$5 billion lawsuit filed against Verizon

Two New Jersey attorneys, Bruce Afran and Carl Mayer, have filed a lawsuit in federal court in New York City against Verizon regarding its sharing of call-detail records with the NSA without a subpoena. The lawsuit charges that Verizon has violated a number of federal laws, including the 1986 Stored Communications Act (28 USC 2701), which provides for $1,000 in statutory damages for each violation. Some reports have quoted a $50 billion figure based the potential of one violation regarding the information of each of 50 million people, but the suit as filed asks for $1,000 per violation, or $5 billion if certified as a class action.

The Stored Communications Act is a confusingly-written piece of the Electronic Communications Privacy Act that covers both content records (such as email) as well as non-content records (such as log information and subscriber information). One of the exceptions in the law for when a provider can supply non-content information to a governmental entity without a subpoena is if (quoting from a commentary by law professor Orin Kerr) "the provider reasonably believes that an emergency involving immediate danger of death or serious physical injury to any person justifies disclosure of the information." This seems like a defense that Verizon will be likely to use to justify a program that's supposed to be used to identify and stop terrorists.

Verizon claims that it "does not, and will not, provide any government agency unfettered access to our customer records or provide information to the government under circumstances that would allow a fishing expedition."

RCN, a telecom and Internet provider (its assets include the former Erols Internet) based in Herndon, VA, has issued a press release stating that it, like Qwest, has not disclosed customer information except when required by legal process.

NSA call monitoring details revealed, blocks Justice Department investigation

USA Today has reported that the NSA has been collecting a database of call detail records from data provided by AT&T, Verizon, and BellSouth (no word on whether SBC or other ILECs and CLECs have participated). Qwest is noteworthy for having refused to participate in the program.

The collected CDRs include records of calls which both originate and terminate within the United States (i.e., completely domestic calls).

The NSA's goal was allegedly "'to create a database of every call ever made' within U.S. borders," which is out of scope for the NSA's mission.

Arlen Specter of the Senate Judiciary Committee says that the telcos will be questioned about their participation.

In other news today, the NSA managed to kill an investigation by the Justice Department's Office of Professional Responsibility into whether Justice Department attorneys violated ethical rules with regard to the NSA's domestic spying. They did this by denying requested security clearances to OPR investigators.

Details of AT&T cooperation with the NSA emerge

Details of AT&T's cooperation with the National Security Agency are beginning to emerge as a result of the Electronic Frontier Foundation's lawsuit against AT&T, as described by Wired:

AT&T provided National Security Agency eavesdroppers with full access to its customers' phone calls, and shunted its customers' internet traffic to data-mining equipment installed in a secret room in its San Francisco switching center, according to a former AT&T worker cooperating in the Electronic Frontier Foundation's lawsuit against the company.

Mark Klein, a retired AT&T communications technician, submitted an affidavit in support of the EFF's lawsuit this week. That class action lawsuit, filed in federal court in San Francisco last January, alleges that AT&T violated federal and state laws by surreptitiously allowing the government to monitor phone and internet communications of AT&T customers without warrants.

On Wednesday, the EFF asked the court to issue an injunction prohibiting AT&T from continuing the alleged wiretapping, and filed a number of documents under seal, including three AT&T documents that purportedly explain how the wiretapping system works.

According to a statement released by Klein's attorney, an NSA agent showed up at the San Francisco switching center in 2002 to interview a management-level technician for a special job. In January 2003, Klein observed a new room being built adjacent to the room housing AT&T's #4ESS switching equipment, which is responsible for routing long distance and international calls.

The account says that AT&T's Internet peering traffic, as well as voice traffic, is being intercepted:

"While doing my job, I learned that fiber optic cables from the secret room were tapping into the Worldnet (AT&T's internet service) circuits by splitting off a portion of the light signal," Klein wrote.

The split circuits included traffic from peering links connecting to other internet backbone providers, meaning that AT&T was also diverting traffic routed from its network to or from other domestic and international providers, according to Klein's statement.

The secret room also included data-mining equipment called a Narus STA 6400, "known to be used particularly by government intelligence agencies because of its ability to sift through large amounts of data looking for preprogrammed targets," according to Klein's statement.

This information goes well beyond what had already been determined about AT&T's gigantic call detail record (CDR) database, Daytona, that preserves a record of decades of telephone calls. That database included only the phone numbers and dates and times, not the actual content of the calls. This new information, by contrast, suggests the ability to actually intercept the content of voice calls and Internet data transmission.

