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Reports on Tuesday of a New Zealand man who purchased a secondhand MP3 player containing the personal information of U.S. soldiers highlighted the federal government's continuing inability to protect private information on unauthorized, third-party storage devices. New Zealander Chris Ogle bought a used MP3 player in Oklahoma about a year ago, according to New Zealand's public television station, ONE News. A few weeks ago, when he plugged the player into his computer to download a song, Ogle found 60 military files stored on the device, which included names, addresses, and phone and Social Security numbers of U.S. soldiers. The files also contained what appears to be a mission briefing and lists of equipment deployed to Iraq and Afghanistan. Most of the files are dated 2005. ONE News reported that some of the phone numbers on the player are still active. "The more I look at it, the more I see and the less I think I should be," Ogle told ONE News. Ogle offered to return the MP3 player to U.S. officials if requested. Privacy experts say the breach is just the latest example of the federal government's inability to manage the security risk posed by removable storage devices. In November the Defense Department banned the use of removable storage devices after reports that hardware that can be inserted into a USB drive could infect the computer with viruses and worms. A Pentagon spokesman said the military is aware of the latest report form New Zealand, but does not know of any action the department has taken. Michael Maloof, chief technology officer for the information security firm TriGeo Network Security in Post Falls, Idaho, said individuals do not view devices like MP3 players as computers that can store large amounts of private data. "Myself and security experts have been saying for some time that phones and MP3 players are really mass storage devices," he said. The military should "ban all mass storage devices. It may make some people unhappy, but you see the

Do you know where your friends are? If not, Google wants to help you find them. Today, Google introduced Latitude, a new opt-in feature that lets smartphone and laptop users share their location with friends and allows those friends to share their locations in return. Although not pinpoint accurate, Latitude can display your general location based on information from GPS satellites and cell towers. Latitude works on both mobile devices and personal computers. What Latitude can do Once you and your friends have opted in to Latitude, you can see your friends' Google icon displayed on Google Maps. Clicking on their icon allows you to call, email or IM them, and you can even use the directions feature on Google Maps to help you get to their location. Google says Latitude works in 27 countries and with many mobile platforms including iGoogle with your computer. The list of compatible phones are: *Android-powered devices, such as the T-Mobile G1 *iPhone and iPod touch devices (coming soon) *most color BlackBerry devices *most Windows Mobile 5.0+ devices *most Symbian S60 devices (Nokia smartphones) *many Java-enabled (J2ME) mobile phones, such as Sony Ericsson devices (coming soon)

President Barack Obama's plan to overhaul U.S. infrastructure includes constructing a nationwide "smart grid" that promises to help address many of our current energy challenges. The smart grid plan offers the hope that it "will save us money, protect our power sources from blackout or attack, and deliver clean, alternative forms of energy to every corner of our nation." While these are noble societal goals, smart grid technologies and systems as envisioned also raise concerns about individual privacy rights. Part of what makes the smart grid "smart" is its ability to know a lot about the energy-consuming devices in our homes and to monitor activity for those devices to help determine when power should be used or limited. Such knowledge is useful in regulating power consumption to use energy more efficiently. In addition to reaching into homes to regulate devices, information about usage and activities could be extracted from homes. Home energy consumption patterns could be gathered and analyzed on a room-by-room and device-by-device basis to determine which devices are used and at what time of day. Although this sort of information may not be considered terribly invasive for some, for others anything that violates the sanctity of "home" may cause tremendous concern.

Travelers arriving at U.S. borders may soon be confronted with their laptops, PDAs, and other digital devices being searched , copied and even held by customs agents -- all without need to show suspicion for cause. Notices are being proposed by the Privacy Office at the U.S. Department of Homeland Security (DHS), which last week released a report approving the suspicionless searches of electronic devices at U.S. borders. The 51-page Privacy Impact Assessment also supported the right of U.S. Immigration and Customs Enforcement agents to copy, download, retain or seize any content from these devices, or the devices themselves, without assigning any specific reason for doing so. Also, while in many cases searches would be done with the knowledge of the traveler in some situations, the report says, "it is not practicable for law enforcement reasons to inform the traveler that his electronic device has been searched." In arriving at the assessment, the Privacy Office argued that such searches of electronic devices were really no different from searches of briefcases and backpacks. They are needed to interdict and investigate violations of federal law at U.S. borders and have been supported by courts in the past, the assessment said.

As USB devices have evolved into useful storage media, they've also turned into a security nightmare for agencies. The usage of USB devices should be encouraged and embraced to improve productivity, but they also must be managed to minimize the risks inherent with these tools. This paper discusses how USB devices have evolved and looks in-depth at the productivity benefits as well as the potential risks these devices can introduce if not managed properly. This paper also offers recommendations on how to balance the productivity versus risk challenge and highlights how government agencies can effectively manage the usage of USB devices and prevent data loss and malware introduction.

