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The EU has slammed the US for its demand that Microsoft surrender overseas data – emails held on Irish servers – saying that the move could contravene international law. The US attempt to make Microsoft provide the emails prompted Viviane Reding, vice-president of the European Commission, to offer support to Microsoft and openly criticize the loss of personal information it could potentially involve. “The commission’s concern is that the extraterritorial application of foreign laws [and orders to companies based thereon] may be in breach of international law,” Reding wrote last week in a letter responding to questions from Dutch MEP Sophia in't Veld, reported the Financial Times on Monday. The move would “hurt the competitiveness of US cloud providers in general,” Microsoft said, adding that: “Microsoft and US technology companies have faced growing mistrust and concern about their ability to protect the privacy of personal information located outside the US.”

Reding added that the US “may impede the attainment of the protection of individuals guaranteed” under EU law. Her statement further echoes arguments laid out by Apple, Cisco, AT&T, and Verizon, which supported Microsoft against the US warrant. At the beginning of June, Microsoft compared the warrant to an authorization for federal agents ‘to break down the doors’ of its Dublin facility. Reding said the US should have leaned away from coercion and instead depended on mutual legal assistance treaties that facilitate law enforcement agency cooperation.

“Companies bound by EU data protection law who receive such a court order are caught in the middle of such situations where there is, as you say in your letter, a conflict of laws,” Reding wrote.

Internet service providers from around the world are lodging formal complaints against the UK government's monitoring service, GCHQ, alleging that it uses "malicious software" to break into their networks.The claims from seven organisations based in six countries – the UK, Netherlands, US, South Korea, Germany and Zimbabwe – will add to international pressure on the British government following Edward Snowden's revelations about mass surveillance of the internet by UK and US intelligence agencies.The claims are being filed with the investigatory powers tribunal (IPT), the court in London that assesses complaints about the agencies' activities and misuse of surveillance by government organisations. Most of its hearings are held at least partially in secret.

The IPT is already considering a number of related submissions. Later this month it will investigate complaints by human rights groups about the way social media sites have been targeted by GCHQ.The government has defended the security services, pointing out that online searches are often routed overseas and those deemed "external communications" can be monitored without the need for an individual warrant. Critics say that such a legal interpretation sidesteps the need for traditional intercept safeguards.The latest claim is against both GCHQ, located near Cheltenham, and the Foreign Office. It is based on articles published earlier this year in the German magazine Der Spiegel. That report alleged that GCHQ had carried out an attack, codenamed Operation Socialist, on the Belgian telecoms group, Belgacom, targeting individual employees with "malware (malicious software)".One of the techniques was a "man in the middle" attack, which, according to the documents filed at the IPT, bypasses modern encryption software and "operates by interposing the attacker [GCHQ] between two computers that believe that they are securely communicating with each other. In fact, each is communicating with GCHQ, who collect the communications, as well as relaying them in the hope that the interference will be undetected."The complaint alleges that the attacks were a breach of the Computer Misuse Act 1990 and an interference with the privacy rights of the employees under the European convention of human rights.

The organisations targeted, the submission states, were all "responsible and professional internet service providers". The claimants are: GreenNet Ltd, based in the UK, Riseup Networks in Seattle, Mango Email Service in Zimbabwe, Jinbonet in South Korea, Greenhost in the Netherlands, May First/People Link in New York and the Chaos Computer Club in Hamburg.

Edward Snowden has revealed that he witnessed “numerous instances” of National Security Agency (NSA) employees passing around nude photos that were intercepted “in the course of their daily work.” In a 17-minute interview with The Guardian filmed at a Moscow hotel and published on Thursday, the NSA whistleblower addressed numerous points, noting that he could “live with” being sent to the US prison facility at Guantanamo Bay, Cuba. He also again dismissed any notion that he was a Russian spy or agent—calling those allegations “bullshit.” If Snowden’s allegations of sexual photo distribution are true, they would be consistent with what the NSA has already reported. In September 2013, in a letter from the NSA’s Inspector General Dr. George Ellard to Sen. Chuck Grassley (R-IA), the agency outlined a handful of instances during which NSA agents admitted that they had spied on their former love interests. This even spawned a nickname within the agency, LOVEINT—a riff on HUMINT (human intelligence) or SIGINT (signals intelligence).

