Privacy News Highlights
08—12 May 2006
Contents:
CA – Biometric Screening Program Planned for Visa
Applicants
JP – Privacy Concerns Grow Over Fingerprint Cards for
Passengers
EU – Biometric Passports for Romanians
CA – PEI’s Privacy Commissioner Takes Sick
Leave, Citing Workload
CA – B.C. Bills 23 and 30 Deferred
Indefinitely.
CA – Do-Not-Call Telemarketing Registry
Near
CA – Canadian Pilots Fed Up With Airport
Screening
WW – Study: Why Phishing Works
UK – Info Commissioner Pushes Jail for Illegal Data
Traders
EU – Parliament Members Want More Privacy in SIS II
US – Minnesota Lawmakers Considering Ways to Fight ID
Theft
CA – Banks: It’s Time to Change Branch
Insurance Restrictions
CA – Money Laundering Watchdog Tweaks
Reporting Rules
UK – Ministers Pledge to Tighten Investor Privacy
US – N.J. Bill Aims to Close Loophole Allowing Sale of
Personal Financial Data
US – Judge Strikes Down Part of DNA Databank Law
CA – Medical Record Fee Flap Reaches
Privacy Commissioner
ON – E-Health Centre to Test Patient
Records Systems
US – New Hampshire Bill Would Restrict Sale of
Prescription Info
US – Feds Want HIV Tests to Become Routine
US – Privacy Groups Balk at Tracking Travelers’ Personal
Info
US – Pentagon Warns Conference Attendees Data May Be at
Risk
US – Idaho Power Drives Sold on eBay Not Adequately
Scrubbed
US – Mandate for ID Meets Resistance from States
US – Bush Creates Task Force to Fight ‘Horror’ of
Identity Theft
CA – Need to Show Passports at Borders
Sends a Chill Across North America
US – Citibank Issues Two-Factor Authentication Tokens
WW – Windows Vista Will Doom Anti-Spyware Makers, Report
Says
IN – Indian Outsourcers to Set Up Security Audit & Oversight
Body
US – An Open Letter to Google: Concepts for a Google
Privacy Initiative
CA – Spyware Workshop in Ottawa Planned For
May 16th
JP – Yokohama Government to Submit Citizens’ Data to Juki
Net
US – FCC’s Wiretap Arguments ‘Gobbledygook’: Judge
US – Rhode Island House Passes Anti-RFID Bill
UK – Tag, You’re It: RFID Lets Boss Track Workers
US – Consumer Reports Finds Personal Privacy Concerns in
Planned RFID Uses
US – Levi Strauss Deploys Item-Level RFID Tags
US – Radio ID Technology Spreads; Privacy Activists Dig
In
UK – Chip and Pin Payments Halted at Some UK Shell
Stations
CA – IBM Canada Bumps Up Security
Investments by $43 Million
AU – Feds Confirm Smart Card, Centrelink Spending Despite
Privacy Concerns
AU – Smartcard Chief Resigns, Concerns Include Privacy
AU – Supermarkets May be Given Access to “Smart Card”
Info
AU – Privacy Officer to Monitor Smart Card
US – NSA Secretly Collects Phone Records of Ordinary
Americans
US – Qwest Praised for Rejecting NSA’s Request
HK – Shady Practices Unregulated In Wiretapping Law
US – Illinois City’s Cameras Prove Expensive and
Unhelpful
CA – Vancouver Police Chief Wants
Surveillance Cameras
US – Cell Phone Industry Ask Congress to Clarify Police
Tracking Powers
US – Bush’s CIA Pick Fuels Warrantless Wiretap Debate
US – NHC Settled With FTC over Dumping Data
US – CDT Analysis: Federal Data Breach Notification Law
Unlikely This Year
US – Federal Bill Requires Feds Be Notified of Data
Breaches
US – Congress May Slap Restrictions on SSN Use
US – Calfornia Bowen IDd Theft Prevention Bill Clears
Senate Floor
US – New Federal Cybercrime Bill Inadequate, Consumer
Advocates Say
US – Colorado ID Theft Bill Clears Legislature
US – Birth-Record Access Bill Will Be Revived
US – Bill Would Require ID Theft Warnings on Wi-Fi
Network Devices
The Conservative government, concerned about negative
media coverage and public concerns over privacy issues, is taking a “low-key”
approach to its plans to launch a six-month trial later this year of controversial
biometrics screening technology at key entry points for immigrants and
refugees, according to internal documents. The $3.5-million trial program will
take place at two Canada-U.S. border stations in B.C.,
The Diet is expected to pass a bill to create an
immigration system that uses fingerprints for passport control despite
increasing concerns the biometric information could be leaked around the world.
