Hebei province. (Internet photo)
Authorities in Zhangjiakou in northern China's Hebei province have cracked the case of a security leak after a six-month investigation, apprehending a suspect in possession of a list of over 10,000 names, contact details and personal information.
A Zhangjiakou resident surnamed Zhang was surprised to receive a call from a salesperson who had full knowledge of her name, home address and recent attempts to lose weight. The caller was trying to sell diet pills.
Many people in Zhangjiakou, especially senior citizens, have received similar calls from sellers of health products and blood-pressure medicine.
The city's police have shut down a company called Bo Zang, which was believed to be involved in the case.
The manager of Bo Zang said the company mainly sold replica drugs via telephone calls. Their sales performance was initially poor because they were reliant on random cold calls which seldom resulted in a sale.
When the company found out last October that it could purchase the contact details of potential customers, the management bought the details of thousands of people, allowing it to market drugs to a more targeted group of potential customers, which led to a boost in its sales.
With the rise in competition, the suspect said such marketing solutions have become crucial for companies, especially those with a history of dodgy dealings.
A middleman who was caught in Shenzhen in southern China said he decided to buy the private information of over 10,000 people so he could achieve his sales target at the insurance firm where he worked. He later sold this private information after he quit his job.
The leak of personal data was traced to an internet maintenance technician at a telecom company in Shandong, eastern China. Other sources that contributed to the leak were staff at courier companies, banks, hospitals and schools.
One source working as part of the personal information supply chain said appropriate regulations should be mapped out in order to protect personal privacy and social stability.
