Nikki Haley’s Experian Contract Under Fire

GOVERNOR’S ADMINISTRATION CAN’T SHOOT STRAIGHT REGARDING NO-BID CONTRACT Can S.C. Gov. Nikki Haley do anything right when it comes to handling the massive security breach at her S.C. Department of Revenue (SCDOR)? Apparently not … First, her administration failed to prevent the breach (operating under the governor’s “assume everything is…


Can S.C. Gov. Nikki Haley do anything right when it comes to handling the massive security breach at her S.C. Department of Revenue (SCDOR)?

Apparently not …

First, her administration failed to prevent the breach (operating under the governor’s “assume everything is okay” mantra).  Then it failed to detect it for forty-four days (eventually federal authorities alerted the state).   Then it failed to notify the public for another sixteen days that 3.8 million Social Security numbers, nearly 400,000 debit and credit card numbers and tax info for more than 650,000 businesses had been stolen.

Once the cat was out of the bag, Haley’s problems compounded the second she opened her mouth.

No business tax information was taken, Haley initially claimed.  Oops.

There was “nothing that could have been done” to stop the breach, Haley said.  Oops.

South Carolina used industry-standard security measures to protect its data.  Again … oops.

Now Haley’s decision to offer a $12 million no-bid contract to Experian for the purpose of providing a year’s worth of free identity theft protection is under fire.

According to the Associated Press, Haley’s administration can’t get its story straight regarding the particulars of this sole source contract – the second “emergency” no-bid deal the state has negotiated with Experian this year.  Inconsistencies regarding the timing of the contract and consideration given to other companies keep popping up on an almost daily basis.

“Answers on when officials contacted Experian, and whether other companies were given any consideration, have evolved depending on the day and who’s asked,” the AP reported.

Not only that, Haley’s administration has told several flat out mistruths regarding Experian’s “exclusive” services, which it turns out other companies not only provide – but provide at cheaper costs.

As we’ve pointed out previously, the fact that South Carolina is paying any company to provide this service is ridiculous.

Experian is going to make millions of dollars in residual business stemming from this incident – meaning that the state should have driven a much harder bargain in terms of negotiating this deal.  In fact Dun and Bradstreet is providing similar protection to South Carolina businesses free of charge – fully aware that they are going to make a killing off of the deal in the long run.

Once again, Nikki Haley has dropped the ball … and is refusing to level with the people of the state about her failure.


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drowning in this cesspool November 17, 2012 at 4:54 pm

As a Republican, I’m upset and embarrassed!
As a tax payer, i’m pissed off!
As a Tea party leaner, i’m furious, as HELL!

Haley has turned out to be a complete, incompetent disaster.

It is a Shitty day in SC, a Shitty month and has been Shitty the entirety of her tenure!

Tax Cuts for Billionaires Inc. November 17, 2012 at 5:04 pm

Hell it’s YOU and your fellow “Tea Partiers” fault!

All you do is vote for a bunch of damn fools like this goofball woman

Then howl like a damn wounded Sow

When they unsurprisingly screw up

Want to see the problem with this state?

Stare In The Mirror!

sweepin November 17, 2012 at 5:44 pm

Next time you Tri-Folds give up all of the goods, at least demand a kiss. Hell, y’all didn’t even get a “reach around” from Haley.

dwb619 November 17, 2012 at 6:26 pm

Well, you can thank the TEA Party and the big”R” in front of her name for her election.

hhuuhh?? November 18, 2012 at 10:57 am

drowning, you had every mother fucking bit of information well BEFORE the 2010 general election that anyone with HALF a brain needed to know NOT to vote for this idiot.

I am just sick and tired that people like you, who are so low information you can’t make a rational decision, even care about voting. Things will not get better until you and your ilk STOP VOTING!!!!!!!

BigT November 17, 2012 at 5:05 pm

4 people died at Benghazi thanks to Obama…so STFU….

Todd November 17, 2012 at 5:14 pm

Your boy Bush is responsible for thousands in Iraq and Afghanistan

Demo lite November 17, 2012 at 5:32 pm

Not because of Obama because of Radicals. Unless you’re ready to place blame on W for 911 deaths.

You’re a pathetic loser T , still sour over losing. Whiney bitch!!