The Lower House has already passed the bill to revise the immigration control
law. Discussions are now underway at the Upper House. Under the proposed
system, passengers with integrated circuit cards containing fingerprint
information and other data will be able to skip long lines for passport control
procedures. [Source]
Starting with 1 January 2007, passports containing
electronic chips will be put into circulation for the Romanian citizens. The
passports will include a storage system (probably RFID) for personal data, including
a facial image and digital fingerprints. [Source]
[Source]
Two bills that would have greatly restricted the
public’s access to government information have been deferred indefinitely. In a
surprise move, and citing concerns that were raised, Government House Leader
Mike De Jong told the BC Legislature on May 10 that Bill 23, the Public Inquiry Act (which would have
allowed cabinet to keep secret the final reports of public inquiries) will not
proceed this session, saying “Government believes it would be beneficial to hear
further from those with views.” Also deferred will be section 9 of Bill 30,
which would have allowed government to keep secret information from its
public-private business partnerships. De Jong noted objections to the bill by
Information Commissioner David Loukidelis. De Jong didn’t mention if these
bills would ever be reintroduced, but because of so many complaints being
raised to them over the past week, it seems unlikely they will be reintroduced
in their original forms. De Jong’s announcements were greeted with applause in
the house. [Source]
An organization representing Air
“Why Phishing Works” a paper by Rachna Dhamija of
Harvard University and Marti Hearst and J.D. Tygar of the University of
California at Berkeley, found 90% of persons asked couldn’t distinguish fakes
from real email messages from brand-name companies, regardless of their
computer experience. A fifth of persons didn’t look at cues, like the address
bar, the status bar, or security indicators. The three authors wanted to find
out what precautions against phishing would be most effective. [paper]
UK Information Commissioner Richard Thomas said
sanctions, including jail terms of up to two years, were needed to halt the
growth of an industry dedicated to the buying and selling of private records including
ex-directory numbers, bank account details and personal addresses. Mr Thomas is
using special powers under the Data
Protection Act for the first time to present Parliament with a report
because of his “deep concern” over the issue. The report called “What Price Privacy?“,
says private investigators and “tracing agents” are the main suppliers of the
confidential information. They use methods such as the bribing of staff or the
impersonating on the phone of officials or victims to get hold of the private
data. [Source]
[Source]
[Press
Release] [Report
FAQ]
The Committee of Civil Liberties, Justice and Home
Affairs at the European Parliament this week debated the draft Regulation on
the establishment, operation and use of the second generation Schengen Information
System (SIS II). There was a consensus among members of the committee that
better privacy safeguards are needed for the SIS II, especially because it will
contain sensitive biometric data. The draft report on the proposal for the
Regulation from the MEP Carlos Coelho highlights that “a ‘bigger system’
requires ‘bigger safeguards’. Consequently amendments for improved data
protection standards are put forward. A sense of priority for data protection
has to be displayed.”
