Missing the point?
"No system of retaining information can ever be foolproof, such as when the theft of a handbag is involved"
Right, no system that involves people can ever be entirely foolproof, since we are all fools on some occasions, but you can design systems that make it harder for us to make mistakes in our foolish moments. However I completely fail to see what the theft of a handbag has to do with the problem - information should not be going out of the organisation in the clear, unprotected as a matter of course, whether in a handbag or a dumper truck.
Muppets!