Privacy News Highlights
23—30 September
2005
Contents:
EU – Flaws Found
in Dutch Biometric Passports
BC – Amendments Improve Selection of
Privacy Commissioner
CA – RBC Probes Possible ID Theft
BC – Saanich School Board Information
Breach
US – Survey: Consumers Angry After Notification Arrives
About Data Breaches
US – Consumers Get Cranky at Cash Register When Asked to
Provide More Than Money
US – Privacy Is Among the Concerns in a Shifting
Landscape For Catalog Business
US – U.S. Do-Not-Call List Faces Criticism Over
Effectiveness
AB – Important Elements of Privacy
Architecture
ON – Project Management Should Be Core
Competency of OPS
CA – Feds Not Aware of Impending IT Skills
Shortage in Government
US – New York State Educates Government Employees About
Phishing Scams
US – Oklahoma Man Wins $10 Million Judgment Against a
Spammer
US – Feds Unable to Search Own Anti-Terrorism Database
US – CIOs Acknowledge Data-Sharing Struggles
WW – Monster Enhances Job-Seeker Privacy
US – Oracle CEO: Encryption Is Essential For Companies to
Protect Information
US – Credit Bureaus to Adopt Encryption Standard
EU – Data Protection Chief Warns Against Data-Retention
Plans
WW – The 11 Commandments of the Internet in China
ON – Premier McGuinty, Free Access to
Information Is Our Right
US – Bill Would Permit DNA Collection From All Those
Arrested
US – Official: Katrina Lessons Underscore Need for EMR
National Database
CA – National Bank Warns Customers of
Security Breach
US – U. of Ga.: Hacker May Have Student Info
UK – Report: ID Projects to Flourish
US – Judge Doesn’t Compel Credit Cards to Disclose
Breaches
US – Senate Committee to Vote on Disclosing Security
Breaches
WW – BitTorrent Lands $8.75 Million in Funding
US – Judge Wants Details from Visa, MasterCard on
Security Breach
US – FTC Launches New Online Safety Website
WW – On Website, Women Identify Cheaters
US – Companies Strong on Cybersecurity May Get Tax Breaks
US – New Insurance Protects Data Theft
WW – Can Zero-Knowledge Tags Protect Privacy?
US – Former DHS Chief Touts RFID to Track People
US – Oracle’s Ellison Says Encryption is Key to Data
Protection
WW – Credit Companies to Adopt Single Data Protection
Standard
US – Mortgage Company Settles With FTC
CA – Smart Cards Still Stuck in First Gear
in Government Due to Privacy Concerns.
AU – Australia Proposes Smartcards for Millions of
Citizens
US – New Case Reveals Routine Abuse of Government
Surveillance Powers
US – FCC Extends Wiretapping Rules to Broadband Internet
Services
US – Clock Ticking for ISP VoIP-tapping
WW – Skype Security and Privacy Concerns
US – TSA Decides Against Using Commercial Data to Vet Air
Passengers
US – Census Awards $500 Million for 2010 Project
US – O’Connor Steps Down as DHS CPO, Calls 'Experiment' a
Success
US – New York Governor Signs Law Requiring Consumer
Notification of Data Breaches
US – Advocates Say New Jersey’s ID Theft Law Among Most
Comprehensive
US – North Carolina Consumers Gain New ID Theft
Protections
A
recent trial in the
Labour
and Citizens’ Services Minister, Michael de Jong, introduced an amendment to
the Freedom of Information and Protection of Privacy Act on September 15, to
ensure the orderly selection of a new Information and Privacy Commissioner.
