Stop Endangering the Records of Veterans (SERVE) Act of 2006 - Directs the Secretary of Veterans Affairs to: (1) physically secure all sensitive personal information processed or maintained by the Department of Veterans Affairs (VA) and all equipment containing such information; (2) encrypt all sensitive personal information; and (3) require VA contractors with access to sensitive personal information to encrypt or encode such information and physically secure all equipment containing such information. Defines "sensitive personal information" to include social security numbers, dates of birth, and individual financial information.
Imposes criminal penalties for the unauthorized disclosure of sensitive personal information.