Retrieval-Masters Creditors Bureau Inc. files for Chapter 11 bankruptcy

19.06.2019

Retrieval-Masters Creditors Bureau Inc., AMCA’s parent company, has filed for a liquidation process. The decision to file for Chapter 11 bankruptcy followed a major data leak.

The breach has allegedly compromised the Personal Health Information of millions of patients. PHI has recently been claimed the most targeted data, surpassing the price of any other kind of personal information in the black market 3 times.

The breach was detected by the company in March, and the investigation results point at possible disclosure of the data leakage in August 2018. AMCA’s customers, such as Quest Diagnostics and LabCorp, had their clients affected by the breach.

Currently the company is facing massive expenses associated with the need to pay 4 million dollars’ fees to cover the breach costs. Considering that firm had to take a loan of more than half of that sum, as well as the deflux of customers backing out of the deals with the company, it is no surprise the organisation is launching the liquidation process.

A RIF has reportedly taken place – the staff has been downsized from 113 employees to 25 staff members.