[ EU parliamentarians
demand better privacy protection for Schengen Information System (5.05.2006)
]
[ MEPs
amendments to the proposal (25.04.2006) ]
[ Declaration
adopted at the Conference of European Data Protection Authorities (25.04.2006)
]
As the Minnesota Legislature considers credit-freeze
legislation as a way to cut down on ID theft, some lawmakers are concerned
about the proposal’s impact on stores that seek to offer consumers instant
credit. The Senate version of the bill allows any
With the upcoming review of the Bank Act, banks are stepping up pressure to overhaul the
restrictions that prevent them from displaying insurance brochures or making
insurance referrals through local branches. Banks contend that giving their
customers access to their insurance products is a wise policy. But the association
that represents financial advisors, which supports the branch ban on marketing
of life and health insurance, said consumer privacy is at stake if banks are
allowed to use or share their customers’ information to generate more business.
[Source]
Canadian financial institutions, casinos and other
businesses must report large cash transactions and suspicious activities to a
federal agency whose job is to fight money laundering and fraud. Some of the
rules for that reporting will change at the end of this month, and businesses
and their software providers must make adjustments. [Source]
Ministers pledged on Tuesday to tighten the law to
allow companies to shield small shareholders’ addresses from groups that could
use this information to “harass or intimidate” them. The promise of legal
action follows the move by animal rights activists to turn their campaign of
intimidation to small investors. Letters sent this week to shareholders in
GlaxoSmithKline warn their addresses will be posted on the internet unless they
sell their shares within a fortnight. [Source]
Under a bill filed in
At least a part of the DNA registry that helped crack
two
The Ontario Hospital Association said the provincial
government’s proposal to amend regulations that govern how much the public pays
for access to their medical records is unnecessary and could potentially result
in increased cost to the patient. The OHA issued its response earlier this week
at the end of a 60-day period that followed the publication of a proposed
regulation by the Ministry of Health and Long-Term Care to amend Regulation
329/04 under PHIPA. [Source]
Following the completion of its initial pilot phase
earlier this spring, Canada Health Infoway and the Centre for Global eHealth
Innovation on Monday officially launched the e-Health Collaboratory at the Centre’s
site at
Federal officials are reportedly planning to recommend
Privacy advocates are raising concerns about a proposed
Health and Human Services (HHS) Department rule designed to make it easier to
track communicable diseases that travelers may have brought back from overseas
trips. HHS proposed the rule last November, in part as a response to difficulty
in tracking down passengers who may have been exposed to SARS in 2002. The
proposed rule would require airlines and passenger ships to maintain passenger
flight information for 60 days. Such information is often kept for less than 48
hours. [Source]
The Pentagon has sent warning letters to thousands of
people who may have had their personal data stolen, advising them that they may
be at risk of identify theft and other fraudulent activities. Most of those
affected used an online registration for an August 2001 Defense Department
conference on health-care fraud. Names, Social Security numbers, credit card
numbers, employer identification and other personal information were entered
into a computer database by conference attendees, a Defense Department
spokeswoman said. [Source]
Idaho Power Co. is trying to track down old company
hard drives that were sold on eBay without going through prescribed scrubbing
procedures. The data on the drives includes memos, customer correspondence and
confidential employee data. Idaho Power recycles old drives through a salvage
vendor. The power company has launched a private investigation into why
scrubbing procedures were not followed. According to a Gartner survey,
approximately 30% of organizations use third party companies to dispose of PCs
and servers they are no longer using. Idaho Power says it will now destroy old
drives rather than recycle them. [Source]
[Paper]
Reacting to the Sept. 11 attacks, Congress passed the Real ID law last year, intending to make
it tougher for terrorists to obtain driver’s licenses and for people without