“You've got young enlisted guys, 18 to 22 years old,” Snowden said. “They've suddenly been thrust into a position of extraordinary responsibility where they now have access to all of your private records. In the course of their daily work they stumble across something that is completely unrelated to their work in any sort of necessary sense. For example, an intimate nude photo of someone in a sexually compromising position. But they're extremely attractive. “So what do they do? They turn around in their chair and show their co-worker. The co-worker says: ‘Hey that's great. Send that to Bill down the way.’ And then Bill sends it to George and George sends it to Tom. And sooner or later this person's whole life has been seen by all of these other people. It's never reported. Nobody ever knows about it because the auditing of these systems is incredibly weak. The fact that your private images, records of your private lives, records of your intimate moments have been taken from your private communications stream from the intended recipient and given to the government without any specific authorization without any specific need is itself a violation of your rights. Why is that in a government database?” Then Alan Rusbridger, The Guardian’s editor-in-chief, asked: “You saw instances of that happening?” “Yeah,” Snowden responded. “Numerous?” “It's routine enough, depending on the company that you keep, it could be more or less frequent. These are seen as the fringe benefits of surveillance positions."

“Is this related to what we talked about before?” Bencsáth said, referring to a previous discussion they’d had about testing new services the company planned to offer customers. “No, something else,” Bartos said. “Can you come now? It’s important. But don’t tell anyone where you’re going.” Bencsáth wolfed down the rest of his lunch and told his colleagues in the lab that he had a “red alert” and had to go. “Don’t ask,” he said as he ran out the door. A while later, he was at Bartos’ office, where a triage team had been assembled to address the problem they wanted to discuss. “We think we’ve been hacked,” Bartos said.

They found a suspicious file on a developer’s machine that had been created late at night when no one was working. The file was encrypted and compressed so they had no idea what was inside, but they suspected it was data the attackers had copied from the machine and planned to retrieve later. A search of the company’s network found a few more machines that had been infected as well. The triage team felt confident they had contained the attack but wanted Bencsáth’s help determining how the intruders had broken in and what they were after. The company had all the right protections in place—firewalls, antivirus, intrusion-detection and -prevention systems—and still the attackers got in.

Bencsáth was a teacher, not a malware hunter, and had never done such forensic work before. At the CrySyS Lab, where he was one of four advisers working with a handful of grad students, he did academic research for the European Union and occasional hands-on consulting work for other clients, but the latter was mostly run-of-the-mill cleanup work—mopping up and restoring systems after random virus infections. He’d never investigated a targeted hack before, let alone one that was still live, and was thrilled to have the chance. The only catch was, he couldn’t tell anyone what he was doing. Bartos’ company depended on the trust of customers, and if word got out that the company had been hacked, they could lose clients. The triage team had taken mirror images of the infected hard drives, so they and Bencsáth spent the rest of the afternoon poring over the copies in search of anything suspicious. By the end of the day, they’d found what they were looking for—an “infostealer” string of code that was designed to record passwords and other keystrokes on infected machines, as well as steal documents and take screenshots. It also catalogued any devices or systems that were connected to the machines so the attackers could build a blueprint of the company’s network architecture. The malware didn’t immediately siphon the stolen data from infected machines but instead stored it in a temporary file, like the one the triage team had found. The file grew fatter each time the infostealer sucked up data, until at some point the attackers would reach out to the machine to retrieve it from a server in India that served as a command-and-control node for the malware.

Web giants such as Twitter, Facebook and WhatsApp have become "command-and-control networks... for terrorists and criminals", GCHQ's new head has said. Islamic State extremists had "embraced" the web but some companies remained "in denial" over the problem, Robert Hannigan wrote in the Financial Times. He called for them to do more to co-operate with security services. However, civil liberties campaigners said the companies were already working with the intelligence agencies. None of the major tech firms has yet responded to Mr Hannigan's comments.

GCHQ, terrorists, and the internet: what are the issues? GCHQ v tech firms: Internet reacts Change at the top for Britain's

Mr Hannigan said IS had "embraced the web as a noisy channel in which to promote itself, intimidate people, and radicalise new recruits." The "security of its communications" added another challenge to agencies such as GCHQ, he said - adding that techniques for encrypting - or digitally scrambling - messages "which were once the preserve of the most sophisticated criminals or nation states now come as standard". GCHQ and its sister agencies, MI5 and the Secret Intelligence Service, could not tackle these challenges "at scale" without greater support from the private sector, including the largest US technology companies which dominate the web, he wrote.

