http://news.cnet.com/8301-13578_3-57593538-38/how-the-u.s-forces-net-firms-to-cooperate-on-surveillance/
****
How the U.S. forces Net firms to cooperate on surveillance****

[image: Russian supporters of Edward Snowden, who leaked classified
National Security Agency surveillance documents, rally today in central
Moscow.]****

Russian supporters of Edward Snowden, who leaked classified National
Security Agency surveillance documents, rally today in central Moscow.****

(Credit: Getty Images) ****

By wielding a potent legal threat, the U.S. government is often able to
force Internet companies to aid its surveillance demands. The threat?
Comply or we'll implant our own eavesdropping devices on your network. ****

Under federal law, the National Security Agency can serve real-time
"electronic surveillance" orders on Internet companies for investigations
related to terrorism or national security. ****

These orders, authorized by the Foreign Intelligence Surveillance
Act<http://FAQ-How-far-does-the-new-wiretap-law-go/2100-1029_3-6201032.html>,
are used to feed data into the NSA's PRISM software program that was
revealed<http://8301-13578_3-57588337-38/no-evidence-of-nsas-direct-access-to-tech-companies/>last
month by former intelligence analyst Edward Snowden. PRISM
documents<http://www.washingtonpost.com/wp-srv/special/politics/prism-collection-documents/>indicate
that the NSA can receive "real-time notifications" of user
log-ins. ****

Some Internet companies have reluctantly agreed to work with the government
to conduct legally authorized surveillance on the theory that negotiations
are less objectionable than the alternative -- federal agents showing up
unannounced with a court order to install their own surveillance device on
a sensitive internal network. Those devices, the companies fear, could
disrupt operations, introduce security vulnerabilities, or intercept more
than is legally permitted. ****

"Nobody wants it on-premises," said a representative of a large Internet
company who has negotiated surveillance requests with government officials.
"Nobody wants a box in their network...[Companies often] find ways to give
tools to minimize disclosures, to protect users, to keep the government off
the premises, and to come to some reasonable compromise on the
capabilities." ****

Precedents were established a decade or so ago when the government obtained
legal orders compelling companies to install custom eavesdropping hardware
on their networks. ****

One example, which has not been previously disclosed, arose out of a
criminal investigation in which the Drug Enforcement Administration
suspected a woman of trafficking in
1,4-Butanediol<http://en.wikipedia.org/wiki/1,4-Butanediol>.
The butane-derived chemical is used industrially as a solvent and
recreationally<http://www.health24.com/Natural/Herbs/Herbs-a-z/Butanediol-20120721>as
a date rape drug or sedative.
****

The DEA's Special Operations Division, which includes FBI representatives,
obtained a real-time intercept order -- sometimes called a Title III order
-- against EarthLink and WorldCom, a network provider that's now part of
Verizon Business. Both companies were targeted by the order because
EarthLink routed outgoing e-mail messages through equipment leased from
WorldCom. ****

WorldCom technicians were required to help the DEA install surveillance
equipment that the agency had purchased and provided. Over the course of
the wiretap, the government's hardware vacuumed up over 1,200 e-mail
messages from the targeted account. EarthLink did not respond to a request
for comment this week. ****

FISA gives the government a powerful club to wield against Internet
companies. The law
<http://www.law.cornell.edu/uscode/text/50/1802>requires the firms to
"furnish all information, facilities, or technical
assistance necessary to accomplish the electronic surveillance" as long as
it can be done with a "minimum of interference" with other users. ****

In another case that was closely watched within the industry, the FBI
invoked similar language to force EarthLink to install a Carnivore network
monitoring device, over the company's strenuous objections. EarthLink
challenged the surveillance order in court because it was concerned that
Carnivore would vacuum up more user metadata than the court order
authorized. ****

It lost. A federal magistrate judge sided with the government, despite the
fact that "Carnivore would enable remote access to the ISP's network and
would be under the exclusive control of government agents," Robert
Corn-Revere, an attorney for EarthLink, told
Congress<http://judiciary.house.gov/legacy/corn0406.htm>at the time.
****

Those legal victories allowed the government to strong-arm Internet
companies into reworking their systems to aid in surveillance -- under the
threat of having the FBI install
NarusInsight<http://finance.yahoo.com/news/narus-announces-latest-product-upgrade-185200798.html>or
similar devices on their networks. "The government has a lot of
leverage," including contracts and licenses, said a representative for an
Internet company. "There is a lot of pressure from them. Nobody is
willingly going into this." ****

Jennifer Granick<http://cyberlaw.stanford.edu/about/people/jennifer-granick>,
director of civil liberties at Stanford University's Center for Internet
and Society, said, referring to the government's pressure tactics: ****

They can install equipment on the system. And I think that's why companies
are motivated to cooperate [and] use their own equipment to collect for the
government. They would rather help than let any government equipment on
their service, because then they lose oversight and control. ****