proper identification to board planes or enter federal buildings. But with the
deadline for setting up the law two years away, states are frustrated. They say
the law - which requires states to use sources like birth certificates and
national immigration databases to verify that people applying for or renewing
driver’s licenses are American citizens or legal residents – will be too
expensive and difficult to put in place by the May 2008 deadline. Another issue
is the privacy impact of the requirement that states share, through databases,
the personal information needed for a driver’s license. Concerns are so great
that last week, the National Governors Association, the National Conference of
State Legislatures and the American Association of Motor Vehicle Administrators
issued a report
saying that the states have not been given the time or money to comply with the
law and that they need at least another eight years. Two states have considered
resolutions calling for the law to be repealed, the New York City Council
passed a resolution opposing it and
U.S. President George W. Bush this week announced the
creation of a top-level task force to combat what he called “horror stories”
associated with the rapidly growing crime of identity theft. Bush said the
panel has been created to “not only put those people who commit identity fraud
in jail, but to help the victims of identity fraud.” He also called attention
to new
Americans phoning for theatre tickets this summer at
the annual Shaw Festival in
Following
a similar move by UK bank HSBC, Citibank is issuing anti-phishing tokens to its
business customers to bolster online security. When the clients log into the
bank’s Web site, they will be asked to provide a password and the unique
passcode generated by the Vasco device. [Source]
A Yankee Group report predicts imminent doom for
anti-spyware makers with the release of Windows Vista. But don’t plan a funeral
for WebRoot and Ad-Aware just yet. First, Microsoft has to sell the darned
operating system. [Source]
Lauren Weinstein of People for Internet Responsibility
(PFIR) has written an open letter to Google outlining concerns about Google’s
immense data processing, storage, and related infrastructures and how these might
be abused in the future, particularly by outside entities in a position to
force Google’s hand despite Google’s own best intentions. [Source]
CIPPIC is co-hosting a full day public workshop on
spyware, in
The
A
The House of Representatives in Rhode Island on April
26 approved a bill (HR 7432) saying, “Except where provided by federal law, no
state or municipal agency, or any subdivision thereof, shall use, or request,
the use of Radio Frequency Identification Devices for the purposes of tracking
the movement or identity of any employee, student or client, or of any other
individual as a condition of obtaining a benefit or service from such agency.”
Before the vote, legislators added amendments to exempt most corrections,
child-welfare, and emergency medical uses from the prohibition. The Senate
Judiciary Committee is now considering the proposal by Rep. Charlene Lima.
[Source: Privacy Journal]
A
A three-month investigation in the June 2006 issue of
Consumer Reports has found the RFID industry lacking in the necessary measures
to strengthen tag security against identity thieves. The idea that a tiny radio
chip might be traveling in their shirts or shorts doesn’t sit well with
Americans. The public unease has put the RFID industry on the defensive and its
leaders proclaim the importance of addressing the consumer’s privacy concerns.
But when Consumer Reports asked to discuss the subject with executives of one
company, attempts were stonewalled by public relations representatives. “It’s
essential to develop the proper framework to protect consumers from the
unprecedented privacy and identity theft risks that come with RFID,” said
Andrea Rock, senior editor at Consumer Reports. [Source]
Levi Strauss is testing RFID on men’s jeans sold in
one
As radio-frequency identification (RFID) technology
continues to spread through the marketplace, privacy and consumer advocates are
continuing their campaign for regulation of this controversial tracking
technology. Now they are joined by lawmakers pushing legislation to curb RFID
use by government agencies. The most recent battle over RFID use played out
this week in
Shell has stopped accepting chip and pin payments at
600 of its fuel stations in the UK after learning that thieves misused the
system to steal approximately GBP 1 million (US$1.86 million) from customer accounts.
