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The Doghouse: IQ Networks (Re: CRYPTO-GRAM, May 15, 2004)
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The Doghouse: IQ Networks (Re: CRYPTO-GRAM, May 15, 2004)
At 3:46 AM -0500 5/15/04, Bruce Schneier wrote: The Doghouse: IQ Networks In general, the Doghouse is a showcase for stupid security companies or products. Snake-oil cryptography, nonsense computer security, that sort of thing. But this month we have something different: a company committing out-and-out fraud. IQ Networks claims to have an impressive advisory board: Ross Anderson, Mihir Bellare, Steve Bellovin, Shafi Goldwasser, Peter Gutmann, Doug Stinson, Ron Rivest, and Markus Kuhn. Unfortunately, none of these people had ever heard of the company. Nor did they agree to have content of theirs on the site. They also claim to be involved with the Honeynet Project -- none of the Honeynet guys had ever heard of them -- and Password Safe: I've never heard of them, either. They have an impressive customer list. I'll bet anything that all of them are fabrications, too. Oh; they're under investigation by SANS for pirating SANS training material. The rest of the site is also amusing, with a lot of generic security gobbledygook and not a whole lot of information. The company claims to do pretty much anything. Would you buy your security services from a company that lies about, um, everything? Website: http://www.iq-net-works.com/ Customer list (hard to find, and will probably be deleted soon): http://www.iq-net-works.com/clientes_english.html Peter Gutmann sent this link to me a few weeks ago, and has challenged the company about their use of his name. In response, the company has pulled their list of technical advisors from its website. It forgot, however, to pull the list from the Spanish website. http://www.iq-net-works.com/spanish/equipo.html Look quickly, I expect it will be gone soon. You can also look them up on archive.org, which has saved the company's list of advisors (also in Spanish) from 2003. (This website is great for finding old versions of webpages, or webpages that are no longer around.) http://web.archive.org/web/20030705082011/www.iq-net-works.com/equipo.h tml or http://tinyurl.com/2dbwj -- - R. A. Hettinga mailto: [EMAIL PROTECTED] The Internet Bearer Underwriting Corporation http://www.ibuc.com/ 44 Farquhar Street, Boston, MA 02131 USA ... however it may deserve respect for its usefulness and antiquity, [predicting the end of the world] has not been found agreeable to experience. -- Edward Gibbon, 'Decline and Fall of the Roman Empire'
Curb electronic surveillance abuses
http://www.newsday.com/news/opinion/ny-vpsch103794744may10,0,4385336,print.story Newsday.com: WARRANTS PROVIDE GUARANTEES Curb electronic surveillance abuses As technological monitoring grows more prevalent, court supervision is crucial BY BRUCE SCHNEIER Bruce Schneier is chief technical officer of Counterpane Internet Security Inc. in Mountain View, Calif. He is the author of Beyond Fear: Thinking Sensibly About Security in an Uncertain World. May 10, 2004 Years ago, surveillance meant trench-coated detectives following people down streets. Today's detectives are more likely to be sitting in front of a computer, and the surveillance is electronic. It's cheaper, easier and safer. But it's also much more prone to abuse. In the world of cheap and easy surveillance, a warrant provides citizens with vital security against a more powerful police. Warrants are guaranteed by the Fourth Amendment and are required before the police can search your home or eavesdrop on your telephone calls. But what other forms of search and surveillance are covered by warrants is still unclear. An unusual and significant case recently heard in Nassau County's courts dealt with one piece of the question: Is a warrant required before the police can attach an electronic tracking device to someone's car? It has always been possible for the police to tail a suspect, and wireless tracking is decades old. The only difference is that it's now much easier and cheaper to use the technology. Surveillance will continue to become cheaper and easier - and less intrusive. In the Nassau case, the police hid a tracking device on a car used by a burglary suspect, Richard D. Lacey. After Lacey's arrest, his lawyer sought to suppress evidence gathered by the tracking device on the grounds that the police did not obtain a warrant authorizing use of the device and that Lacey's privacy was violated. It was believed to be the first such challenge in New York State and one of only a handful in the nation. A judge ruled Thursday that the police should have obtained a warrant. But he declined to suppress the evidence - saying the car belonged to Lacey's wife, not to him, and Lacey therefore had no expectation of privacy. More and more, we are living in a society where we are all tracked automatically all of the time. If the car used by Lacey had been outfitted with the OnStar system, he could have been tracked through that. We can all be tracked by our cell phones. E-ZPass tracks cars at tunnels and bridges. Security cameras record us. Our purchases are tracked by banks and credit card companies, our telephone calls by phone companies, our Internet surfing habits by Web site operators. The Department of Justice claims that it needs these, and other, search powers to combat terrorism. A provision slipped into an appropriations bill allows the FBI to obtain personal financial information from banks, insurance companies, travel agencies, real estate agents, stockbrokers, the U.S. Postal Service, jewelry stores, casinos and car dealerships without a warrant. Starting this year, the U.S. government is photographing and fingerprinting foreign visitors coming into this country from all but 27 other countries. CAPPS II (Computer Assisted