Tuesday, September 12, 2006

The Death of Privacy ( cio insight ) In privacy circles, a mostly forgotten incident from the end of the dot-com euphoria aptly illustrates the lack of regard most companies have toward protecting personal data, even if they make a point of promising to do so. The episode occurred in mid-2000, when Toysmart.com Inc., a Web-based retailer, went out of business. Among the assets the company put on the block during bankruptcy proceedings was one that caught the eye of regulators at the Federal Trade Commission: the names, e-mail and mailing addresses, and shopping histories of 250,000 Toysmart customers. Toysmart was offering these records to the highest bidder, despite an online privacy policy that explicitly stated the company would never share customer data with any third party. With the Web surging with an enormous amount of commercial activity and sensitive information, the FTC had recently beefed up its Internet consumer-protection efforts. Commission regulators decided that Toysmart's blatant disdain for its own privacy oath was just too contemptuous to be ignored. Backed by 44 state attorneys general, the FTC sued to block the Toysmart data auction, arguing that it constituted a "deceptive practice." In early 2001, an agreement was forged under which Toysmart investor, the Walt Disney Co., would buy the company's customer data for $50,000 and then promptly destroy it. "The Toysmart case and others like it--among them Living.com and CraftShop .com--proves what some of us have suspected all along: Many companies don't really believe privacy is something to protect when there's money to be made from confidential data, or when safeguarding sensitive data gets in the way of making money," says Luis Salazar, an attorney in the privacy practice group at Miami-based law firm Greenberg Traurig LLP. Last year, at the request of Senator Patrick Leahy (D- Vt.), Salazar authored a provision for a new bankruptcy law that makes it illegal for insolvent companies to sell personally identifiable information if their privacy policies forbade such activities. The general disinterest in doing little more than the bare minimum to shield consumer privacy extends well beyond companies that are closing up shop. The Canadian Internet Policy and Public Interest Clinic, at the University of Ottawa, recently conducted an in-depth study of 64 major online sites, including those of Amazon.com Inc., Citigroup Inc., Staples Inc., Best Buy Co. Inc. and eBay Inc. The study found that, in general, an alarming number of Web-based operations are sloppy, if not downright negligent, when it comes to privacy practices. According to the CIPPIC report, released in April, "While almost all companies we assessed had a privacy policy and were thus aware of the need to respect customer privacy, many failed to fulfill even basic statutory requirements such as providing contact information for their privacy officers, clearly stating what they do with consumers' personal information and responding to access-to-information requests." 1:18:47 PM  PermaLink   / trackback []

Slashdot | The Death of Privacy  Debra D'Agostino writes,  "Why don't companies care about privacy? Because there's not enough money to be made from securing sensitive customer information, says Jeff Rothfeder in an article posted recently at CIO Insight. Furthermore, there's not enough money to be lost in privacy breaches for companies to care. 'Most companies claim that privacy is a priority -- chiefly because they believe consumers are more willing to do repeat business with them if personal information is carefully handled,' he writes. 'But in reality, many companies are woefully inept at protecting privacy.'" 1:13:51 PM  PermaLink   / trackback []

Attention, Shoplifters (businessweek) Some Macy's (FD ), CVS (CVS ), and Babies 'R' Us stores have installed a system called the Video Investigator, whose advanced surveillance software can compare a shopper's movements between video images and recognize unusual activity. Remove 10 items from a shelf at once, for instance, or open a case that's normally kept closed and locked, and the system alerts guards sitting in a back room -- or pacing the sales floor -- with a chime or flashing screen. The system can predict where a shoplifter is likely to hide (at the ends of aisles, behind floor displays). A search function spots sudden movement that might indicate a large spill, prompting workers to clean up before it leads to a slip-and-fall accident and a costly lawsuit. And if someone opens a back door at 2 a.m., the system will record who sneaked in and link it with snapshots of the previous and next persons to use the door. Alerts, complete with images, can be sent to handheld devices, keeping retailers informed 24/7, says Jumbi Edulbehram, vice-president for strategic marketing at IntelliVid Corp., a Cambridge (Mass.) firm that makes the Video Investigator system. 1:08:04 PM  PermaLink   / trackback []