Currently, BC is the only jurisdiction in
RBC
Dain Rauscher, a unit of Royal Bank of
As a
result of a break-in at the Saanich School Board Office on Monday, September
19, 2005, a number of items were stolen including a small safe. Damage was also
done to the two buildings affected as the thieves broke into locked and secured
areas. The contents of the safe included back-up computer tapes that contained
employee, financial and student information records. All information was saved
in a secure manner which would require significant technical expertise and the
use of specialized computer equipment and software to access. While the
potential for the data to be accessed in a usable format is small, the
A
national survey on data security breach notifications commissioned by global
law firm of White & Case LLP shows that consumers react to how and when
they learn that their information was accessed in a breach. As Congress
grapples with a national notification law, at least 18 states have adopted
notification laws similar to
Customers
are increasingly stingy at the check-out when store employees ask for phone
numbers, zip codes and addresses. Fearful of identity theft and eager to
protect personal information, many consumers are complaining or shopping
elsewhere if store clerks seek to collect information, not just money, at the
cash register. [Source]
In
2002, only one data privacy bill was introduced in Congress. But this year, 95
bills dealing with the topic were introduced – thrusting privacy to one of the
top concerns for catalogers, according to one industry official. [Source]
Two
years after the National Do Not Call Registry took effect -- and with more than
100 million numbers enrolled -- dinner-time conversations are still being
interrupted by telemarketing calls. The FTC says it receives a “steady flow” of
between 1,000 and 2,000 complaints about telemarketers every day, yet few fines
have been levied. [Source]
Alex
Campbell, executive director for privacy and policy assessment for the
Government of Alberta , recently spoke at the at the Government and Health
Technologies Forums 2005 held in Ottawa, and outlined a set of elements that
should be included in any privacy architecture. To start with, any privacy
architecture has to be based on privacy standards - specifically the OECD Data
Protection Principles of 1980 and the CSA Model Privacy Code of 1995. Following
that there is a set of elements that he said are critical to the foundation of
such an architecture:
·
A clear common terminology needs to be established.
·
Any privacy system needs to be able to isolate and control personal
identifiers.
·
Information also needs to be consolidated from different organizations
into one access point.
·
There must be some accountability processes: logs, exception reports and
other features to support the legal accountability of the organization. A set
of common accountability features privacy impact assessments, security/threat
assessments, private access, audit logs and, access control and monitoring.
·
Privacy metadata must be included to record privacy-related data
characteristics and policies.
·
Policy automation encodes the rules and rules engines to automate
routine privacy decisions at the transaction level and minimize time-consuming
manual processes that have been the standard.
[Source]
The
Among
the recommendations that task force has come up with is that the Ontario Public
Service review the pay of IT people to increase recruiting and retention of
said people. If the province takes that advice, it will be in stark contrast to
what’s happening to their colleagues in the federal government. The Computer
Systems Group of the Professional Institute of the Public Service of Canada at
press time were taking a strike vote in response to their employer’s - the
Treasury Board - efforts to do away with the two to four per cent retention
allowance they have been receiving since about 2000 until their latest contract
expired. The government’s perspective seems to be that it no longer needs to
offer incentives to IT workers to keep them, since the grass is now greener on
the public sector side of the fence post-Y2K. [Source]
William
F. Pelgrin, director of the New York State Office of Cyber Security and
Critical Infrastructure Coordination, conducted an educational phishing
campaign for state workers. After sending 10,000 employees a generic advisory
on phishing, the same employees received an email a month later that sought
their passwords and user IDs. About 17% fell for the legitimate-looking email
from state government and provided the sought-after information. State
officials then followed up with a message about the exercise’s purpose and a
video explaining the dangers of phishing. [Source]
On
Thursday the 22nd, Robert Braver, an Oklahoma ISP owner who is a long time
activist against both spam and junk faxes, received a default judgment of over
$10 million against high profile spammer Robert Soloway and his company Newport
Internet Marketing. [Source]
After receiving hundreds of requests from Americans
asking to know what personal information the government has obtained about
them, the Transportation Security Administration (TSA) told passengers that it
“does not have the capability to perform a simple computer-based search” to
locate individual records. [Source]
Customer
privacy and regulatory requirements, such as Sarbanes-Oxley Act compliance,
create data-sharing complexities that are difficult to overcome in some cases,
according to CIOs attending the InformationWeek fall conference. A survey of 84
executives attending the conference found that 62% said they believe their
companies in the past year have made improvements in sharing customer
information between business units. [Source]
Monster,
an online careers and recruitment resource, announced on September 20, 2005, a
series of enhancements to help job seekers find and apply for more jobs in less
time, while helping to provide employers with a more robust pool of quality
applicants. One of the changes includes a new privacy feature that will soon
let seekers prevent their resumes from being seen by specific employers. [Press
Release]
Oracle
CEO Larry Ellison says businesses need to protect against security threats by
encrypting their databases. Ellison predicted security risks will escalate as
more companies do business on the Internet. [Source]
The
top three
The
EU’s data protection supervisor has criticized EU plans to retain phone and
email data for use in anti-terrorism investigations, saying they failed to
protect civil liberties and gave a free hand to national intelligence services.
British Home Secretary Charles Clarke, who is chairing the EU negotiations, has
called for the 25 governments to look at curbing some civil liberties to allow
for improved police investigations into suspected terror groups. [Source] [Source]
[Hustinx
Commentary]
“You shall not spread rumours”, “You shall
not damage state security”, “You shall not destroy the country’s reputation”.
