Privacy News Highlights
16—24 February 2006
Contents:
WW – CIO Panel
Predicts Which Biometrics Will Replace Passwords and PINs
WW – Expert Panel: Biometrics Struggle to Go Mainstream
UK – Face Recognition Program to Fight Child Pornography
CA – Do Not Call Registry Moves Forward
CA – Survey: Privacy Is Not Just a
Compliance Issue
CA – SSHRC “Reconsidering Privacy &
Confidentiality in the TCPS”
US – Survey: Need for Privacy Officers and Better
Employee Training
US – Congressman
Wants Retailer ID’d in Data Breach
US – OMB Official Urges Agencies to Complete Privacy
Assessments
US – Bulk E-Mailer, Hacker Gets Eight Years in Prison
EU – Leading Operators Join Forces to Tackle Mobile Spam
CH – China to Crack Down on Spam
UK – Research: Lax Data Protection Compliance Fueled In
Part by Weak Enforcement
US – Report: Centralized Voter Databases Must Be Secured
EU – EU
Justice Ministers Approve Data Retention Directive
UK – ID Card Project Slips Back a Year
EU – Article 29 Working Party Issues Opinion on
Whistleblowing Compliance
US – Debit Card Security Breach Results in Canceled Cards
US – Federal Intelligence Agencies Reclassify Thousands
of Documents
US – Judge Dismisses Challenge to Federal DNA Law
UK – MP Slams “out of control” DNA Database
US – NY State Troopers Lose Medical Privacy Suit
US – Blue Cross Says Contractor Took 27,000 Social
Security Numbers
US – Government Accidentally Releases Farmers’ Social
Security Numbers
US – Auditor Working For Security Software Maker Loses CD
Containing Personal Data
WW – Surfers Still too Careless With ID, Says British
Telecom (BT)
EU – German Parliament calls for Blanket Monitoring of
Telecommunications
CA – Toronto Police Officer Found Guilty of
Misusing Police Database
US – Homeland Security Official Suggests Banning Rootkits
US – Combatting Crimes Against Children A Top Priority
for U.S. DOJ
JP – New Privacy Law Impedes Pollsters Seeing Public
Opinion
US – Google Criticizes Bush Administration over Subpoena
US – Companies Ban Google Desktop 3
US – Most Americans Don’t Like Saving Searches, Survey
Says
US – Survey: Strangers, Online Dangers Are Among the ID
Theft Myths
US – Americans Give Stamp of Approval to U.S. Postal
Service for Privacy
US – Meeting Notice: DHS Data Privacy and Integrity
Advisory Committee
US – Sun Chief Underscores How Privacy, Security Are
Essential To Online Success
WW – How to Kill RFID Tags with a Cell Phone
US – Storage Security Should Not Be an Afterthought
US – Charles Schwab Announces Security Guarantee
US – CDT Deputy Director Ari Schwartz Wins Major Policy
Award
UK – DVLA to Review Data Access
US – Houston Proposes Cameras in Public and in Private
Places
US – Yahoo on NSA Surveillance: No Comment
US – CDT Report: Stronger Laws Needed to Protect Privacy
US – Committee Identifies Phone Record Brokers; Demands
Data, Trade Practices
US – Groups Urge San Francisco to Deploy Privacy-Friendly
Wifi Network
US – Civil Liberties Fear as US Terror Suspect List Rises
to 325,000
US – Privacy Guardian Is Still a Paper Tiger
US – FTC Settles CardSystems Solutions Case
US – FTC Reaches Settlement With Marketing Company
US – Patriot Act Closer to Renewal
UK – Accountants Reject E-Mail Monitoring
US – Survey: Employers Monitor Web Usage But Allow Some
Personal Time
According
to UK IT chiefs, iris and fingerprint-scanning technology will replace
passwords and PIN numbers as the long-term answer to identity management problems.