Eight people have been arrested in connection with the scheme, which is
reportedly limited to the Shell chain. [Source]
Funding will go towards identity management and SMB
services: IBM Canada said this week it plans to invest $43 million in its security
operations over the next three years due to the rapid expansion of a market
that is growing beyond its expectations. IBM Canada opened a Security
Operations Centre in Markham, Ont., in 2004 with an initial investment of
$40 million over five years. Another $43 million is necessary to keep up with
the demand for security services from Canadian enterprises, said Nicole Stampatori,
IBM Canada’s national practice leader for security, identity and privacy. Since
the SOC opened, IBM has largely focused on delivering managed services like
intrusion detection, anti-virus, anti-spam. The fresh investment will allow the
company to expand those services - particularly to small and medium-sized
businesses - and bolster other areas like identity management. A lot of
enterprises have dealt with their perimeter security requirements and are now
addressing their internal issues, like reporting and staff management, said
Stampatori. “Compliance, as an example, is driving a lot of companies (towards)
a really good understanding of who connects to what system and the reports that
can show that yes, this person has gotten access to this system,” she said. [Source]
The Australian federal government confirmed it had
allocated AU$1.09 billion over four years to a controversial health and welfare
access card scheme, which a private consultant said would save AU$3 billion
over 10 years. In 2006/07 budget documents, released this week, the government
said current systems would remain in place until early 2010, after which anyone
wishing to interact with agencies would have to obtain a card. Hockey also
announced an additional AU$115 million over two years to boost Centrelink’s
call centre capabilities, saying demand had increased by 12% per year over the
last four years. Centrelink was now trying to handle 22 million calls per
annum. A significant proportion of the funding would go to enhancing phone
voice recognition services, with an additional 25% of customers expected to use
the option by the end of 2007-08. [Source] [Source]
[Opposition]
James Kelaher, a principal adviser on the Australian
Government’s new smartcard project has resigned in protest saying that it is
being rushed and is missing necessary third-party advice and safety measures. After
warning Human Services Minister Joe Hockey against financial management and
privacy protection plans for the $1 billion dollar ID card project, Kelaher
quit from the project saying that he does not agree with the rushed way in
which such a sensitive project was being approached. [Source] [Source]
[Source]
Federal Human Services Minister Joe Hockey has
signalled that private sector companies like banks and supermarkets may be
given access to information stored on the Government’s “smart card”. [Source]
Privacy concerns about a new health and welfare smart
card will be monitored by a senior public servant. The position of senior
privacy and consumer adviser has been announced by Human Services Minister Joe
Hockey. “Their role will be to liaise with both privacy groups and with
consumer groups on a regular basis,” Mr Hockey said. The announcement follows
concerns from privacy advocates and minor parties. [Source]
[Source]
The National Security Agency has secretly collected
telephone records of tens of millions of Americans with the help of major
telecommunications companies, sources with direct knowledge of the program told
Privacy-conscious customers took refuge in the
apparent security of Qwest as reports this week said that the Denver-based
company - the largest landline phone service provider in
In May 2005, the Evanston City Council voted to
install 57 surveillance cameras on city property hoping to prevent crime and
catch criminals. But one year later, many residents still doubt the benefits
and fear infringements on their privacy. The cameras are not monitored, said
Max Rubin,
A lawyer who represents cell phone providers said the
industry wants clear, standardized rules regarding law enforcement’s practice
of real-time tracking of suspects by their cell phones. The Justice Department
has maintained that a combination of laws, including wiretap laws, allows law
enforcement to track suspects without probable cause. The issue was the subject
of a panel discussion at the Computers, Freedom and Privacy conference. [Source]
By formally nominating Gen. Michael Hayden to head the
embattled
Some data protection cases are complex and difficult
for the FTC to prove. Then there is the case of Nations Title Agency (NTA) and
its parent company, Nations Holding Company (NHC). The FTC claims that the NHC,
a real estate services firm with operations in 44 states, tossed consumer home
loan applications in an unsecured dumpster. This was just one among a laundry
list of lax security practices the FTC lodged against the company, which
promised consumers that it maintained “physical, electronic and procedural
safeguards” to protect data. NHC settled with the FTC this week, agreeing to
not misrepresent the extent of its data protection safeguards. The company also
agreed to establish and maintain a comprehensive information security program
subject to third-party audits for the next 20 years. [Source]
In the wake of a series of data breaches in early
2005, the U.S. Congress seemed ready to move quickly on legislation that would
require companies to notify customers when their personal information had been
compromised. Now, more than a year after data breaches at ChoicePoint Inc. and
LexisNexis set off a national debate about identification theft and data
security, time is running out for Congress to pass a law before it finishes
business this year. Some proponents of a national breach notification law say
it’s unlikely that Congress will be able to pass a law by then. Lawmakers have
introduced more than 10 bills dealing with data breach notification since early
2005. The bills differ in several ways, including varying requirements about
when a breached company should notify customers and whether consumers should be
able to freeze their credit reports following a breach. Beyond the confusion
about the differences in the bills, five congressional committees have claimed
jurisdiction over some of the data breach bills. “It’s certainly a popular and
pro-consumer issue to tackle,” said David Sohn, a staff counsel at the Center
for Democracy and Technology, a privacy and civil rights advocacy group. “It’s
difficult to see how Congress will reconcile all the bills.” [Source]
A new proposal in Congress would force anyone who
possesses electronic personal data to report “major” security breaches to
federal authorities before alerting consumers--or face hefty fines and even imprisonment.