AT&T's 1.9-trillion-call database

John Markoff has a story in the New York Times about AT&T's "Daytona" database, which has a record of 1.9 trillion calls from over the last several decades. The Electronic Frontier Foundation, which has filed a lawsuit against AT&T for cooperating with the NSA's warrantless interception program, asserts that this database has been used by the NSA for data mining.

"Checking every phone call ever made is an example of old think," he said.

He was alluding to databases maintained at an AT&T data center in Kansas, which now contain electronic records of 1.92 trillion telephone calls, going back decades. The Electronic Frontier Foundation, a digital-rights advocacy group, has asserted in a lawsuit that the AT&T Daytona system, a giant storehouse of calling records and Internet message routing information, was the foundation of the N.S.A.'s effort to mine telephone records without a warrant.

An AT&T spokeswoman said the company would not comment on the claim, or generally on matters of national security or customer privacy.

But the mining of the databases in other law enforcement investigations is well established, with documented results. One application of the database technology, called Security Call Analysis and Monitoring Platform, or Scamp, offers access to about nine weeks of calling information. It currently handles about 70,000 queries a month from fraud and law enforcement investigators, according to AT&T documents.

A former AT&T official who had detailed knowledge of the call-record database said the Daytona system takes great care to make certain that anyone using the database — whether AT&T employee or law enforcement official with a subpoena — sees only information he or she is authorized to see, and that an audit trail keeps track of all users. Such information is frequently used to build models of suspects' social networks.

The official, speaking on condition of anonymity because he was discussing sensitive corporate matters, said every telephone call generated a record: number called, time of call, duration of call, billing category and other details. While the database does not contain such billing data as names, addresses and credit card numbers, those records are in a linked database that can be tapped by authorized users.

New calls are entered into the database immediately after they end, the official said, adding, "I would characterize it as near real time."

(Via Bruce Schneier's blog.)

Malkin on the ports and CFIUS

Michelle Malkin argues that the CFIUS process is a "rubber stamp" and complains about the fact that financing for the Dubai Ports World acquisition of P&O was underwritten by Barclay's and Dubai Islamic Bank, which were "both cited as probable conduits for bin Laden money."

This latter point, at least with regard to Barclay's, is about as meaningful as claiming that Verizon Wireless is linked to terrorism because a terrorist used a Verizon Wireless phone, and arguing on that basis that Verizon should not be allowed to conduct business in the United States. Barclay's is a global banking and investment company headquartered in London's Docklands, operating the fourth largest bank in the UK.

On the former point, the CFIUS investigation I am most familiar with involved a fairly extensive review, the rejection of one potential acquirer (the application was withdrawn and resubmitted without that acquirer, so doesn't count as a CFIUS rejection), and the implementation of significant and ongoing security restrictions and review prior to approval. It wasn't a rubber stamp, though it did seem clear that most of the government agencies involved were pretty clueless about the technical details (with the exception of the representatives from the NSA and some from the DOD, who were very sharp), and the government ended up outsourcing most of the ongoing oversight of the deal to a D.C.-area private contractor after the acquisition was completed.

ACLU files lawsuit against warrantless wiretapping

The ACLU has filed a lawsuit against the NSA asking for an injunction against warrantless interception of communications to international destinations. The plaintiffs include James Bamford (author of The Puzzle Palace, Body of Secrets, and A Pretext for War), Christopher Hitchens, Greenpeace, Larry Diamond of the Hoover Institution, the Council on American-Islamic Relations, the National Association of Criminal Defense Lawyers, and others.

SF Fox affiliate's Emily Litella moment

KTVU in San Francisco used this background image when discussing the NSA warrantless wiretap issue. (John Hazelton on the SKEPTIC list spotted this and got the screen capture.)

Bush administration approved warrantless wiretaps on U.S. citizens

News is now out that the Bush administration, in 2002, authorized the National Security Agency to conduct eavesdropping (on international email or phone calls) against U.S. citizens without court oversight. The NSA's domestic surveillance is supposed to be limited to foreign embassies and missions, and to require court approval. This is not a power granted to the president by the U.S. Constitution.

This abuse of power has apparently been exercised against as many as 500 people in the U.S. at any given time. The NY Times reports that some NSA officials, to their credit, refused to participate due to their concerns about the legality of the program.

Note that the standards which the Foreign Intelligence Surveillance Court uses to approve wiretaps are already incredibly low (their decision algorithm is pretty close to "say yes to everything"), but apparently that was considered too great a barrier and it had to be bypassed.

Approval of torture, secret CIA prisons in Europe, kidnapping citizens of other countries and taking them to Afghanistan... apparently the Bush administration has no respect for the U.S. Constitution on the principles behind it.

