CITIGROUP HACKED, ACCOUNTS COMPROMISED

On Thursday Citigroup announced that hackers had breached its systems in May and accessed personal data from 200,000 accounts — about 1% of its customers. The hackers managed to steal customer email addresses, contact information and account numbers, but Reuters reported that other information such as birth dates, Social Security Numbers and credit card expiration dates were not accessed. “We are contacting customers whose information was impacted. Citi has implemented enhanced procedures to prevent a recurrence of this type of event,” Citigroup spokesperson Sean Kevelighan, said. “For the security of these customers, we are not disclosing further details.”

GOOGLE TEAMS WITH MASTERCARD AND CITIGROUP FOR NFC PAYMENTS

The Wall Street Journal reports that Google's secretly partnered with MasterCard and Citigroup to test out a mobile payment system using NFC (Near Field Communications). According to the publication, the early demo pairs "one current model and many coming models of Android phones" with existing Citigroup-sponsored credit and debit cards, and is using the phones' NFC chips with those VeriFone readers we recently reported about.

What's more, a newly-published patent application from the crew in Mountain View may hint at the software behind such things. The application describes a service that sets up Google as a third-party broker who receives the shopping cart info of customers placing orders via a device (including those of the mobile variety), allows them to select shipping and other options, and provides the total order cost. It then collects payment, coordinates shipment, and forwards order information to the seller to complete the transaction. So companies can have Google handle all their payment-taking needs in return for getting a sneak peek at what folks are buying -- something that the WSJ's sources say might be a component of the setup Google's testing right now -- as opposed to other third-party services, like Paypal, that only obtain and exchange payment info with merchants. Looks like Alma Whitten (Google's Director of Privacy) has her work cut out assuaging the concerns such a system will inevitably create in an increasingly privacy-minded populace.