A district court in California has issued a ruling in favor of the National Security Agency in a long-running case over the spy agency’s collection of Internet records.The challenge against the controversial Upstream program was tossed out because additional defense from the government would have required “impermissible disclosure of state secret information,” Judge Jeffrey White wrote in his decision.ADVERTISEMENTUnder the program — details of which were revealed through leaks from Edward Snowden and others — the NSA taps into the fiber cables that make up the backbone of the Internet and gathers information about people's online and phone communications. The agency then filters out communications of U.S. citizens, whose data is protected with legal defenses not extended to foreigners, and searches for “selectors” tied to a terrorist or other target.In 2008, the Electronic Frontier Foundation (EFF) sued the government over the program on behalf of five AT&T customers, who said that the collection violated the constitutional protections to privacy and free speech.

But “substantial details” about the program still remain classified, White, an appointee under former President George W. Bush, wrote in his decision. Moving forward with the merits of a trial would risk “exceptionally grave damage to national security,” he added. <A HREF="http://ws-na.amazon-adsystem.com/widgets/q?rt=tf_mfw&ServiceVersion=20070822&MarketPlace=US&ID=V20070822%2FUS%2Fthehill07-20%2F8001%2Fdffbe72d-f425-4b83-b07e-357ae9d405f6&Operation=NoScript">Amazon.com Widgets</A> The government has been “persuasive” in using its state secrets privilege, he continued, which allows it to withhold evidence from a case that could severely jeopardize national security.   In addition to saying that the program appeared constitutional, the judge also found that the AT&T customers did not even have the standing to sue the NSA over its data gathering.While they may be AT&T customers, White wrote that the evidence presented to the court was “insufficient to establish that the Upstream collection process operates in the manner” that they say it does, which makes it impossible to tell if their information was indeed collected in the NSA program.  The decision is a stinging rebuke to critics of the NSA, who have seen public interest in their cause slowly fade in the months since Snowden’s revelations.

The EFF on Tuesday evening said that it was considering next steps and noted that the court focused on just one program, not the totality of the NSA’s controversial operations.“It would be a travesty of justice if our clients are denied their day in court over the ‘secrecy’ of a program that has been front-page news for nearly a decade,” the group said in a statement.“We will continue to fight to end NSA mass surveillance.”The name of the case is Jewel v. NSA. 

AMERICAN AND BRITISH spies hacked into the internal computer network of the largest manufacturer of SIM cards in the world, stealing encryption keys used to protect the privacy of cellphone communications across the globe, according to top-secret documents provided to The Intercept by National Security Agency whistleblower Edward Snowden. The hack was perpetrated by a joint unit consisting of operatives from the NSA and its British counterpart Government Communications Headquarters, or GCHQ. The breach, detailed in a secret 2010 GCHQ document, gave the surveillance agencies the potential to secretly monitor a large portion of the world’s cellular communications, including both voice and data. The company targeted by the intelligence agencies, Gemalto, is a multinational firm incorporated in the Netherlands that makes the chips used in mobile phones and next-generation credit cards. Among its clients are AT&T, T-Mobile, Verizon, Sprint and some 450 wireless network providers around the world. The company operates in 85 countries and has more than 40 manufacturing facilities. One of its three global headquarters is in Austin, Texas and it has a large factory in Pennsylvania. In all, Gemalto produces some 2 billion SIM cards a year. Its motto is “Security to be Free.”

With these stolen encryption keys, intelligence agencies can monitor mobile communications without seeking or receiving approval from telecom companies and foreign governments. Possessing the keys also sidesteps the need to get a warrant or a wiretap, while leaving no trace on the wireless provider’s network that the communications were intercepted. Bulk key theft additionally enables the intelligence agencies to unlock any previously encrypted communications they had already intercepted, but did not yet have the ability to decrypt.

Leading privacy advocates and security experts say that the theft of encryption keys from major wireless network providers is tantamount to a thief obtaining the master ring of a building superintendent who holds the keys to every apartment. “Once you have the keys, decrypting traffic is trivial,” says Christopher Soghoian, the principal technologist for the American Civil Liberties Union. “The news of this key theft will send a shock wave through the security community.”

Thousands of people are signing up to join an unprecedented legal campaign against the United Kingdom’s leading electronic surveillance agency. On Monday, London-based human rights group Privacy International launched an initiative enabling anyone across the world to challenge covert spying operations involving Government Communications Headquarters, or GCHQ, the National Security Agency’s British counterpart. The campaign was made possible following a historic court ruling earlier this month that deemed intelligence sharing between GCHQ and the NSA to have been unlawful because of the extreme secrecy shrouding it.