Freedom Summit: Technological FUD

Sunday morning's first session was by Stuart Krone, billed as a computer security expert working at Intel. Krone, wearing a National Security Agency t-shirt, of a type sold at the National Cryptologic Museum outside Ft. Meade, spoke on the subject "Technology: Why We're Screwed." This was a fear-mongering presentation on technological developments that are infringing on freedom, mostly through invasion of privacy. The talk was a mix of fact, error, and alarmism. While the vast majority of what Krone talked about was real, a significant number of details were distorted or erroneous. In each case of distortion or error, the distortions enhanced the threat to individual privacy or the malice behind it, and attributed unrealistic near-omniscience and near-omnipotence to government agencies. I found his claim that the NSA had gigahertz processors twenty years before they were developed commercially to be unbelievable, for example. He also tended to omit available defenses--for instance, he bemoaned grocery store loyalty programs which track purchases and recommended against using them, while failing to note that most stores don't check the validity of signup information and there are campaigns to trade such cards to protect privacy.

Krone began by giving rather imprecise definitions for three terms: convenience, freedom, and technology. For convenience, he said it is something that is "easy to do," freedom is either "lack of coercion" or "privacy," and technology is "not the same as science" but is "building cool toys using scientific knowledge." While one could quibble about these definitions, I think they're pretty well on track, and that a lack of society intrusion into private affairs is a valuable aspect of freedom.

Krone then said that the thesis of his talk is to discuss ways in which technology is interfering with freedom, while noting that technology is not inherently good or evil, only its uses are.

He began with examples of advancements in audio surveillance, by saying that private corporations have been forced to do government's dirty work to avoid Freedom of Information Act issues, giving as an example CALEA (Communications Assistance for Law Enforcement Act) wiretaps. He stated that CALEA costs are added as a charge on your phone bill, so you're paying to have yourself wiretapped. He said that CALEA now applies to Voice Over IP (VOIP), including Skype and Vonage, and that the government is now tapping all of those, too. Actually, what he's referring to is that the FCC issued a ruling on August 5, 2005 on how CALEA impacts VOIP which requires providers of broadband and VOIP services which connect to the public telephone network to provide law enforcement wiretap capability within 18 months. There is no requirement for VOIP providers which don't connect to the public telephone network, so the peer-to-peer portion of Skype is not covered (but SkypeIn and SkypeOut are). This capability doesn't exist in most VOIP providers' networks, and there is strong argument that the FCC doesn't have statutory authority to make this ruling, which is inconsistent with past court cases--most telecom providers are strongly opposing this rule. The Electronic Frontier Foundation has an excellent site of information about CALEA.

Krone next talked about the ability to conduct audio surveillance on the inside of the home using 30-100 GHz microwaves to measure vibrations inside the home. This is real technology for which there was a recent patent application.

He raised the issue of cell phone tracking, as is being planned to use for monitoring traffic in Kansas City (though he spoke as though this was already in place--this was a common thread in his talk, to speak of planned or possible uses of technology as though they are already in place).
(This is actually currently being used in Baltimore, MD, the first place in the U.S. to use it.)

He spoke very briefly about Bluetooth, which he said was invented by Intel and other companies (it was invented by Ericsson, but Intel is a promoter member of the Bluetooth Special Interest Group along with Agere, Ericsson, IBM, Microsoft, Motorola, Nokia, and Toshiba). He stated that it is completely insecure, that others can turn on your phone and listen to your phone's microphone, get your address book, and put information onto your phone. While he's quite right that Bluetooth in general has major security issues, which specific issues you may have depend on your model of phone and whether you use available methods to secure or disable Bluetooth features. Personally, I won't purchase any Bluetooth product unless and until it is securable--except perhaps a device to scan with.

Next, Krone turned to video surveillance, stating that in addition to cameras being all over the place, there are now cameras that can see through walls via microwave, that can be used by law enforcement without a search warrant, which hasn't been fully decided by the courts yet. I haven't found anything about microwave cameras that can see through walls, but this sounds very much like thermal imaging, which the Supreme Court has addressed. In Kyllo v. U.S. (533 U.S. 27, 2001) it was ruled that the use of a thermal imaging device to "look through walls" constituted a search under the Fourth Amendment and thus requires a search warrant. Scalia, Souter, Thomas, Ginsburg, and Breyer ruled with the majority; Stevens, Rehnquist, O'Connor, and Kennedy dissented.