In 1994, then-President Bill Clinton signed into law the Communications
Assistance for Law Enforcement Act, or
CALEA<http://epic.org/privacy/wiretap/calea/calea_law.html>,
which required telephone companies to configure their systems to perform
court-authorized lawful intercepts in a standard way. In 2004, that
requirement was
extended<http://Feds-back-wiretap-rules-for-Internet/2100-7352_3-5296417.html>to
cover broadband providers, but not
Web 
companies<http://8301-1009_3-57428067-83/fbi-we-need-wiretap-ready-web-sites-now/>.
****

A survey of earlier litigation shows, however, that the Justice Department
was able to convince courts to force companies to take steps to permit
surveillance through their networks long before CALEA became law. ****

In 1977, the U.S. Supreme Court
ruled<http://supreme.justia.com/cases/federal/us/434/159/case.html>that
surveillance law is a "direct command to federal courts to compel,
upon request, any assistance necessary to accomplish an electronic
interception." ****

Other courts followed suit. The U.S. Court of Appeals for the Third Circuit
concluded in 1979 that the Bell Telephone Company of Pennsylvania must
comply with a surveillance order because it would cause only "a minimal
disruption of normal operations." The Ninth Circuit ruled against Mountain
Bell a year later, saying a surveillance order "recognized the practical
fact that the actions ordered were technical ones which only that company
could perform." ****

[image: Edward Snowden speaks earlier today after meeting with leading
Russian rights activists and lawyers at Moscow&#39;s Sheremetyevo airport,
where he has been stuck in transit for the last three weeks.]****

Edward Snowden speaks earlier today after meeting with leading Russian
rights activists and lawyers at Moscow's Sheremetyevo airport, where he has
been stuck in transit for the last three weeks. ****

(Credit: Getty Images) ****

If an Internet company offers encryption designed in such a way that even
its engineers can't access users' files or communications, it would be unable
to 
comply<http://8301-13578_3-57577887-38/apples-imessage-encryption-trips-up-feds-surveillance/>with
a FISA or other surveillance order.
****

But with a few exceptions, such as SpiderOak <https://spideroak.com/> and
Fogpad<http://howto.cnet.com/8301-11310_39-57591859-285/two-free-ways-to-encrypt-google-drive-files/>,
nearly all companies use encryption only in transit, meaning data stored on
servers remains unencrypted. ****

That's why Microsoft could be compelled to work with the NSA and the FBI's
Data Intercept Technology Unit to aid in surveillance of Outlook.com and
Hotmail messages, a situation the Guardian
disclosed<http://www.guardian.co.uk/world/2013/jul/11/microsoft-nsa-collaboration-user-data>yesterday,
citing documents provided by Snowden.
****

Internet companies have, on occasion, created "teams of in-house experts"
to figure out how to respond to FISA surveillance orders, The New York
Times reported last
month<http://www.nytimes.com/2013/06/20/technology/silicon-valley-and-spy-agency-bound-by-strengthening-web.html?pagewanted=all>.
****

Microsoft's engineers have quietly designed a system to comply with
government orders, which manages to avoid having a surveillance device
implanted on a internal network. (Microsoft declined to comment for this
article.) ****

One case that used it arose out of a probe into illegal drug sales in
Philadelphia. As part of that investigation, the government obtained a
court order for a real-time wiretap against a Hotmail account. ****

Microsoft's wiretap compliance system worked by forwarding a copy of two
suspects' e-mail messages to a "shadow account" located elsewhere on
Hotmail's servers. Each address under surveillance had a separate "shadow
account" associated with it. ****

Every 15 minutes, an automated process logged in to these shadow accounts
and transferred the retrieved e-mails into "case folders" on computers at a
DEA office in Lorton, Va. ****

Homeland Security agents separately obtained a real-time wiretap of a
Hotmail account used by a man suspected of possessing pornography involving
minors. A case associated with that criminal prosecution, which might
reveal more about surveillance techniques used by Immigration and Customs
Enforcement, remains under seal in a New Jersey federal court. ****

A Google spokesman declined to say this week whether the company could
comply with a wiretap order targeting a Google Hangout or Google Talk
conversation. ****

The government's ability to perform surveillance even when armed with a
court order depends in large part on the decisions engineers made when
designing a product. "Many implementations include an ability to monitor
sessions as a debugging tool," one government official said this week.
"Depending on how things have been built, a real-time wiretap may be
nothing more than turning that on. As an example, all enterprise-grade
Ethernet switches include a monitor port -- not because the FBI demands it,
but because sysadmins need it." ****

Christopher Soghoian <http://www.aclu.org/blog/author/chris-soghoian>,
principal technologist for the ACLU's Speech, Privacy and Technology
Project, said the PRISM disclosures show Internet companies should embrace
strong encryption for their users. "This is a place where the companies
have an opportunity to do something that doesn't hurt their ability to make
money and [that wins] them praise," he said. ****

** **


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