There are just three of the 11 commandments ordered by
John
Tory, leader of
The
Senate Judiciary Committee has approved an expansion of the national DNA
database in a bill that would force suspects arrested or detained by federal
authorities to provide a sample. Currently, only people convicted of crimes
must provide a DNA sample. Privacy advocates, including civil libertarian Jim
Harper, director of Information Policy Studies at the Cato Institute, oppose
the expansion of the FBI-run national DNA registry. [Source]
[Source]
John
Gallin, director of the National Institutes of Health Clinical Center, said a
national database of e-medical records is “one of the top priorities for the
health care delivery system” in the U.S. Gallin tells TIME that protecting
privacy is an “absolute requirement.” [Source]
The
National Bank of
The
Citizens
and governments are on the brink of a 'new electronic era' for ID technologies,
says new research Governments are likely to face "cost overrun and system
failure" in setting up new identification systems but ID projects will
still proliferate, providing business for IT suppliers over the next 10 years,
according to a report issued on 27 September 2005. The latest research from
public sector IT analyst Kable says that over the coming decade, government
departments are likely to set up a range of "medium sized" identity
projects. Similar schemes to the £72m DWP customer information system and the
£200m Every Child Matters child protection identity system are likely to be
initiated, says the report titled Identity markets in the
Visa
and MasterCard won’t have to inform customers that their personal details were
exposed in a high-profile data security breach -- at least for now, a judge
ruled. San Francisco Superior Court Judge Richard Kramer denied a request for a
preliminary injunction that would require the credit card companies to tell
individual
The
creator of the popular online anonymous file-swapping software BitTorrent has
lined up $8.75 million in financing from a venture capital firm in a bid to
build his software into a commercial distribution tool for media companies. [Source]
A
judge has asked Visa and MasterCard to disclose details about their
relationship with CardSystems Solutions, the payment processor that was the
subject of a high-profile data security breach. The information, such as
contracts between the companies, should help determine whether the credit card
companies have responsibility under
The
Internet Education Foundation (IEF) has teamed with the Federal Trade
Commission to provide safety information for the Commission’s new public
service Web site OnGuardOnline.gov. Founded by CDT President Jerry Berman, IEF
created and operates the groundbreaking Internet safety site GetNetWise.org.
OnGuardOnline.org will draw on IEF’s extensive database of tools, tips and
guidelines recommended to help consumers fight spyware, guard their personal information,
enhance their computer security, prevent unwanted e-mail, and protect their children
online. [GetNetWise] [OnGuardOnline]
It
reads like the FBI’s Most Wanted list, complete with mug shots, physical
descriptions, aliases and modus operandi of alleged perpetrators. But the
fugitives listed on www.dontdatehimgirl.com aren’t evading law enforcement.
They’re on the run from wives, girlfriends and lovers. [Source]
Congress
may offer tax breaks to companies that adopt good cybersecurity standards, the
chairman of a House of Representatives subcommittee said. But in legislating
cybersecurity guidelines, lawmakers should avoid heavy-handed regulations, Rep.
Dan Lungren, a California Republican, said. [Source]
Some
insurance companies have begun providing mass-mailing organizations with data
theft insurance. This insurance covers damages caused by external break-ins,
especially breaches that occur because of unauthorized online access. Insurance
premiums are based on the results of a third-party security audit, the type of
services provided by the mailer, and the mailing company's annual revenue. As a
result of recent high-profile security breaches, many banks, credit card firms,
nonprofits, and securities brokers are requiring better data security and
protection standards from their mailers. [Source]
A
Danish startup is developing an RFID system that uses a zero-knowledge
authentication protocol to protect consumer privacy, while allowing an item’s
tag to remain alive. [Source]
Former
Department of Homeland Security (DHS) Secretary Tom Ridge Tells RFID
manufacturers and users of the tracking technology that its use will make
Americans safer. Ridge also said the government could be trusted to protect the
personal information amassed from RFID tags. [Source].
Oracle
CEO Larry Ellison says organizations need to look more closely at how they
encrypt their databases to protect against security threats. Addressing an
audience at Oracle OpenWorld, Ellison stressed that security risks will
continue to increase as more companies put business applications on the
Internet.