Passenger Prescreening System) will probe the backgrounds of all passengers boarding flights. Over New Year's, the FBI collected the names of 260,000 people staying at Las Vegas hotels. More and more, the Big Brother is watching you style of surveillance is becoming a reality. Unfortunately, the debate often gets mischaracterized as a question about how much privacy we need to give up in order to be secure. People ask: Should we use this new surveillance technology to catch terrorists and criminals, or should we favor privacy and ban its use? This is the wrong question. We know that new technology gives law enforcement new search techniques, and makes existing techniques cheaper and easier. We know that we are all safer when the police can use them. And the Fourth Amendment already allows even the most intrusive searches: The police can search your home and person. What we need are corresponding mechanisms to prevent abuse. This is the proper question: Should we allow law enforcement to use new technology without any judicial oversight, or should we demand that they be overseen and accountable? And the Fourth Amendment already provides for this in its requirement of a warrant. The search warrant - a technologically neutral legal requirement - basically says that before the police open the mail, listen in on the phone call or search the bit stream for key words, a neutral and detached magistrate reviews the basis for the search and takes responsibility for the outcome. The key is independent judicial oversight; the warrant process is itself a security measure protecting us from abuse and making us more secure. Much of the rhetoric on the security side of the debate cloaks one of its real aims:
Bring Us Your Small, Unloved Start-Ups
http://www.nytimes.com/2004/05/15/technology/15venture.html?th=pagewanted=printposition= The New York Times May 15, 2004 Bring Us Your Small, Unloved Start-Ups By GARY RIVLIN ilicon Valley is littered with hundreds of former start-ups trapped inside larger technology companies that are no longer happy with the ventures they snapped up in the acquisitions frenzy of the 1990's. Now a pair of Silicon Valley-based venture capitalists have opened an unusual $250 million fund intended to buy and rehabilitate such companies, which Terry Garnett, one of the two founders, calls the orphaned and the unloved. In some cases, the best candidate for running the newly freed company may turn out to be its original creator. We've heard from a number of founders, Mr. Garnett said, who told us, 'Gosh, we sold our business four years ago, and now our baby has been all screwed up and we want it back.' '' The new fund, called Garnett Helfrich Capital, is expected to occupy a long-needed niche within the technology universe's constellation of venture partnerships and private equity groups. Other entities, like Francisco Partners and Silver Lake Partners, specialize in technology buyouts, but they usually focus on deals priced in the hundreds of millions. Garnett Helfrich intends to concentrate on deals, generally under $50 million, too small for these multibillion-dollar firms. Traditional venture capital outfits occasionally participate in these kinds of deals, sometimes called carve-outs, but only sporadically and often in partnership with others. There aren't a lot of venture guys doing tech carve-outs, and none are specializing in it, said Allan Thygesen, a managing director in the Carlyle Group's American-based venture capital fund. It's sort of a forgotten area. Venture capitalists, Mr. Thygesen and others said, are by temperament far more interested in untested, fledgling companies that stir hopes of striking it rich with a new idea rather than those already freighted with baggage. Mr. Garnett was in his prior job as a general partner at Venrock Associates, the venture arm of the Rockefeller family, when he experienced what he described as his aha moment. Along with a partner from Doll Capital Management, he was poised to invest in a new software company that would cloak e-mail messages and instant messaging from everyone but the intended recipient. But then Mr. Garnett and his fellow venture capitalist learned that Network Associates, the computer security company, was looking to sell a unit called PGP, which stands for Pretty Good Privacy, with a similar product already on the market. PGP was a proven technology with a sizable customer base. It was also one of more than 40 companies Network Associates bought over three years starting in 1997 - and one of many acquisitions it was actively seeking to shed after hiring a new chief executive at the start of 2001. Venrock and Doll Capital purchased PGP in August 2002 for significantly less than the $36 million Network Associates paid for it five years earlier, said Phillip Dunkelberger, the company's original chief executive and once again in charge of PGP. That was a real proof of concept for me, Mr. Garnett said. We were able to recast the product and be cash-flow positive six months after buying it. In February 2003, Mr. Garnett and David Helfrich, then a general partner at ComVentures, met for breakfast at Il Fornaio, a popular restaurant in Palo Alto. The two knew each other casually but had grown closer through their daughters, who enjoyed riding horseback in Woodside, Calif. There Mr. Garnett told Mr. Helfrich about PGP. I knew I was in trouble after I didn't sleep a wink that night, Mr. Helfrich said. Four months after that first breakfast, the two gave notice at their respective firms. That summer, Grove Street Advisors, which makes venture capital investments on behalf of large institutions and wealthy individuals, became the new fund's first investor. The fund's largest investor is the Harvard Management Company, the university's investment arm. It's quite unique what the two of them are doing, said Catherine A. Crockett, a founder and general partner at Grove Street. The firm is expecting to do one or two deals a year, and six to eight for the life of the fund, because each will require a great deal of time. Mr. Garnett is a former senior executive at Oracle, the big maker of database software that runs large business systems for many major corporations. Mr. Helfrich was a member of the founding team at Copper Mountain Networks, a maker of equipment for high-speed Internet connections, and his résumé includes turns at the 3Com Corporation and Ascend Communications, two other computer networking equipment makers. Certainly the pool of potential orphans is large. From 1999 to 2001, an average of 3,500 mergers and acquisitions (excluding telecommunications deals) took place each year in the American technology community,
