"While LifeLock promised consumers complete protection against all types of identity theft, in truth, the protection it actually provided left enough holes that you could drive a truck through it," said FTC Chairman Jon Leibowitz in a statement.Apparently, others have also discovered the holes in LifeLock's services too. In fact, PC World and other news reports have stated that the CEO's identity has been stolen at least 13 times. Examples of what the thieves have been able to use Davis' identity for include running up large cell phone bills, obtaining bank loans, purchasing gift baskets, and paying utility bills. So much for LifeLock's identity theft prevention service! Now we know why the FTC fined them too!
As if this wasn't enough in what not to do if you want to sell services for fighting fraud, LifeLock's history has other interesting twists. For example, it turns out that the co-founder of LifeLock, Robert Maynard, Jr., has a history of bankruptcy and possibly identity theft himself. In his case, he wasn't the victim, but, rather, a Phoenix New Times article stated that there is evidence that Maynard stole his father's identity. When New Times originally broke this news, Maynard resigned from LifeLock.
An excellent investigative article in the New Times details this shady company's past and is great reading for anyone who wants to get to the bottom of LifeLock's history of deceptions. Enjoy!