Sens. John Thune (R-S.D.) and Mark Begich (D-Alaska) have introduced legislation to exempt certain small businesses--including physician, dental and veterinary offices--from the Federal Trade Commission's Red Flags Rule, scheduled to be effective on June 1.

The rule requires businesses to take specific steps to minimize identity theft. Several medical associations recently filed a lawsuit to prevent the FTC from extending the rule to physicians (see story).

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