Tax Cuts for Billionaires Inc. November 17, 2012 at 5:42 pm

11 people died because of the corporate criminals at BP

Republican Congressman Joe Barton of Texas a well known Obama hater like this dope Big T

Apologized to the criminals(c’mon Big T how much should we cut BPs taxes)

The LAST thing Republicans care about are dead Americans

They only have relevancy to make one of their political points

BigT November 17, 2012 at 5:56 pm

Again, Obama KNEW our people, who HE sent over there, were going to be MURDERED…and he Balked…

Then Obama LIED to cover…and put a man in jail to beg favor from the Brutal Murderers…

Now you BRAID-DEAD Hand-out, Beggars may think no one knows….but if there is unrest, and there could well be…A lot of people will get their REVENGE this time…

Haley (and every Republican in power)just needs to keep buying time against Obama’s insider takeover of us…We’re biding our time too…

You’re too lazy, soft and stupid….Haley does not need to worry about the Hack…until there is a victim….

Obama killed 4…and he got away SCOT-Free to mess it up more..

dwb619 November 17, 2012 at 6:28 pm

Over two hundred Marines died in their sleep in Lebanon, thanks to Ronnie “Ray guns”.
So you STFU!

Four Dead In Ohio November 18, 2012 at 12:24 pm

Hey, Asshole! Stay on topic…Obama, Obama, Obama…STFU and post on your shit where it’s in context you fucking gas bag.

Isotope Soap November 18, 2012 at 12:32 pm

Biggie staying on topic? Not when his queen is taking heat…time to deflect the argument. OBAMA!!!

Twinkie November 17, 2012 at 5:45 pm

But accountants from Clemson know all…

Carpe Jugulum November 17, 2012 at 5:55 pm

The folks over at LMC would now like to show you their “surprised face”…………..

junior justice November 17, 2012 at 6:20 pm

Nikki, O High Priestess, please tell me who will win the SC/Clemson game and the final score. I need to place my bets by Monday. Your knowledge is infallible, and I really need the money.

Annoyed November 17, 2012 at 6:35 pm

Slovenly Governor called this her “Hurricane Hugo”. It was more like Hurricane “Jim” (Etter) or better yet, Hurricane “Harry” (Cooper). They couldn’t protect our most important of records, how could they be trusted to have any input entering into contracts with Experian or anyone else.

Wasn’t the CIO of this agency fired for taking kickbacks from vendors? How either of these clowns, Bozo or Clarabell keep their jobs is beyond me.

If Haley won’t replace them, let’s pass a recall law this year and replace her.

Knows in Myrtle Beach November 17, 2012 at 7:02 pm

You’re right about that Annoyed. Cooper has always been a weak link in that management chain, but he has always had Directors with experience to keep him in check. Poor old Etter just let him have his way for way too much for the last two years. Shows a complete weakness in judgement on his part.

This administration and this agency has been a disgrace that keeps on giving! These guys need to be retired before they completely ruin our state!

Hurtin for Certain November 18, 2012 at 10:23 am

I keep hearing about this Etter and Cooper from comments. I just looked them up on the salary database and Cooper is making $127,000 plus benefits. If he is indeed an ex-TERI and is also drawing state retirement, how much is he making to oversee this massive breach? Can someone verify if he has retired and been hired back? Is he indeed a “retread” soaking the state for more money?

Etter is making $130,000 plus state benefits. What were his credentials? Where was he working when he got this job? I have heard that he was unemployed. I’m sure Nikki didn’t “steal” him from a Fortune 500 company!

Also look at all of the IT people making over $85,000 plus. In fact, look at all of the employees making over $100,000. The IT people were well paid to protect our identities. Mike Garon in fact, was making $108,000.

How many of you are making these salaries? Would you still be employed if your mistake cost your company the identities of your customers?

This is an agency obviously out of control. I guarantee you that not 5% of these individuals could make it in the private sector.

hhuuhh?? November 18, 2012 at 11:11 am

Hurtin, go to the SCDOR website. Etter has the vaguest job history for a government appointee that you should ever hope to see.

Hacked Off November 19, 2012 at 2:17 pm

I wonder how many more ex-TERI/retired employees still work at this agency? Sounds like Cooper is the poster child for double dipping. How old is this ass clown anyway? Has he worked there long enough to retire and get Social Security?

He’s probably saying, “Don’t throw me in that briar patch!”

Knows in Myrtle Beach November 19, 2012 at 3:26 pm

No, he doesn’t want to retire. He’d have to take a $100,000 pay cut!!