Consequently, members of the public now have a rare opportunity to take part in a lawsuit against the spying in the Investigatory Powers Tribunal, a special British court that handles complaints about surveillance operations conducted by law enforcement and intelligence agencies. Privacy International is allowing anyone who wants to participate to submit their name, email address and phone number through a page on its website. The group plans to use the details to lodge a case with GCHQ and the court that will seek to discover whether each participant’s emails or phone calls have been covertly obtained by the agency in violation of the privacy and freedom of expression provisions of the European Convention on Human Rights. If it is established that any of the communications have been unlawfully collected, the court could force GCHQ to delete them from its vast repositories of intercepted data.

By Tuesday evening, more than 10,000 people had already signed up to the campaign, a spokesman for Privacy International told The Intercept. In a statement announcing the campaign on Monday, Eric King, deputy director of Privacy International, said: “The public have a right to know if they were illegally spied on, and GCHQ must come clean on whose records they hold that they should never have had in the first place. “We have known for some time that the NSA and GCHQ have been engaged in mass surveillance, but never before could anyone explicitly find out if their phone calls, emails, or location histories were unlawfully shared between the U.S. and U.K. “There are few chances that people have to directly challenge the seemingly unrestrained surveillance state, but individuals now have a historic opportunity finally hold GCHQ accountable for their unlawful actions.”

Three cases that likely lay the groundwork for a major privacy battle at the U.S. Supreme Court are pending before federal appeals courts, whose judges are taking their time announcing whether they believe the dragnet collection of Americans' phone records is legal. It’s been more than five months since the American Civil Liberties Union argued against the National Security Agency program in New York, three months since legal activist Larry Klayman defended his thus far unprecedented preliminary injunction win in Washington, D.C., and two months since Idaho nurse Anna Smith’s case was heard by appeals judges in Seattle. At the district court level, judges handed down decisions about a month after oral arguments in the cases. It’s unclear what accounts for the delay. It’s possible judges are meticulously crafting opinions that are likely to receive wide coverage, or that members of the three-judge panels are clashing on the appropriate decision.

Attorneys involved in the cases understandably are reluctant to criticize the courts, but all express hope for speedy resolution of their fights against alleged violations of Americans’ Fourth Amendment rights.

Though it’s difficult to accurately predict court decisions based on oral arguments, opponents of the mass surveillance program may have reason for optimism.

WikiLeaks releases today the "Investment Chapter" from the secret negotiations of the TPP (Trans-Pacific Partnership) agreement. The document adds to the previous WikiLeaks publications of the chapters for Intellectual Property Rights (November 2013) and the Environment (January 2014). The TPP Investment Chapter, published today, is dated 20 January 2015. The document is classified and supposed to be kept secret for four years after the entry into force of the TPP agreement or, if no agreement is reached, for four years from the close of the negotiations. Julian Assange, WikiLeaks editor said: "The TPP has developed in secret an unaccountable supranational court for multinationals to sue states. This system is a challenge to parliamentary and judicial sovereignty. Similar tribunals have already been shown to chill the adoption of sane environmental protection, public health and public transport policies." Current TPP negotiation member states are the United States, Japan, Mexico, Canada, Australia, Malaysia, Chile, Singapore, Peru, Vietnam, New Zealand and Brunei. The TPP is the largest economic treaty in history, including countries that represent more than 40 per cent of the world´s GDP.

The Investment Chapter highlights the intent of the TPP negotiating parties, led by the United States, to increase the power of global corporations by creating a supra-national court, or tribunal, where foreign firms can "sue" states and obtain taxpayer compensation for "expected future profits". These investor-state dispute settlement (ISDS) tribunals are designed to overrule the national court systems. ISDS tribunals introduce a mechanism by which multinational corporations can force governments to pay compensation if the tribunal states that a country's laws or policies affect the company's claimed future profits. In return, states hope that multinationals will invest more. Similar mechanisms have already been used. For example, US tobacco company Phillip Morris used one such tribunal to sue Australia (June 2011 – ongoing) for mandating plain packaging of tobacco products on public health grounds; and by the oil giant Chevron against Ecuador in an attempt to evade a multi-billion-dollar compensation ruling for polluting the environment. The threat of future lawsuits chilled environmental and other legislation in Canada after it was sued by pesticide companies in 2008/9. ISDS tribunals are often held in secret, have no appeal mechanism, do not subordinate themselves to human rights laws or the public interest, and have few means by which other affected parties can make representations. The TPP negotiations have been ongoing in secrecy for five years and are now in their final stages. In the United States the Obama administration plans to "fast-track" the treaty through Congress without the ability of elected officials to discuss or vote on individual measures. This has met growing opposition as a result of increased public scrutiny following WikiLeaks' earlier releases of documents from the negotiations.