Krone briefly mentioned the use of "see through your clothes" X-ray scanners, stating that six airports are using them today. This technology exists and is in TSA trials, and was actually tested at a Florida airport back in 2002. A newer, even more impressive technology is the new Tadar system unveiled in Germany in mid-October 2005.

He addressed RFIDs, and specifically RFIDs being added to U.S. passports in 2006, and some of the risks this may create (such as facilitating an electronic "American detector"). This is a real threat that has been partially addressed by adding a radio shielding to the passport to prevent the RFID from being read except when the passport is open. As Bruce Schneier notes, this is not a complete safeguard. Krone also stated that there is a California bill to put RFIDs in cars, with no commercial justification, just to "know where everyone is and what they have with them at all times." I'm not aware of the bill he is referring to, but the use of transponders in cars for billing purposes for toll roads is a possible commercial justification.

He spoke about the laser printer codes that uniquely identify all documents printed by certain laser printers, which have been in place for the last decade and were recently exposed by the Electronic Frontier Foundation and reported in this blog (Krone mistakenly called it the "Electronic Freedom Foundation," a common mistake). He also briefly alluded to steganography, which he wrongly described as "the art of hiding information in a picture." While hiding a message in a picture is one form of steganography, what is characteristic of steganography is that it is hiding a message in such a way as to disguise the fact that a message is even present.

He then went on to talk about Intel's AMT product--"Advanced Management Technology." This is a technology that allows computers to be remotely rebooted, have the console redirected, obtain various information out of NVRAM about what software is installed, and to load software updates remotely, even if the system is so messed up that the operating system won't boot. This is a technology that will be extremely useful for large corporations with a geographically dispersed work force and a small IT staff; there is similar technology from Sun Microsystems in their Sun Fire v20z and v40z servers which allows remote access via SSH to the server independent of the operating system, which allows console port and keyboard access, power cycling of the server, etc. This is technology with perfectly legitimate uses, allowing the owner of the machine to remotely deal with issues that would previously have required either physically going to the box or the expense of additional hardware such as a console server.

Krone described AMT in such a way as to omit all of the legitimate uses, portraying it as a technology that would be present on all new computers sold whether you like it or not, which would allow the government to turn your computer on remotely, bypass all operating system security software including a PC firewall, and take an image of your hard drive without your being able to do anything about it. This is essentially nonsensical fear-mongering--this technology is specifically designed for the owner of the system, not for the government, and there are plenty of mechanisms which could and should be used by anyone deploying such systems to prevent unauthorized parties from accessing their systems via such an out-of-band mechanism, including access control measures built into the mechanisms and hardware firewalls.

He then went on to talk about Digital Rights Management (DRM), a subject which has been in the news lately as a result of Sony BMG's DRM foibles. Krone stated that DRM is being applied to videos, files, etc., and stated that if he were to write a subversive document that the government wanted to suppress, it would be able to use DRM to shut off all access to that file. This has DRM backwards--DRM is used by intellectual property owners to restrict the use of their property in order to maximize the potential paying customer base. The DRM technologies for documents designed to shut off access are intended for functions such as allowing corporations to be able to guarantee electronic document destruction in accordance with their policies. This function is a protection of privacy, not an infringement upon it. Perhaps Krone intended to spell out a possible future like that feared by Autodesk founder John Walker in his paper "The Digital Imprimatur," where he worries that future technology will require documents published online to be certified by some authority that would have the power to revoke it (or revoke one's license to publish). While this is a potential long-term concern, the infrastructure that would allow such restrictions does not exist today. On the contrary, the Internet of today makes it virtually impossible to restrict the publication of undesired content.

Krone spoke about a large number of other topics, including Havenco, Echelon, Carnivore/DCS1000, web bugs and cookies, breathalyzers, fingerprints, DNA evidence, and so on. With regard to web bugs, cookies, and malware, he stated that his defense is not to use Windows, and to rely on open source software, because he can verify that the content and function of the software is legitimate. While I hate to add to the fear-mongering, this was a rare instance where Krone doesn't go far enough in his worrying. The widespread availability of source code doesn't actually guarantee the lack of backdoors in software for two reasons. First, the mere availability of eyeballs doesn't help secure software unless the eyeballs know what to look for. There have been numerous instances of major security holes persisting in actively maintained open source software for many years (wu-ftpd being a prime example). Second, and more significantly, as Ken Thompson showed in his classic paper "Reflections On Trusting Trust" (the possibility of which was first mentioned in Paul Karger and Roger Schell's "Multics Security Evaluation" paper), it is possible to build code into a compiler that will insert a backdoor into code whenever a certain sequence is found in the source. Further, because compilers are typically written in the same language that they compile, one can do this in such a way that it is bootstrapped into the compiler and is not visible in the compiler's source code, yet will always be inserted into any future compilers which are compiled with that compiler or its descendants. Once your compiler has been compromised, you can have backdoors that are inserted into your code without being directly in any source code.