BigT November 17, 2012 at 7:41 pm

As long as Haley Rejects Obama-policy, and isolates SC’s economy as much as possible from the Obama Disaster…she’ll be a Heroine…

And that goes for all Republicans. You WILL BE JUDGED by How you can KILL anything Obama, until the mid-terms…

Hold off ObamaCare and Litigate Litigate Litigate..Kep the AG on Speed-dial…we will REWARD ALL Obama Enemies…

And it will be easy to turn the Handling of the Hacking into a Major win for her…And she’ll make her Haters, like FITS, look like Fools…

But if she gives into the Obama Debacle any, it opens the Door Wide open for ANY Conservative to put her out of office…

Tired and retired November 17, 2012 at 8:06 pm

…and Custer and his men died as the result of a national intolerance toward native Americans…and your points are?

BigT November 17, 2012 at 8:14 pm

And America THRIVES when it puts asunder Racist Dicators…like Hitler…and the one in the White House…

Four Dead In Ohio November 18, 2012 at 12:26 pm

Obama, Obama, Obama…!

Lewis November 18, 2012 at 12:06 am

Maybe Darrell Jackson can get Nikki to hire Lillian McBride at some big salary and they can hide her over there. The McBride family can continue to provide busloads of votes for the RC legislative delegation, Crum can say they got rid of McBride and Nikki can say she hired an experienced administrator. Then everybody will be happy.

big(0)T, please kill yourself November 18, 2012 at 8:43 am

deal with it, T. betrayus, already outmaneuvered by obama, had to go testify and confirm the obama admin story on benghazi. LOL betrayus, caught by the short and curlies had to back up the obama line LOL. you know why, T? because betrayus was nothing more than a media created political hack all along. youre trying to tell me your hero and former cia director didn’t get nabbed in a honeypot trap? what a fucking moron. and that idiot was running the “intelligence apparatus?” so instead of worrying about the “terrorists” this clown, betrayus, was writing up supporting testimonies for jill kelley’s sister’s child custody hearings?????? thank god obama sent that hack packing. and as for that maricon, lindsey graham and his senile lover mccain: those clowns claim that susan rice isn’t qualified???? are these two fucking morons the same idiots that pimped sarah palin as qualified to be VP???? VP of what? reality shows and fitness books?? LOL!!!!!! LOL!!! U R as stupid and senile as mccain and probably ur so angry and frustrated because ur in the closet like your hero, graham. THANK GOD WE HAVE A HERO LIKE OBAMA RUNNING THE COUNTRY and thank god he got rid of this bush admin stooge and karl rove ass licker, betrayus. admit it, T, you bought the media’s lies about this perfumed prince, political hack, betrayus, all along. send him back to paula broadwell. they can go for more “runs” together LOL. what an utter disgrace. i bet he’ll be back in 4 years, though, endorsing newt gingrich for president. LOL!!!!!!!!!!!!!

BigT November 18, 2012 at 9:28 am

‘Kill yourself’…I see Obama’s “Win” as illegitimate because I think he CHEATED first of all..and he is Anti-Constitution…That is cause to impeach him…

And the Benghazi LIE (among others) that got our people KILLED is a reason the Millitary would side w/ Truth, not Obama…if something goes down…

That said: I think Obama WANTS it to Collpase because he STUPIDLY think his voters don’t HAVE because it was TAKEN from them unfairly…

Truth is: His people are LAZY, dull, Weak, petty, Greedy Hateful, Bitter, small and Immoral…all Key factors in their Failure and Poverty..And if is Leveled, a lot of people will Find out how Generous we’ve been to them, for letting them get their Slack-on in our Free country….

We will show WHY the Producers own the Country…and the Obama voters are here only because we have Tolerated Sloth and ignorance…

Justice is Slow sometimes..but if there are enough good people (1/2 the country is way more than enough) Right will prevail….

You think the Fight was at the ballot box, and since you controlled that w/ corruption, you think you won power…

But REAL power is EARNED…andd you pieces of $#!* and Obama could not Earn the air that you breathe if tested….

And you are slowly heading toward finding that out the HARD way…

Sailor November 18, 2012 at 11:11 am

You are too stupid to realize it but you’ve just described yourself! “lazy, dull, weak, petty,greedy, hateful, bitter, small & immoral”. Are you inciting violence?

The frightening thing is, that assholes like you own guns!

Isotope Soap November 18, 2012 at 12:28 pm

Yeah, he’s been dianosed with Psychological Projection.

Nölff November 19, 2012 at 9:40 am

Get over it and stop whining, bucktooth.

hhuuhh?? November 18, 2012 at 10:50 am

Couldn’t she have found an AMERICAN company to give this no-bid contract to?

