Fed watchdog flags employee who may have taken confidential information

Key facts

• A departing Federal Reserve Board employee may have removed confidential and sensitive information.
• The employee had a prior information security incident involving Federal Open Market Committee information.
• The Inspector General highlighted information security risks and control breakdowns at the Board.

The Federal Reserve's internal watchdog issued an alert on Monday concerning a departing employee who may have taken confidential information from the central bank. The Inspector General's office stated that the employee potentially removed classified and other sensitive information related to the Federal Open Market Committee (FOMC) after a previous information security incident involving FOMC data.

The watchdog emphasized that this potential incident underscores information security risks and control deficiencies that necessitate the Board's immediate attention.