Opening Statement of the Hon. E. Clay Shaw, Jr., a Representative in Congress from the State of Florida,
and Chairman, Subcommittee on Social Security

Hearing on Preserving the Integrity of Social Security Numbers and
Preventing Their Misuse by Terrorists and Identity Thieves

September 19, 2002

Today, our Subcommittees join together to examine efforts to preserve the integrity of Social Security numbers and how we can better prevent terrorists and identity thieves from using these numbers to abet their heinous activities.  I welcome Chairman Gekas, Ms. Jackson-Lee, and all of the Members of the Judiciary Subcommittee on Immigration, Border Security, and Claims to the Committee on Ways and Means and appreciate the opportunity to work with you as we look for ways to ensure the security of individuals and our Nation. 

Although created solely for the purpose of tracking workers’ Social Security earnings, our culture is hooked on Social Security numbers.  Businesses and governments use the number as the primary identifier of individuals.  Even the most trivial transactions, such as renting a video, require us to hand over our 9-digit ID before services can be rendered. 

The Social Security number has become so woven into the fabric of American society, it has become the key that unlocks the door to an individual’s identity for any unscrupulous individual who gains access to it.  If someone, such as a criminal or terrorist, unlocks the door, at their fingertips is all the essential elements needed to carry out whatever dastardly act they can conceive. 

Worse, as each day passes we learn more about the degree to which terrorists use stolen identities and false Social Security numbers to establish cover employment, drivers’ licenses, and credit cards – all enabling them to live within our borders and plan their crimes against Americans.  No longer is Social Security number fraud simply a tool of common criminals; sadly, it’s now a tool of terrorists. 

As we will hear today from our witnesses from the Department of State, FBI, Secret Service, and the Social Security Administration’s Inspector General, there is no limit to the creativity of the reprehensible acts perpetrated by criminals and terrorists.

Our Nation, and this Congress, has focused our attention on America’s first line of defense since the attacks of September 11^th  - the war on terrorism and protecting our borders.  Next, we must enact increased privacy protections for Social Security numbers and more powerful tools for law enforcement.  To that end I, along with several of my Ways and Means colleagues, introduced H.R. 2036, the "Social Security Number Privacy and Identity Theft Prevention Act of 2001."  It is a vital component of our country’s response to terrorism.

The Social Security Administration serves as the front line of defense in ensuring the integrity of Social Security numbers - a responsibility it takes very seriously.  It is responsible for accurately assigning Social Security numbers, as well as ensuring the wages earned and Social Security benefits claimed on that number are only those of the number holder.  As we will soon hear, since 9/11 the agency has implemented a number of initiatives to help prevent identity theft.  Yet we will also hear there is more to do, particularly with regard to inter-agency cooperation.  A silo approach by Federal agencies is not acceptable, as President Bush recognized through his proposal to create a Department of Homeland Security.  

Our Nation has been forever changed by the horrible attacks on our country.  No longer can we sit idlely by and not protect ourselves from domestic and foreign terrorists.  Also, long before these attacks, individuals were fighting more personal battles with identity thieves.  We must implement changes that will prevent and deter future attacks on our national security and our personal financial security. 

I look forward to hearing from each of our witnesses, and thank them in advance for sharing with us their experiences and their recommendations.