[Source]
The
top three
A New
Jersey-based lender, Superior Mortgage Corp., has settled Federal Trade
Commission (FTC) charges that it violated federal law by failing to provide
security for sensitive information. The FTC also alleged that sensitive
personal data was not properly encrypted despite the lender's claim that the information
was encrypted. The FTC's Safeguards Rule requires financial institutions to
adopt reasonable policies and procedures to secure the confidentiality of
personal information. [Source]
Smart
cards have been with us for more than a decade, but they haven't exactly taken
the public sector by storm. Yet there are some pockets of activity. On
university campuses, smart cards are widely used for simple payment
applications such as photocopying, and in some cases more broadly. At
The
Australian government is working on a proposal to deploy smart cards to
millions of citizens under a project to slash administrative costs and crack
down on identity theft. All Australian federal public servants may be asked to
carry a single chip-equipped identity card, which would replace the plethora of
identification tokens that currently exist across the public service. More
details would be made public in the next few months. The Department of Human
Services and AGIMO (the Australian Government Information Management Office)
are collaborating to develop these plans”. [Source] [Source]
The
Electronic Frontier Foundation (EFF) is arguing that a New York federal court
should stand by its decision to require probable cause to believe a crime has
been or is about to be committed before letting the government secretly track
people using their cell phones. [Source]
Late
on Friday, September 23, the Federal Communications Commission issued a lengthy
order explaining and attempting to justify its August 5 decision to force
broadband Internet access and “interconnected VoIP” services to be designed to
make government wiretapping easier, under the terms of the 1994 Communications
Assistance for Law Enforcement Act (CALEA).” [FCC CALEA Order]
The
FCC admits it’s on shaky legal ground, but is pressing ahead with a plan to
force all providers of Internet access to allow monitoring of Internet
telephony. [Source]
Software
that says it’s completely secure, but without a good way to verify that claim,
now owned by a company that will basically give up an astonishing amount of
personal information about you at the slightest peep from the authorities. This
looks and smells bad. [Source]
Days
after a critical report was filed by a working group, the Transportation
Security Administration announced that it would not use commercial databases in
the screening of airline passengers, at least not in the first phases of the
program, known as Secure Flight. The
working group of privacy, computer security and national security experts
concluded that TSA had not yet defined basic goals and procedures of the
program, and that until it did it was impossible to assess privacy and data
security issues. [SFWG
final report]
The
Census Bureau has awarded a six-year, $500 million contract to Lockheed Martin
to capture and standardize 2010 census data. The 2010 Census Decennial Response
Integration System (DRIS) will include developing an option for filing census
questionnaire responses through the Internet, according to a bureau press
release. "The contract also includes systems, facilities and staffing to
capture and standardize census data via paper census forms, telephone and the
Internet," according to the release. Lockheed Martin is teaming with IBM,
Computer Sciences Corp., Pearson Government Solutions and several other
companies. The contract is a cost-plus, award-fee contract with firm
fixed-price elements. [Source]
Nuala
O'Connor Kelly, who won praise for protecting Americans' privacy rights at the
Department of Homeland Security but drew criticism for her office's lack of
independence, announced she will step down this week after two years as the
department's first chief privacy officer. [Source]
The
Senate Judiciary Committee expects to vote on legislation making it a crime for
data brokers to conceal a security breach involving personal data and
increasing penalties for computer fraud when the act involves personal data.
The bill adds a legal bite to legislation already approved by the Senate
Commerce Committee in July requiring data brokers, government agencies and
educational institutions to disclose security breaches to consumers within 45
days if there is a “reasonable risk” of identity theft involved in the breach.
[Source]
Gov.
George Pataki signs a bill this week that requires mandatory notification of consumers
if businesses or government releases private information, such as Social
Security number, driver’s license number or financial account information. When
5,000 or more residents are affected by a security breach, the state attorney
general, other state officials and consumer reporting agencies must be
notified. Violations of the law could result in civil enforcement by the
attorney general, who could seek restitution for the victims and fines against
violators. The law takes effect in December. [Source]
Acting
Gov. Rich J. Codey has signed a bill that the San Diego-based Privacy Rights
Clearinghouse considers one of the most aggressive measures to fight ID theft.
The new law, which takes effect Jan. 1, gives consumers the power to place a
security freeze on their credit reports. It also limits how and when businesses
may publicly display the Social Security numbers of customers. [Source]
Businesses
are prohibited from using Social Security numbers to identify customers under a
new identity theft bill signed by Gov. Mike Easley. The measure requires
businesses not to print Social Security numbers on documents, such as health
insurance cards. The law also requires businesses to notify customers after
security breaches expose personal information. [Source]
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