#331: 05-14-04 DEPARTMENTS OF JUSTICE, HOMELAND SECURITY ANNOUNCE CHILD PORNOGRAPHY FILE-SHARING CRACKDOWN
http://www.usdoj.gov/opa/pr/2004/May/04_crm_331.htm FOR IMMEDIATE RELEASE FRIDAY, MAY 14, 2004 WWW.USDOJ.GOV CRM (202) 514-2008 TDD (202) 514-1888 DEPARTMENTS OF JUSTICE, HOMELAND SECURITY ANNOUNCE CHILD PORNOGRAPHY FILE-SHARING CRACKDOWN Law Enforcement Initiative Targets Child Pornography Over Peer-To-Peer Networks WASHINGTON, D.C. - The Department of Justice, the Federal Bureau of Investigation, the Department of Homeland Securityís U.S. Immigration and Customs Enforcement, and the Internet Crimes Against Children (ICAC) Task Forces today announced a national law enforcement initiative aimed at combating the growing volume of illegal child pornography distributed through peer-to-peer (P2P) file trafficking computer networks. Attorney General John Ashcroft, Assistant Attorneys General Christopher A. Wray of the Criminal Division and Deborah Daniels of the Office of Justice Programs, Department of Homeland Security Assistant Secretary for Immigration and Customs Enforcement Michael J. Garcia, FBI Deputy Assistant Director Keith Lourdeau, Office of Juvenile Justice and Delinquency Prevention Administrator J. Robert Flores and Sgt. Scott Christensen of the Nebraska State Patrol announced the initiative at a news conference this afternoon in Washington. The law enforcement operation, which began in the Fall of 2003, has already resulted in the execution of hundreds of searches nationwide, and the identification of thousands of suspect computers used to access the child pornography. The FBI, ICE and the ICACs have opened more than 1,000 domestic investigations into the distribution and possession of child pornography and conducted more than 350 searches. More than 65 individuals have been arrested and charged with crimes to date as a result of this law enforcement effort, with coordination by the Child Exploitation and Obscenity Section of the Criminal Division at the Department of Justice and U.S. Attorneysí Offices across the country. These cases have charged not only offenses related to the possession and distribution of child pornography, but also sexual abuse of children. Further, the investigations have identified several individuals who have previously been convicted of sex offenses and several registered sex offenders. ìNo one should be able to avoid prosecution for contributing to the abuse and exploitation of the nationís children,î said Attorney General Ashcroft. ìThe Department of Justice stands side-by-side with our partners in the law enforcement community to pursue those who victimize our children under the perceived, but false, cloak of anonymity that the peer-to-peer networks provide.î ìThis aggressive, multi-jurisdictional enforcement action will help bring justice to those who exploit our children,î said Assistant Attorney General Wray. ìThis is an impressive demonstration of how law enforcement can effectively address the problem of technology being used to commit illicit and abhorrent crimes against children.î ìThe men and women of state and local law enforcement who comprise the 39 Internet Crimes Against Children task forces are to be commended for their efforts that have resulted in over 50 arrests nationwide,î said Deborah Daniels, Assistant Attorney General for the Office of Justice Programs. ìThe unprecedented cooperation of law enforcement to track the sale and trade of child pornography over the Internet has made this country a safer place for our children.î ìTodayís announcement sends a clear message that the digital environment will not offer sanctity to those pedophiles who lurk in peer-to-peer networks. We will identify you. We will pursue you. We will bring you to justice,î said FBI Director Robert Mueller. ìTodayís announcement also raises public awareness to the inherent risks associated with file-sharing networks. Parents must know that access to these networks is free and exposure to child pornography is often a frightening reality.î ìICE will use its technical expertise and its legal authorities to target those who would purchase child pornography over the internet or trade in those despicable images, said Michael J. Garcia, Department of Homeland Security Assistant Secretary for Immigration and Customs Enforcement. ìBy partnering with our colleagues at the Department of Justice and in local and state law enforcement, we will uncover these transactions and bring the offenders out of the anonymity of cyberspace and into a court of law.î ìAs individuals we have a responsibility to provide love and guidance to our children; as a society, we have a collective duty to defend our children from predators who would stalk them,î said J. Robert Flores, Administrator for the Office of Juvenile Justice and Delinquency Prevention. ìThe Internet Crimes Against Children task forces were developed to prevent child abuse and punish abusers and this joint effort between local and federal law enforcement will send a strong message to those who would