An overwhelming majority of IT bosses - 11 out of the 12-man CIO IT user panel
- predicted biometrics will overcome the current technical and standards issues
to be a more user-friendly and secure alternative to passwords. [Source]
A host of problems is keeping biometric security from
becoming a mainstream application, a panel of experts at this year’s RSA
Conference concluded. One of the major problems is a lack of agreed
standards that prevents organisations from using equipment from several
vendors in creating interoperable networks. The panel conceded that
availability of hardware was not enough to guarantee adoption of biometrics,
and that “bullet-proof authentication and security” is a myth: many low-end
fingerprint scanners can be easily spoofed, and remain highly prone to low
accuracy from false positives and negatives. Ease of use can also be a
problem: up to 20% of elderly people were unable to use one of the tested
biometric device. Disney World in
European forensic scientists have developed a
state-of-the-art computer program to help track down child victims of sexual
exploitation on the Internet. The prototype program – the first of its kind –
can discriminate between the faces of children, youths, and adults with great
precision. Scientists and police hope to refine the software enough to be able
to scan the massive amounts of image data that investigators routinely
confiscate. The software would automatically filter out images of children from
older people, thereby relieving police of having to do the job manually. [Source]
The Cdn Radio, Television and Telecommunications
Commission is seeking public comment about the development and operation of a
national DNC list. The CRTC has the authority to choose a 3rd-party
administrator to run the DNC list, and also the power to levy administrative &
monetary penalties. [Source]
Larry Ponemon, president of the Ponemon Institute,
said companies have to take privacy outside the legal department directly to
customers. To foster consumer confidence in businesses and their online operations,
privacy has “become a pillar of trust.” The Ponemon Institute and the Carlson
Marketing Group in
A survey by Marketing Improvement found that only 28% of
100 firms could properly direct a call seeking to speak to the company’s
Privacy Officer. The researchers also looked at whether the switchboard
operators – when asked if the caller could speak to the privacy officer –
understood the question. The survey found that 26% of the operators responded
with an immediate “no idea.” The results revealed that 34% of the companies had
a Privacy Officer. The survey recommends that companies hire a Chief Privacy
Officer and ensure that employees have accurate information about their company’s
privacy pro. [Source] [Report]
The top Democrat on the U.S. House Financial Services Committee last week
said he would consider legislation to require credit card companies to name the
party responsible for consumer data breaches. In nearly identical
letters to the chief executives of Visa
The Office of Management and Budget (OMB) reminded
CIOs to finish privacy impact assessments before issuing credentials under
Homeland Security Presidential Directive 12. Karen Evans, the OMB administrator
for e-government and IT, last week gave agencies five examples to use as models
to comply with privacy requirements before the issuance of new credentials. [Source]
A bulk e-mailer who looted more than a billion records
with personal information from a data warehouse has been sentenced to eight
years in prison, federal prosecutors said. Scott Levine, 46, was sentenced by a
federal judge in
The GSM Association (GSMA) has brought together 15 of
the world’s leading mobile phone operators, representing 500 million customers
in more than 50 countries across all regions of the world, to sign a code of
practice committing them to work together to minimize spam sent via text and
picture messages. Overseen by the GSMA, the code commits the operators to work
together to investigate cases of mobile spam transmitted across mobile networks
and take action where appropriate. Through the code, the operators plan to
introduce anti-spam conditions into all new contracts with third party
suppliers, enabling them to suspend or terminate the mobile contracts of
spammers. [Source]
[Code
of Conduct Summary]
Opt-4, a
The Association of Computing Machinery (ACM), a
professional organization of computer scientists, warns that state election
officials may not have taken proper security precautions to guard against
fraud. In a 60-page
report released last week, the scientists call for more aggressive steps to
protect the security, privacy and reliability of computerized, centralized
databases of voter records that are mandated by U.S.
