Minneapolis – The Securities and Exchange Commission (SEC) is reportedly investigating whether Target Corp. adequately protected its data and informed shareholders about the possible consequences relating to its fall 2013 data breach, according to Bloomberg. The report said that Target is one of several public companies that suffered a data breach which is being investigated by the SEC.
In May 2014, Target publicly stated that the SEC, along with the FTC and states’ attorneys general, were investigating its data breach, although the SEC has not publicly commented on any investigation. The SEC is examining whether Target properly handled its data and fully disclosed the breach once it was discovered.
In guidance released in 2011, the SEC advised public companies that cyber attacks can be material to investors if they cause security spending to significantly rise or result in theft of intellectual property.