New #IRS scandal? Agency sued over stealing 60 million medical records — Updated

**Posted by Phineas

We’re in the best of hands:

The Internal Revenue Service is now facing a class action lawsuit over allegations that it improperly accessed and stole the health records of some 10 million Americans, including medical records of all California state judges.

According to a report by, an unnamed HIPAA-covered entity in California is suing the IRS, alleging that some 60 million medical records from 10 million patients were stolen by 15 IRS agents. The personal health information seized on March 11, 2011, included psychological counseling, gynecological counseling, sexual/drug treatment and other medical treatment data.

“This is an action involving the corruption and abuse of power by several Internal Revenue Service agents,” the complaint reads. “No search warrant authorized the seizure of these records; no subpoena authorized the seizure of these records; none of the 10,000,000 Americans were under any kind of known criminal or civil investigation and their medical records had no relevance whatsoever to the IRS search. IT personnel at the scene, a HIPPA facility warning on the building and the IT portion of the searched premises, and the company executives each warned the IRS agents of these privileged records,” it continued.

You know, we may just be a lowly state, and they may be a mighty federal agency, but it would take only a few angry superior court judges to make life miserable for the regional IRS office…

Meanwhile, what are we up to? Five scandals in the last two weeks? Six? Am I bid seven?

via Drew M.

UPDATE: Lawyer Gabriel Malor is “calling BS” on the Healthcare IT News story, describing the suit as “vague” and “lurid.” See his tweets beginning at 3/15/13 at 10:12 AM.

(Crossposted at Public Secrets)

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