Slashdot | How Retailers Watch You garzpacho writes,  "With $30 billion lost to shoplifting and employee theft last year, retailers are turning to increasingly sophisticated electronic surveillance systems to fight theft. Some systems, like RFID tags, have been well-publicized by privacy advocates. Others are less well known: video surveillance systems are being tied to software that can recognize specific types of activity and identify individuals; and data-mining software is being used to analyze everything from shoppers' habits to irregular register activity."  --- From the article:  "Despite this revolution in retail tech, you won't find many stores bragging about their new security tools. No one wants to tip off shoplifters or advertise that they suspect their customers. That's why so much of the technology is hidden in the first place. But another reason stores don't talk much about surveillance is that they know it sparks concerns about privacy. Consumer groups and legislators have opposed the spread of RFID and video surveillance for just that reason." 1:00:39 PM  PermaLink   / trackback []

Chase discards tapes with data on 2.6M Circuit City customers About 2.6 million current and former Circuit City credit card account holders are being notified by credit card vendor Chase Card Services that five computer data tapes containing their personal information were mistakenly identified as trash and thrown away by Chase personnel in July. In a statement yesterday, Chase said that no misuse of the credit card information has been reported and that the tapes are believed to have been destroyed in processing. "Working closely with federal and local law enforcement, Chase conducted a thorough investigation and believes that the tapes, contained within a locked box, were compacted, destroyed and are buried in a landfill where the trash was taken," the company said. "We deeply regret that this has occurred and apologize to those impacted," said Rich Srednicki, CEO of Chase Card Services, which issues co-branded and private-label credit cards for Circuit City, in a statement. "We have found no evidence that the tapes or their contents have been accessed or misused. The privacy of our customers' personal information is of utmost importance to us, and we take the responsibility to safeguard this information very seriously." 12:55:54 PM  PermaLink   / trackback []

Chase Data for 2.6 Million Ends up in Landfill ?? Chase Data for 2.6 Million Ends up in Landfill. svonkie writes to mention a ComputerWorld story about some bad news from some 2.6 Million Chase credit card customers. These folks are being told that tape backups with their information were mistakenly thrown away back in July. There's apparently no need to worry about possibility of compromised personal information; the company believes the tapes were destroyed at a landfill. Just the same, "To prevent similar incidents, Chase said it is strengthening its security procedures and is conducting a review of all data storage and protection processes. Chase began notifying the affected customers about the incident yesterday and said the process is expected to take two to three weeks. The company is offering one year of free credit monitoring to people whose Social Security numbers were on the tapes." [Slashdot: Your Rights Online] 12:52:12 PM  PermaLink   / trackback []

Controversy Erupts Over Craigslist Prank. Controversy Erupts Over Craigslist Prank.  An anonymous reader writes to mention something of an ongoing controversy over a recent Craigslist prank. Waxy.org has the full details:  "On Monday, a Seattle web developer named Jason Fortuny started his own Craigslist experiment. The goal: 'Posing as a submissive woman looking for an aggressive dom, how many responses can we get in 24 hours?' He took the text and photo from a sexually explicit ad in another area, reposted it to Craigslist Seattle, and waited for the responses to roll in ... '178 responses, with 145 photos of men in various states of undress. Responses include full e-mail addresses (both personal and business addresses), names, and in some cases IM screen names and telephone numbers.' In a staggering move, he then published every single response, unedited and uncensored, with all photos and personal information to Encyclopedia Dramatica." ---  The Wired blog 27B Stroke 6 has analysis of the prank, which author Ryan Singel views as 'sociopathic'. He then follows that up with responses to comments from his analysis, with further exploration of the weighty issues this juvenile prank has brought up. [Slashdot: Your Rights Online] 12:41:52 PM  PermaLink   / trackback []