Stephan November 18, 2012 at 11:26 am

T- you are such a sore and sorry loser. The President of the United States was elected by 52% of the American voters. You see – we live in a democracy and the winner gets the most votes. Your candidate got skunked, as will your lovely little Tea Party idiot Haley – who by the way has gone out of her way to screw up the state of South Carolina. And by the way brainyack – the Dems will pick up more seats in the mid-terms and by 2016 will carry the Senate, White House (Mark Warner) and the House. Because guess what – there are more Hispanic voters added every month, and fewer dumb-ass white people like you who are dying off. And they don’t like your kind – and as citizens – they get to vote. So either get with the program – or sell your trailer and move to Panama. Either way – do us all a favor and just shut up. What do you mumble Bengahzi in your sleep. News flash idiot – no one cares except the whining losers from last week – of which you are the leader.

BigT November 18, 2012 at 11:40 am

Stepahm: But MOSTLY the White people conceived and fought for this country (including the freeing of Black slaves from democrat slave-owners)…And like all Heavy Lifting….the Right will be the ones to bring our country back after the Ignorant, like you and Obama, make it totally unfit…

We turned away Hitler, Stalin, Mao and you are just as Broke Motally as any of those…

If you bid to do God’s will, he will carry you to Victory…Nazi Germany found that out….just like the Murderous Communist did…

Obama rules because we have gone along w/ it to this point…But We are VERY Vigilant at this point…Injustice can only be allowed to a certain point..

You have very little room left to SCREW it up any more…

If Haley and Co. Can thwart you, it’s doing you a Favor…becaue you do not want the Correction that comes after that….The liberal pleas for “Fairness” that only benefits the Worthless and hateful, will be meaningless…

You have lived like spoiled children..but the wrath of the Rod will come upon you…and your whining will be laughable…

mlynn November 18, 2012 at 12:18 pm

Back to the subject of this article!!! My first reaction, before reading anything, was that there is a clause in state law that allows sole source contracting when it is an emergency. But, now after reading your article and reading the Associated Press article — I really AM wondering about many things.

I think you are right — the LIES continue on and on and ON. My biggest question right now is why does Experian have such inroads into Nikki Haley’s administration? It is truly amazing that the other two firms that some in Haley’s administration now claim to have contacted state that they were never contacted. Of course, the telling point is when Haley said they immediately called Experian.

My question remains: where is the connection in regards to Experian? When my year is up with the free monitoring at Experian, I am certainly going to be looking elsewhere for continued monitoring since I will be on my own at that point.

BigT November 18, 2012 at 1:19 pm

As long as they are vigilant…she has nothing to worry about from this hacking deal…

Attack Attack attack Obama, like Sanford did…if she waffles on that…it will COST her Big to Loftis…

Loftis runs Total Right and will step on the toes of the powerful to the Cheers of the people…then he backs it up in office…No elected official in SC can lose, if they Govern as a Conservative…

Haley knows that…and if she is faking it all, it will be exposed..and that’s the only thing that can beat her…

Mohanna November 18, 2012 at 5:42 pm

No bid contracts are illegal under both federal and state laws. The only legal time government can enter into a no bid contract is “Force Majeur” or “Act of God” and even then you must try for competition. The contract should be held as illegal and rebid.

BigT November 18, 2012 at 6:00 pm

Through Obama…we’ve learned an elected official can do whatever he wants and there is no way to stop him…

In SC, Haley took control..and nobody even died in her case…

Obama EFFED up royally, and four people (HE sent over to Benghazie) were brutally Murdered, and Obama then Lied for 2 weeks about his Failure to protect them…

We are in BAD times in the way of morality, truth and government. We need to Address DC before we make anything of this Ignorant claim against Haley…

So far, she’s handling it…and she has fully disclosed…Hard to complain w/ how the State has reacted…

The Jonestown Party November 19, 2012 at 1:03 pm

It’s spelled Benghazi, Turd.

Stephan November 19, 2012 at 1:34 pm

T – “T and W EFFED up royally, and four-thousand people (HE sent over to Iraq) were brutally Murdered, and T and W then Lied for 2 years about their Failure to protect them…”

You surely are a spoiled, sore loser, aren’ you.

OldTimer November 18, 2012 at 9:30 pm

What do Lillian McBride and Joe Wilson have in common? Both are incompetent slugs.

SaveMeObama November 18, 2012 at 10:49 pm Reply
Butch November 20, 2012 at 1:47 pm

What an absolutely pathetic video. Wow.

little rocky from arkansas November 18, 2012 at 11:12 pm

A lot of these posts remind me of:

“What do you get when you cross a rooster with another rooster?