The TPP is set to be the forerunner to an equally secret agreement between the US and EU, the TTIP (Transatlantic Trade and Investment Partnership). Negotiations for the TTIP were initiated by the Obama administration in January 2013. Combined, the TPP and TTIP will cover more than 60 per cent of global GDP. The third treaty of the same kind, also negotiated in secrecy is TISA, on trade in services, including the financial and health sectors. It covers 50 countries, including the US and all EU countries. WikiLeaks released the secret draft text of the TISA's financial annex in June 2014. All these agreements on so-called “free trade” are negotiated outside the World Trade Organization's (WTO) framework. Conspicuously absent from the countries involved in these agreements are the BRICs countries of Brazil, Russia, India and China. Read the Secret Trans-Pacific Partnership Agreement (TPP) - Investment chapter

Ben Wizner, who is perhaps best known as Edward Snowden’s lawyer, directs the American Civil Liberties Union’s Speech, Privacy & Technology Project. Wizner, who joined the ACLU in August 2001, one month before the 9/11 attacks, has been a force in the legal battles against torture, watch lists, and extraordinary rendition since the beginning of the global “war on terror.” Ad Policy On October 15, we met with Wizner in an upstate New York pub to discuss the state of privacy advocacy today. In sometimes sardonic tones, he talked about the transition from litigating on issues of torture to privacy advocacy, differences between corporate and state-sponsored surveillance, recent developments in state legislatures and the federal government, and some of the obstacles impeding civil liberties litigation. The interview has been edited and abridged for publication.

en Wizner, who is perhaps best known as Edward Snowden’s lawyer, directs the American Civil Liberties Union’s Speech, Privacy & Technology Project. Wizner, who joined the ACLU in August 2001, one month before the 9/11 attacks, has been a force in the legal battles against torture, watch lists, and extraordinary rendition since the beginning of the global “war on terror.” Ad Policy On October 15, we met with Wizner in an upstate New York pub to discuss the state of privacy advocacy today. In sometimes sardonic tones, he talked about the transition from litigating on issues of torture to privacy advocacy, differences between corporate and state-sponsored surveillance, recent developments in state legislatures and the federal government, and some of the obstacles impeding civil liberties litigation. The interview has been edited and abridged for publication.

Many of the technologies, both military technologies and surveillance technologies, that are developed for purposes of policing the empire find their way back home and get repurposed. You saw this in Ferguson, where we had military equipment in the streets to police nonviolent civil unrest, and we’re seeing this with surveillance technologies, where things that are deployed for use in war zones are now commonly in the arsenals of local police departments. For example, a cellphone surveillance tool that we call the StingRay—which mimics a cellphone tower and communicates with all the phones around—was really developed as a military technology to help identify targets. Now, because it’s so inexpensive, and because there is a surplus of these things that are being developed, it ends up getting pushed down into local communities without local democratic consent or control.

Ecuador and Sweden have signed a pact that would allow WikiLeaks founder Julian Assange to be questioned by Swedish authorities at Ecuador's embassy in London where he has been holed up for more than three years since facing sexual assault charges, the Quito government said.The legal agreement was signed in the Ecuadorean capital after half a year of negotiations."It is, without doubt, an instrument that strengthens bilateral relations and will facilitate, for example, the fulfillment of judicial matters such as the questioning of Mr. Assange," the foreign ministry said in a weekend statement.Assange, 44, took refuge in the embassy building in June 2012 to avoid extradition to Sweden, where he is wanted for questioning over allegations of sexual assault and rape against two women in 2010. The Australian denies the accusations.

Assange says he fears Sweden will extradite him to the United States where he could be put on trial over WikiLeaks' publication of classified military and diplomatic documents five years ago, one of the largest information leaks in U.S. history. Britain, which has accused Ecuador of preventing the course of justice by allowing Assange to remain in its embassy in the upmarket central London area of Knightsbridge, welcomed the agreement."It is for the Swedish Prosecutor to decide how they now proceed with a legal case," a spokeswoman for the British Foreign Office said.