Guardian Unlimited Business | Bank deals of 5,000 terror suspects tracked The bank accounts of more than 5,000 suspected terrorists are being monitored by Britain's biggest financiers following fresh intelligence from MI5. This figure is the security services' highest estimate yet for the number of British-based individuals suspected of involvement in plotting attacks. Senior banking sources have told The Observer that 200 current accounts have recently been frozen as part of the fight against the financing of jihadist terrorism. The big four banks - Barclays, HSBC, Lloyds TSB and Royal Bank of Scotland, which owns NatWest - have been instructed by MI5 and the US Treasury's Office of Foreign Assets Control to monitor 'suspicious' transactions involving named individuals and companies. Sources at Britain's biggest bank, HSBC, said that 'just north' of 5,000 UK accounts had been 'flagged up' and were being watched as part of evidence-gathering against suspects. 12:36:07 PM  PermaLink   / trackback []

EFF: Breaking News - EFF's Six Tips to Protect Your Online Search Privacy How to Defend Yourself from Privacy Invasions Like AOL's Search Data Disaster San Francisco - In the wake of AOL's publicly revealing customers' Internet search histories, the Electronic Frontier Foundation (EFF) has published "Six Tips to Protect Your Online Search Privacy." AOL's recent disclosure of its users' search logs exposed the private lives of more than a half-million customers. But all the major search engines -- not just AOL -- record search queries and maintain massive databases that reach into the most intimate details of users' lives. When revealed to others, these details can be embarrassing and even cause great harm. In the white paper released today, EFF instructs users on how to follow six privacy tips: 12:33:33 PM  PermaLink   / trackback []

EFF: Breaking News - EFF Project to Uncover Government Surveillance and Privacy Invasions The Freedom of Information Act is a statute that compels the government to disclose details about its activities. EFF's FOIA requests will zero in on collection and use of information about Americans, the increasing cooperation between the government and the private sector, and federal agencies' development and use of new information technologies. The FLAG Project -- for FOIA Litigation for Accountable Government -- is spearheaded by two experienced Freedom of Information specialists: Senior Counsel David Sobel and Staff Attorney Marcia Hofmann. "National security and law enforcement demand some level of government secrecy, but too much can enable abuses of power," said Sobel, who will direct EFF's new project. "The NSA's illegal spying program and other recent revelations show that the government has radically expanded its surveillance of ordinary Americans, obtaining untold access to the details of our everyday lives." "While the government has increased its monitoring of its citizens, it's also stepped up efforts to block public scrutiny," said Hofmann. "The public deserves to know what the government is doing, so that it can keep abuses of power in check and challenge violations of privacy." 12:31:10 PM  PermaLink   / trackback []

Bank Accounts of 5,000 UK Terror Suspects Tracked. Bank Accounts of 5,000 UK Terror Suspects Tracked.   Juha-Matti Laurio writes to mention an article over at the Guardian, reporting on the surveillance of over 5,000 bank accounts in the interests of terrorist tracking. Accounts at such reputable British banks as HSBC, Barclay, and Lloyds TSB are having their activity tracked for 'suspicious activity'. Financial details from these banks, it turns out, was part of the trail of evidence used to apprehend terrorism suspects in a plot to bomb airplanes last month. ---  From the article: "However, the extent of the banks' involvement in neutering the terrorist threat has sparked a fierce backlash from some British Muslims amid claims of mistaken identities and the persecution of innocent account-holders. Ahmed Salama was stunned when his HSBC account was frozen nine days ago. He received a letter informing him that HSBC wished to end their relationship after 11 years. The decision left Salama unable to pay 12 bills and his mortgage. Despite repeatedly asking for an explanation, HSBC has only told him it detected 'suspicious' payments in his account." [Slashdot: Your Rights Online] 12:24:19 PM  PermaLink   / trackback []

