FairPoint: Device Containing Employee Info Missing

The loss of the device comes at a time when FairPoint is struggling with billing, customer service and e-mail problems that have plagued customers since the company switched to its own computer systems in late January, 10 months after buying Verizon's landline northern New England network.

Cummings said the loss of the employee information is not related to the company's computer systems.

"In this particular instance, proper procedures were not followed. It was human error," she said, adding that the employee responsible for the case was let go from the company.

FairPoint has completed an internal probe and has retained an outside investigator to conduct a separate investigation, Cummings said.

The company has notified all affected employees and former employees and alerted regulators and other officials in states where those employees live. FairPoint is offering a free one-year membership in a national identity theft protection service to those affected by the loss.