federal law, which the report says are vulnerable to stealthy and undetectable
forms of manipulation by political operatives. Unless proper authentication
practices are followed, security flaws could permit hackers to insert
fraudulent names into voter databases or delete names of eligible voters. “Since
there are many ways that an attacker might try to subvert the system, one needs
processes that encourage secure system design and detect and close significant
vulnerabilities,” the ACM report says. Privacy is another topic singled out for
attention. Although laws may vary, all states permit voter registration data to
be sold for political purposes such as campaigning and direct mail. But 20
states and the
EU justice ministers have approved a controversial new
law requiring telecom operators to store phone and Internet data for 6-24
months to help fight terrorism. The so-called data retention directive has been
the subject of a heated political debate in
The government’s £5.8bn national ID card project has
slipped back a year following delays in passing the ID card bill through
Parliament, a government minister conceded this week. Home Office minister Andy
Burnham said that the first ID cards would not be introduced until 2009, a year
later than originally planned. Procurement for the project would start immediately
after the bill receives royal assent, expected in March, Burnham revealed. [Source]
The Article 29 Working Party has issued its latest
guidance on helping
Thousands of debit cards have been canceled and
replaced in recent weeks after
Intelligence agencies have reclassified about 9,500
documents that were available to the public for years at the National Archives,
according to a recent report by the New York Times. The effort began seven
years ago after the CIA and five other agencies complained about the implications
of a declassification order signed by President Clinton in 1995. About 8,000
documents have been reclassified during the Bush presidency alone. Documents
that have been taken off the Archive’s shelves through the program include
decades-old reports from the State Department, as well as historical documents
that researchers photocopied and have kept in their files. [Source]
Anyone convicted of a federal felony will have to
continue providing a DNA sample. A federal judge in
An “out of control stealth database” storing thousands
of innocent people’s DNA is being created because of a lack of guidelines and
controls over how police collect DNA, according to a campaign group led by a
Conservative U.K. MP. More than 100,000 innocent adults have their DNA
permanently stored on the national police database. Figures obtained by the MP
show more than 24,000 children aged between 10 and 18 have had their DNA added
despite never being cautioned or charged for any offence. The figures show that
Northamptonshire police are adding innocent kids’ DNA profiles at the fastest
rate - 182 per 100,000 children each month. [Source]
The names and Social Security numbers of about 27,000
Blue Cross and Blue Shield of Florida current and former employees, vendors and
contractors were sent by a contractor to his home computer in violation of company
policies, the company said. The contractor had access to a database of
identification badge information and transferred it via e-mail to a home
computer. Blue Cross is declining to name the contractor because the breach is
being investigated by the U.S. Attorney’s Office and the FBI. More than half of
the information was that of current and former employees. Blue Cross is
notifying those affected and will provide them with a year’s worth of free
credit monitoring service. [Source]
The Agriculture Department says it accidentally
released Social Security numbers and tax IDs for 350,000 tobacco farmers. But
the department says those who received the information agreed to destroy copies
and return discs to the government. The agency said it inadvertently released
the data in response to Freedom of Information Act requests about the tobacco
buyout program. The information went to eight different people or groups. [Source]
An auditor left behind an unencrypted CD containing
the personal information of thousands of employees of McAfee, the security
software company. The CD, which contained the information of 3,290 current
employees and 6,000 former employees, was forgotten on a plane Dec. 15. The
auditor did not report the CD was missing until Jan. 8. [Source] [Source]
BT has said
After an intensive debate, the grand coalition passed
a bill last week with few nay votes from within
to have telephone and Internet data archived for six
months as required by an EU directive. The German government is now obligated
to “carefully” record “a minimum” of the data tracks users leave in order to implement
the EU directive. The opposition did not mince its words. A former
Justice Minister called the law an “excessive” measure that was extremely
unlikely to help prevent crime. She complained that it will soon be possible to
tell who surfed the Internet and who called whom down to the minute even months
after the fact. She called this a “breach of the principles of prevention and
criminal prosecution,” especially because the records do not have to be related
to any specific suspicion. The FDP politician commented on the compensation
called for by the coalition to cover the extra expenses that telecommunications
providers will incur to fulfill this condition by saying, “citizens are being
required to pay for their own monitoring.” [Source]
A police tribunal ended with the loss of 18 days’ pay
for a
Jonathan Frenkel, director of law enforcement policy
at the U.S Department of Homeland Security, has raised the idea of outlawing
the use of rootkits in light of Sony rootkit incident. Frenkel said that “the recent
Sony experience shows us that we need to be thinking about how we ensure that
consumers are not surprised by what their software programs do.” [Source]
Fighting cybercrime will be a top priority for the
U.S. Department of Justice, according to U.S. Attorney General Alberto R.
Gonzales. In his remarks to address the Department’s areas of focus for the coming
year, Gonzales announced the Project Safe Childhood Initiative to combat crimes
against children facilitated by computers. The new initiative calls for
strengthening resources available to law enforcement and a national prevention
education campaign. For more information on the program, please see the U.S. Department
of Justice’s Fact Sheet. [Source]
[FBI Director Seeks Help
from Businesses on Cybercrime]
The Personal
Information Protection Law that took effect last year is making it
difficult for pollsters and researchers to gather opinions from citizens.
