Fed Watchdog Sounds Alarm on Classified File Breach by Former Staffer
The Federal Reserve's internal watchdog has issued a warning to tighten oversight of classified information after an incident involving a departing employee. The Office of Inspector General found that a staff member in the Division of International Finance attempted to remove files before their departure in February 2024.
According to the management alert, the employee had announced plans to retire and expressed a desire to remove files beforehand. Although the individual's name was not disclosed, the incident has raised concerns about the potential breach of classified information.
The audit was part of an investigation into the off-boarding process for departing employees, highlighting the need for stricter controls on sensitive information.