Nurseries warned over cash scam

Efforts to extort money from childcare organisations have so alarmed the Information Commissioner, Richard Thomas, that he has warned them not to part with any money and to check whether they need to register. A spokeswoman for the commissioner's office said it had received more than 100 calls from nurseries and playgroups over four days last week.

Mr Thomas said, 'The golden rule is that if you receive a letter out of the blue demanding more than 35 to register under the Data Protection Act, this will be a scam. Our simple message to businesses is to throw the letter in the bin and not to pay the fee demanded.

'Bogus agencies use threatening language to scare businesses into registering. Over the past two years these scams have cost British business many thousands of pounds. It is a matter of concern that some businesses are still being ripped off. My office still receives more than 2,000 calls a month from anxious businesses.'

Over an 18-month period the ICO took calls from 60,000 businesses that had received demands for money, usually on official-looking headed note-paper from the fake agencies.

Mr Thomas said he did not have the powers to take legal action himself, but continued to 'work with the relevant authorities to explore possible legal action. The Office of Fair Trading has taken action under regulations outlawing misleading advertisements and recently obtained an injunction in the high court against a company calling itself the Data Processing Corporation Limited.'

A spokeswoman for the Information Commissioner said that 'as a general rule, you have to register if you process and use personal information'. But exemptions are possible for companies that only process personal data for staff admini- stration, accounts, advertising, marketing and public relations.

Nurseries that keep data on parents and children that are for-profit enterprises and have closed-circuit television on site must register under the Data Protection Act.

Not-for-profit businesses many not need to register but should check with the Information Commissioner's office. Nurseries who use manual records are exempt under the 1988 act.

The spokeswoman said that the commissioner's warning about a specific campaign to target nurseries and playgroups had been prompted by a spate of calls from anxious childcare providers. Doctors' surgeries have also fallen victim to similar scams recently.

A list of fake agencies which the Office of Fair Trading is currently investigating is available on the Information Commissioner's Office website at www.informationcommissioner.gov.uk.

Nurseries and playgroups can contact the ICO notification line on 01625 545 740. The statutory fee for registration under the Act is 35 a year and those needing to register should go directly to the ICO.