On the morning of May 13, 2008, Michael Daugherty, CEO of LabMD, was at the medical testing laboratory company’s Atlanta-based office when his general manager and vice president of operations dropped in. Someone named Robert Boback from the cybersecurity firm Tiversa had called, he said, and was claiming to have found a sensitive file of LabMD’s on a peer-to-peer file-sharing network.
Daugherty demanded proof, and Boback soon emailed over a LabMD billing file with the names, dates of birth, addresses and Social Security numbers of around 9,300 of company patients. Within hours, LabMD traced the file to a billing manager who had LimeWire downloaded on her computer in violation of company policy. Boback claimed that the sensitive file was spreading online, but when pressed for details, Daugherty recalls in his book “The Devil Inside the Beltway,” Boback responded with sales pitches.
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