People are refusing to cooperate and local governments have denied researchers
access to the Basic Resident Register files. [Source] For
those interested, see official translation
of Japan’s personal information protection law .
Last week Google criticized the Bush administration’s
demand to examine millions of its users’ Internet search requests as a
misguided fishing expedition that threatens to ruin the company’s credibility
and reveal its closely guarded secrets. If the U.S. Justice Department is
successful in obtaining a week’s worth of search terms from Google, a second
round of subpoenas is shaping up to be far more intrusive. [Google
brief] Coverage at [Source]
[Google Admits Desktop
Risk]
Most
Americans are uncomfortable with the fact that Internet search engines record
their users’ queries, according to a survey that examined perceptions about
federal authorities’ demands for such records. Search engine companies recently
sparked the debate by responding differently to the Justice Department’s subpoena
for records on what their users had been looking up. [Source]
A study that relied on 5,000 telephone interviews with
consumers reveals the changing tactics of ID thieves and some persistent myths
about ID theft. For example, the survey indicates that awareness of ID theft
has led to fewer victims. Seniors are not
the most frequent target of ID thieves. The survey indicates that it is not
accurate that thieves steal personal information most often online.
Acquaintances or relatives are more often the ones who steal personal
information, not strangers. [Source]
The
Ponemon Institute conducted a survey rating Americans’ opinions about whether
federal agencies do a good job of protecting personal information. The U.S.
Postal Service placed first in the survey. [Source]
The Department of Homeland Security has announced that
the next meeting of the Department of Homeland Security Data Privacy and
Integrity Advisory Committee, which will include an administrative session closed
to the public, will be held on Tuesday, March 7, 2006, in
During a recent keynote address, Scott McNealy, the
CEO of Sun Microsystems, stresses the importance of protecting users’ privacy
and securing their data. Companies are recognizing that privacy is good for
business – a “hard won lesson in the industry, and one for which consumers continue
to pay.” [Source]
RFID tags have quickly found their way into
identification badges, shipping containers, even ordinary store products.
Because, unlike barcodes, the tags can be read surreptitiously, a number of
groups have raised privacy concerns. To address these concerns, leading RFID makers
have created so-called “Gen 2” chips that will divulge their data only after a
reader transmits the correct password. The new chips can also be triggered by a
different password to silently self-destruct, for example as a customer leaves
a store. Encryption protects the password transmission. But renowned
cryptographer Adi Shamir of
Data storage security is a “fundamental part of IT
security,” yet many companies are neglecting this imperative, according to a
survey by Enterprise Strategy Group. The survey found that 30% of 288 storage
professionals indicated their companies’ security policies did not address
storage systems. [Source]
US – Charles Schwab Announces Security
Guarantee
The Charles Schwab Corp. announced
this week that the company will cover 100% of any account losses related to
fraud. The company announced the “public promise” to assuage the fears of
customers, many of whom prefer to conduct their transactions online. The
company said the guarantee would build confidence in consumers who are
increasingly concerned about online fraud and identity theft. [Source]
CDT Deputy Director Ari Schwartz won the RSA
Conference Award for Public Policy for his role in organizing the efforts of
the Anti-Spyware Coalition – a group of anti-spyware companies and public interest
groups working together to help users regain control of their computers.
