LITTLE ROCKCody Hiland, United States Attorney for the Eastern District of Arkansas, announced today the unsealing of an indictment charging Phillip Hill, a former Department of Veterans Affairs (VA) database manager, with attempting to sell the personal information of Veterans and VA employees.
The indictment, returned by a grand jury in the Eastern District of Arkansas on January 9, 2018, and unsealed today, charges Hill with attempted trafficking of access devices (i.e., social security numbers), aggravated identity theft, and possession of device-making equipment. Hill had been previously arrested on Dec. 17, 2017, and charged via complaint on Dec. 18, 2017. Hill appeared before United States Magistrate Judge Joe J. Volpe on Jan. 25, 2018, and was released on bond. Trial is set for March 5, 2018.
Hill had offered to sell the personal data of Veterans, their dependents, and VA employees for $100,000. Hill was terminated by the VA on December 6, 2017. He was arrested on Sunday, Dec. 17, 2017, outside of a secure area at the VA that housed the data Hill was offering for sale.
"Mr. Hill tried to use his position and skills to enrich himself at the expense of Veterans who have honorably served our country and the VA employees working to help them," Hiland said. "This indictment reflects our commitment to defending our Veterans and federal employees from those who take advantage of their public service by illegally accessing and selling their personal information."
The maximum penalty for trafficking in social security numbers is up to ten years of imprisonment and three years of supervised release. The penalty for aggravated identity theft is two years of imprisonment and a year of supervised release. The maximum penalty for possessing access device-making equipment is up to fifteen years of imprisonment and three years of supervised release. Additionally, each of these offenses is also punishable by a fine of not more than $250,000.
Law enforcement officers arrested Hill before he could sell the VA data. Through a variety of investigative methods, investigators also discovered that Hill had committed
aggravated identity theft by using the personal information of another person, and had illegally possessed blank I.D. cards.
The case is being investigated by the Department of Veterans Affairs, Office of Inspector General, and United States Secret Service. It is being prosecuted by Assistant United States Attorneys Ali Ahmad and Hunter Bridges.
An indictment contains only allegations. A defendant is presumed innocent unless and until proven guilty.
--DOJ Eastern District of Arkansas
Source: U.S. Secret Service