Marriott Hack Shows Risks Of Lax Cyber Diligence In Mergers

By Ben Kochman (December 3, 2018, 10:02 PM EST) -- When hotel giant Marriott International Inc. merged with rival Starwood Hotels in 2016, it also unwittingly bought a reservation database where the company said Friday intruders were lurking undetected, illustrating the risks of missing cybersecurity gaps during due diligence.

Class actions and regulatory inquiries continued to pour in Monday in the wake of the breach that Marriott says exposed the sensitive data of roughly 500 million travelers, including their passport numbers, travel dates and encrypted credit card numbers, which were stored on a Starwood network dating back to 2014. The episode is now the second high-profile breach an acquiring company has...

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