German TOR Servers Seized. German TOR Servers Seized. mrogers writes "Servers participating in the TOR anonymizing network have been seized by public prosecutors during a child porn crackdown in Germany. TOR provides anonymity for clients and servers by redirecting traffic through a network of volunteer-operated relays; the German prosecutors may have been trying to locate an anonymous server by examining the logs of the captured relays." [Slashdot: Your Rights Online] 12:15:51 PM  PermaLink   / trackback []

The Observer | World | Wikipedia defies China's censors The founder of Wikipedia, the online encyclopaedia written by its users, has defied the Chinese government by refusing to bow to censorship of politically sensitive entries. Jimmy Wales, one of the 100 most influential people in the world according to Time magazine, challenged other internet companies, including Google, to justify their claim that they could do more good than harm by co-operating with Beijing. Wikipedia, a hugely popular reference tool in the West, has been banned from China since last October. Whereas Google, Microsoft and Yahoo went into the country accepting some restrictions on their online content, Wales believes it must be all or nothing for Wikipedia. His stand comes as Irrepressible.info, a joint campaign by The Observer and Amnesty International for free speech on the web, continues with the support of more than 37,000 people around the world. The campaign calls on governments to stop persecuting political bloggers and on IT companies to stop complying with these repressive regimes. 12:13:37 PM  PermaLink   / trackback []

Wikipedia Won't Bow to Chinese Censors. Wikipedia Won't Bow to Chinese Censors. truthsearch writes "Jimmy Wales has defied the Chinese government by refusing to bow to censorship of politically sensitive Wikipedia entries. He challenges other internet companies, including Google, to justify their claim that they could do more good than harm by co-operating with Beijing. Wikipedia has been banned from China since last October. Whereas Google, Microsoft, and Yahoo went into the country accepting some restrictions on their online content, Wales believes it must be all or nothing for Wikipedia. 'We occupy a position in the culture that I wish Google would take up, which is that we stand for the freedom for information.'" [Slashdot: Your Rights Online] 12:11:44 PM  PermaLink   / trackback []

China to Control Reports of Foreign News Agencies. China to Control Reports of Foreign News Agencies. afa writes "According to Xinhuanet.com, Xinhua News Agency on Sunday promulgated a set of measures to regulate the release of news and information in China by foreign news agencies. From the article: 'Where a foreign news agency violates the Measures in one of the following manners, Xinhua News Agency shall give it a warning, demand rectification within a prescribed time limit, suspend its release of specified content, suspend or cancel its qualifications of a foreign news agency for releasing news and information in China, on the merits of each case.'" [Slashdot: Your Rights Online] 12:06:47 PM  PermaLink   / trackback []

Hewlett-Packard's Dunn to step down - Yahoo! News Dunn apologized for the techniques used in the company's probe, which included "pretexting," in which private investigators impersonated board members and journalists to acquire their phone records. "Unfortunately, the investigation, which was conducted with third parties, included certain inappropriate techniques. These went beyond what we understood them to be, and I apologize that they were employed," Dunn said in a statement. The pressure on Dunn to step down began rising sharply Monday when Congress and federal investigators entered the fray surrounding HP's possibly illegal probe of media leaks. The FBI, the U.S. Attorney for Northern California and the House Energy and Commerce Committee all joined the California attorney general and Securities and Exchange Commission in probing the scandal swirling around HP's Board of Directors. 12:04:46 PM  PermaLink   / trackback []

HP's Dunn Stepping Down. HP's Dunn Stepping Down. XJHardware writes "Yahoo news is reporting that Patricia Dunn is stepping down from the chair of HP." From the article: "Hurd will retain his existing positions as chief executive and president and Dunn will remain as a director after she relinquishes the chair on Jan. 18. 'I am taking action to ensure that inappropriate investigative techniques will not be employed again. They have no place in HP,' Hurd said in a statement. Dunn apologized for the techniques used in the company's probe, which included 'pretexting' in which private investigators impersonated board members and journalists to acquire their phone records." [Slashdot: Your Rights Online] 12:01:26 PM  PermaLink   / trackback []