Schwartz joins an elite group of federal regulators, lawmakers and public
interest advocates who’ve received the public policy award since its creation
in 1998. [Press Release]
[Anti-Spyware Coalition Web site]
The
Under cross-examination during a congressional
hearing, Yahoo’s top lawyer refused last week to say whether the company opens
its records for government surveillance without a court order. Michael Callahan,
Yahoo’s senior vice president and general counsel, declined five times to
answer that question from Rep. Brad Sherman, a California Democrat who was probing
whether the Internet company had cooperated with the NSA’s domestic
surveillance efforts. “It wouldn’t be appropriate for me to comment,” said
Callahan, who was testifying under oath. He added that Yahoo would “only turn
over information if it’s required by law.” But Callahan refused to say whether
a demand from the NSA – not backed by a court order – qualifies as required by
law. [Source] See
also: [American
Bar Association Says Unlawful Surveillance Must Stop]
A public-advocacy group (CDT) says two popular and
increasingly ubiquitous digital technologies – Web-based e-mail and location
awareness – inadvertently give the
U.S. House Energy and Commerce Committee investigators
have identified people behind 22 Web pages that may offer criminals, stalkers
and any other paying customer the detailed records of a person’s private
telephone calls. Committee members sent letters demanding that the companies
provide information about the cottage industry. The committee opened its
investigation on Feb. 3 with similar letters to First Source Information
Specialists, Inc., of
The ACLU, EFF, and EPIC submitted comments to San Francisco
TechConnect urging it to establish a privacy-friendly municipal broadband
service in the city. San Francisco TechConnect has been tasked by the Mayor to
research options for a free or low-cost municipal Internet service. Provider
proposals are expected to pitch systems that would use personal information for
advertising or otherwise implicate privacy interests. The coalition comments
urged TechConnect to set minimum standards for privacy protection in the new
network, including accommodations for anonymous and pseudonymous users, limits
on the retention of personal information, and strong standards protecting users’
interests when legal demands are made for network data. [Coalition Letter] [Source]
Civil
liberties organizations expressed outrage yesterday after it was reported that
the database of terrorist suspects kept by the
The
list, maintained by the National Counterterrorism Centre (NCTC), includes
different spellings of the same person’s names as well as aliases, but the
Washington Post quoted NCTC officials as saying that at least 200,000
individuals are on it. They said that “only a very, very small fraction” of
that number were US citizens, but that insistence did little to defuse the
reaction. [Source]
A year after its creation, the White House civil
liberties board has yet to do a single day of work. For Americans troubled by
the prospect of federal agents eavesdropping on their phone conversations or
combing through their Internet records, there is good news: A little-known
board exists in the White House whose purpose is to ensure that privacy and
civil liberties are protected in the fight against terrorism. Someday, it might
actually meet. Initially proposed by the bipartisan commission that
investigated the attacks of Sept. 11, 2001, the Privacy and Civil Liberties
Oversight Board was created by the intelligence overhaul that President Bush
signed into law in December 2004. More than a year later, it exists only on
paper. Foot-dragging, debate over its budget and powers, and concern over the
qualifications of some of its members — one was treasurer of Bush’s first
campaign for
US – FTC Settles CardSystems Solutions Case
In what the FTC
said was the “largest known compromise of financial data to date,” CardSystems
Solutions, now owned by Pay By Touch, has reached a proposed agreement to
settle allegations that it failed to protect customer data. The proposed
settlement would require the company to adopt tighter security measures and
submit to an independent audit every other year for 20 years. Before finalizing
the settlement, the FTC will accept public comments for a month. [Full
Story]
US –
FTC Reaches Settlement With Marketing Company
Bookspan has
agreed to pay a $680,000 civil penalty to settle allegations that it called
more than 100,000 consumers on the DNC list between October ‘03 and August ‘04.
The FTC’s complaint also alleged that Bookspan, which operates more than 35
book clubs, called tens of thousands of consumers who had asked the company not
to call them when they placed their name on the company’s internal list. [Full Story]
The Senate voted 96-3 against Senator Russ Feingold’s
attempt to block Patriot Act renewal with a filibuster. The Senate will now vote
on passage of the bill. [Source]
[Feingold
statement] [Source]
Senate Committee Declines
Eavesdropping Investigation: The Senate Intelligence Committee decided not
to investigate the administration’s warrantless wiretapping program, at least
for now. Ranking Member John Rockefeller called the decision an abdication of
the committee’s responsibility to oversee the nation’s intelligence activities.
The House Intelligence Committee members have indicated that committee will
conduct an inquiry, but it is unclear whether it will focus on the operational
facts or the legality of the program. CDT believes Congress must learn the
details of the program before it attempts to pass any legislation weakening
surveillance laws. [Source]
According
to a 2005 survey by the American Management Association, 75% of companies
monitor their employees’ Internet use. The survey also found that 65% of
companies rely on software to block access to certain Web sites – a 27%
increase since 2001. The city of
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