At the least, one DAMN MAD ROOSTER!”

insider November 19, 2012 at 10:04 am

When you call Experian directly, you speak with someone from India? How strange. Will, aren’t you glad you dumped her? So glad you ended up with a nice girl.

SparkleCity November 19, 2012 at 10:23 am

This whole DOR/SSN fiasco is one fucking mess……

In addition to the pittiful offer of ONE YEAR’s worth of credit protection (what good is really that??), the affected taxpayers (both in and OUT of South Carolina) should be awarded a 15 year FREE subscription of “Lifelock”

“Queen” Namrata sez: “Don’t blame me – its not my fault and don’t pick on me, I’m a girl”!!!

As an independent, I am proud I voted for Sheehan and it proves the GOP faithful and TEA Party types are so brainwashed it is pittiful.

insider November 19, 2012 at 11:24 am


anonymous October 26, 2013 at 12:21 am

Law firm (Nelson Mullins) tries to clear up confusion about how Experian deal reached

November 27, 2012

COLUMBIA — Thad Westbrook of Nelson Mullins, a law firm representing the state in the aftermath of a massive cyber breach now says NO competitors were contacted before the state reached a $12 million no-bid contract with Experian.

Attorney Jon Neiditz of Columbia firm Nelson Mullins said the confusion over whether the firm had contacted other credit monitoring companies resulted from an unclear statement made by another attorney, Thad Westbrook.

The Revenue Department reached an initial agreement with Experian just before the breach affecting millions of current and former S.C. taxpayers was first announced publicly on Oct. 26.

The confusion over whether Thad Westbrook of Nelson Mullins ever reached out to Experian competitors began at an Oct. 30 Senate Finance Committee hearing from comments from Nelson Mullins attorney Thad Wetbrook.

Revenue Department Director James Etter, who is resigning effective at the end of this year, correctly told senators that no other companies were contacted besides Experian.

But Nelson Mullins attorney Thad Westbrook immediately followed up and told senators that pricing was obtained from two other firms but Experian had the ability to scale up quickly in an emergency situation.

Weeks after the hearing, Revenue Department spokeswoman Samantha Cheek named the other two companies that Nelson Mullins had obtained estimates from as Citreas and Identity Force.

Obtaining pricing information from Experian competitors and examination did not include reaching out to them.

Neiditz said he had pre-existing pricing information from various cyber security companies and knew Experian could offer the best deal. The leaders of other firms have disputed that assessment.

Neiditz said Monday that Thad Westbrook’s statement during the hearing caused confusion.

“It wasn’t clear,” Neiditz said. “It led to the impression that other companies had been contacted….I mentioned those vendors to him.”

Some senators have expressed concerns about the state’s NO-BID contract with Experian.

Anderson GOP Sen. Kevin Bryant said it’s worrisome that no other companies were approached following the breach.

“This snowball just keeps getting bigger and bigger as time goes by,” Bryant is co-chairman of a new oversight panel tasked with looking into the cyber attack.

Normally, state contracts are struck following a request for proposals from various companies.

The law states “competition as is practicable SHALL be obtained.”

Neiditz recommended Experian to his firm, which then recommended Experian to the state. Nelson Mullins and their attorneys are being paid an estimated $100,000 for its work assisting the state.

…EXPERIAN and two competitors as Thad Westbrook and Cheek said, but NEVER contacted any of them before deciding on Experian.

Neiditz said he first contacted Experian on Oct. 23, three days before the breach was announced.

Etter had told senators during the hearing that Experian was first contacted on Oct. 25.

The Secret Service alerted state officials to the breach on Oct. 10.

“As a result, I don’t think that those business models received full consideration. Neither did other companies.”

The CEOs of Citreas and Identity Force said that their pricing would have been competitive with Experian and their services would have been superior in some ways.

Vendors likely would have been beating down the state’s doors and possibly could have provided a better deal…

Nelson Mullins and their attorneys are being paid an estimated $100,000.00

mlynn November 19, 2012 at 11:33 am

I agree with you SparkleCity — one year’s protection is not NEAR what we should have been given, which should include taxpayers both in and out of South Carolina.

I am an Independent as well — and I saw right through Nikki Haley in the primaries. I saw her as being extremely shallow. Seems that that has come out to be true!! Even now, I have friendswho STILL back her — blindly. They don’t want to hear all the bad stuff.


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