The 11-page House of Representatives bill aims to deter identity thieves and dismantle
cybercrime operations, such as phishing scams, that swipe personal information.
It was introduced this week by House Judiciary Committee Chairman James Sensenbrenner
and backed by three Republicans and one Democrat. The Republican-backed bill
would require “whoever owns or possesses data in electronic form” that contains
personally identifiable information--such as a person’s name, Social Security
number or date of birth--to inform the U.S. Secret Service or the FBI within
two weeks of discovering a “major breach.” [Source]
Democratic and Republican politicians this week both
promised to enact new federal laws by the end of the year that would restrict
some commercial uses of Social Security numbers, which are often implicated in identity
fraud cases. In both the House and the Senate, there are at least three pieces
of pending legislation that propose different approaches to restricting the use
and sale of SSNs. The Markey bill
would require the FTC to make new rules limiting the sale and purchase of those
identifiers, with exceptions for law enforcement, public health, certain emergency
situations and selected research projects. The Shaw bill would
restrict the display of SSNs on credit reports and on various government-issued
documents and identification tags. It would also make it illegal in certain cases
for anyone to refuse to do business with people who decline to supply their
SSNs. [Source]
Helping people protect themselves from identity theft
by giving them the ability to lock and unlock their credit reports in 15
minutes is the goal of SB 1744 by California State Senator Debra Bowen, which
passed the full Senate today on a 24-11 vote.” The security freeze is the only
tool that’s proven effective in stopping identity thieves in their tracks,”
said Bowen.” [Source]
Critics claim proposed legislation falls short of
protecting consumers: New proposed federal legislation intended to help law enforcement
agencies fight cybercrime falls short because it does not give consumers tools
to guard against identity theft, a lawmaker and a consumer advocate said today.
The Cyber-Security Enhancement and
Consumer Data Protection Act, introduced earlier this week, would be
inadequate as a stand-alone cybersecurity bill because it does not require companies
with data breaches to notify affected consumers, and it does not allow
consumers to freeze their credit when they’ve been victims of ID theft, said a policy
analyst for Consumers Union. [Source]
A bill to create a task force within the Colorado
Bureau of Investigation to investigate and prosecute identity theft and
financial fraud has now passed both houses of
Bruised by the legislative process but more savvy as a
result, Maine members of the American Adoption Congress will reintroduce
legislation next session to allow adoptees access to their birth records. Their
bill, LD 1805, was killed in committee at their request “because it didn’t even
resemble what we’d initially asked for,” said
Legislation
that would require makers of laptop computer network devices to provide
consumer warnings about how to protect personal information has cleared an
Assembly committee. Assemby Bill 2415 aims to help prevent at least one form of
identity theft known as “piggybacking.” That is when unauthorized users tap
into a user’s wireless connection. Assembly Speaker Fabian Nunez’ measure would
require a warning to the consumer on how to protect their personal information
while using a Wi-Fi device. The required warning would apply to wireless
network routers, switches and bridges sold commercially after January 1, 2008.
[Source]
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