Of the numerous other topics that Krone discussed or made reference to, there are three more instances I'd like to comment on: MRIs used as lie detectors at airport security checkpoints, FinCen's monitoring of financial transactions, and a presentation on Cisco security flaws at the DefCon hacker conference. In each case, Krone said things that were inaccurate.

Regarding MRIs, Krone spoke of the use of MRIs as lie detectors at airport security checkpoints as though they were already in place. The use of fMRI as a lie detection measure is something being studied at Temple University, but is not deployed anywhere--and it's hard to see how it would be practical as an airport security measure. Infoseek founder and Propel CEO Steve Kirsch proposed in 2001 using a brainscan recognition system to identify potential terrorists, but this doesn't seem to have been taken seriously. There is a voice-stress analyzer being tested as an airport security "lie detector" in Israel, but everything I've read about voice stress analysis is that it is even less reliable than polygraphs (which themselves are so unreliable that they are inadmissible as evidence in U.S. courts). (More interesting is a "stomach grumbling" lie detector...) (UPDATE March 27, 2006: Stu Krone says in the comments on this post that he never said that MRIs were being used as lie detectors at airport security checkpoints. I've verified from a recording of his talk that this is my mistake--he spoke only of fMRI as a tool in interrogation.)

Regarding FinCen, the U.S. Financial Crimes Enforcement Network, Krone made the claim that "FinCen monitors all transactions" and "keeps a complete database of all transactions," and that for purchases made with cash, law enforcement can issue a National Security Letter, including purchases of automobiles. This is a little bit confused--National Security Letters have nothing specifically to do with financial transactions per se, but are a controversial USA PATRIOT Act invention designed to give the FBI the ability to subpoena information without court approval. I support the ACLU's fight against National Security Letters, but they don't have anything to do with FinCen. Krone was probably confused by the fact that the USA PATRIOT Act also expanded the requirement that companies whose customers make large cash purchases (more than $10,000 in one transaction or in two or more related transactions) fill out a Form 8300 and file it with the IRS. Form 8300 data goes into FinCen's databases and is available to law enforcement, as I noted in my description of F/Sgt. Charles Cohen's presentation at the Economic Crime Summit I attended. It's simply not the case that FinCen maintains a database of all financial transactions.

Finally, Krone spoke of a presentation at the DefCon hacker conference in Las Vegas about Cisco router security. He said that he heard from a friend that another friend was to give a talk on this subject at DefCon, and that she (the speaker) had to be kept in hiding to avoid arrest from law enforcement in order to successfully give the talk. This is a highly distorted account of Michael Lynn's talk at the Black Hat Briefings which precede DefCon. Lynn, who was an employee of Internet Security Systems, found a remotely exploitable heap overflow vulnerability in the IOS software that runs on Cisco routers as part of his work at ISS. ISS had cold feet about the presentation, and told Lynn that he would be fired if he gave the talk, and Cisco also threatened him with legal action. He quit his job and delivered the talk anyway, and ended up being hired by Juniper Networks, a Cisco competitor. As of late July, Lynn was being investigated by the FBI regarding this issue, but he was not arrested nor in hiding prior to his talk, nor is he female.

I found Krone's talk to be quite a disappointment. Not only was it filled with careless inaccuracies, it presented nothing about how to defend one's privacy. He's right to point out that there are numerous threats to privacy and liberty that are based on technology, but there are also some amazing defensive mechanisms. Strong encryption products can be used to enhance privacy, the EFF's TOR onion routing mechanism is a way of preserving anonymity, the Free Network Project has built mechanisms for preventing censorship (though which are also subject to abuse).

A 1952 history of U.S. communications intelligence declassified

The March 1952 document "A Brief History of Communications Intelligence in the United States" by Captain Laurance F. Stafford, USN (Retired) has been declassified by the National Security Agency and released to the public. It was originally classified TOP SECRET SUEDE. The document is a 24-page PDF. The document tells the history of COMINT prior to Pearl Harbor, beginning with the entry of the U.S. into WWI, when Herbert O. Yardley set up MI-8, the "American Black Chamber" to do cryptology work. On a quick scan I didn't see anything that wouldn't already be familiar in broad strokes to readers of James Bamford's The Puzzle Palace or Body of Secrets, though there may be some details not previously public, such as the number of staff working on cryptography.