Hackers have broken into a computer system containing the payroll information of 260,000 city workers in Sacramento, California.
Among the victims is governor Gray Davis, whose details were among those lifted in the raid.
Police fear that the information could be used for identity theft because it contained all the data required to fill in credit card forms.
Investigators are uncertain if any information has actually been downloaded, only that the system was hacked.
Administrators say they have discovered how the hackers got into the site and have patched the hole so the attack could not be repeated.
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