They may be after the phone, but what about the data? How much of your life is on your mobile device? Some misguided companies let employees use personal devices for work. I wonder what an auditor would say about due diligence and due care when data is leaked through such ignorance. Think, before you set a lax password, or none at all. Karl Thieves are increasingly going after iPhones and other smartphones but victims now can fight back with technology. One device allows a user to remotely activate a loud siren designed to rattle the thief. Another application, designed for iPhones, can reveal the phone's location. Police statistics show petty crime is down in New York but anecdotal evidence and recent headlines about street muggings targeting costly and coveted devices like Apple's iPhone and T-Mobile's Sidekick have disturbed smartphone users concerned about protecting access to e-mail, passwords and other data.

Thieves are increasingly going after iPhones and other smartphones but victims now can fight back with technology. One device allows a user to remotely activate a loud siren designed to rattle the thief. Another application, designed for iPhones, can reveal the phone's location. Police statistics show petty crime is down in New York but anecdotal evidence and recent headlines about street muggings targeting costly and coveted devices like Apple's iPhone and T-Mobile's Sidekick have disturbed smartphone users concerned about protecting access to e-mail, passwords and other data.

Legislation aimed at protecting the privacy rights of car owners is drawing objections from auto manufacturers and Progressive Insurance, which hopes to introduce a program in Washington state that charges drivers based partly on how and when they drive.\n\nThe American Civil Liberties Union of Washington is pushing for the legislation, which would require automakers and other companies to inform car owners of the presence of devices that record information about their driving habits.\n\nThat includes event data recorders, or black boxes, installed on most newer cars, as well as electronic equipment such as GPS devices and OnStar, the wireless subscription service from General Motors.\n\nIn addition to requiring notification, a bill sponsored by state Sen. Claudia Kauffman, D-Kent, would clarify that vehicle owners are the owners of the data. With a few exceptions, a court order or the owner's permission would be required in order for a third party to obtain it.\n\nCarrie Tellefson, a lobbyist for Progressive Insurance, testified last week at a House Transportation Committee hearing that Substitute Senate Bill 5574 would prevent the insurance company from introducing its pioneering MyRate insurance program into Washington.\n\nProgressive Insurance first tested the idea of usage-based insurance in 1999. The company introduced the current plan, called MyRate, in 2004 and now offers it in nine states, including Oregon.\n\nCustomers who agree to opt into the program plug a device into their car's onboard diagnostic system, usually somewhere under the dashboard near the steering column. The device records information about how, when, and how much the car is driven, and wirelessly transmits the data back to Progressive's servers.\n\nCustomers are either rewarded with a discount or penalized with a higher rate depending on the information collected.\n\nThe discount can be as much as 30 percent, and the surcharge up to 9 percent.\n\nCustomers can go online and look at perso

Travelers arriving at U.S. borders may soon be confronted with their laptops, PDAs, and other digital devices being searched, copied and even held by customs agents -- all without need to show suspicion for cause. Notices are being proposed by the Privacy Office at the U.S. Department of Homeland Security (DHS), which last week released a report approving the suspicionless searches of electronic devices at U.S. borders. The 51-page Privacy Impact Assessment also supported the right of U.S. Immigration and Customs Enforcement agents to copy, download, retain or seize any content from these devices, or the devices themselves, without assigning any specific reason for doing so.

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"As many as 68,000 members of CalOptima, the Medicaid plan for Orange County, California, may be at risk of identity theft and fraud after several CDs containing their personal information disappeared while in transit, the agency reported. "CalOptima's claims scanning vendor sent the electronic media devices to CalOptima through the U.S. Postal service by certified mail," the agency said. "On Tuesday, October 13, 2009, CalOptima discovered the apparent loss of the devices when the external packaging materials were delivered by the U.S. Postal Service without the box containing the devices." The missing discs include patient information such as names, addresses, Social Security numbers, diagnoses, and billing codes. CalOptima said it notified state and federal agencies of the breach on October 14, and posted an alert on its Web site on October 15."

"A new proof-of-concept (PoC) application enables an attacker to remotely activate a BlackBerry microphone and listen in on surrounding sounds and conversations. The application, called PhoneSnoop, was released last week on the blog of security researcher Sheran Gunasekera. To download and install the application, an attacker would need physical access to a BlackBerry device and to know a PIN, if the owner uses one to lock his or her device. After PhoneSnoop is installed on a device, when a call is received from a preconfigured number, the BlackBerry automatically answers the phone, allowing an attacker to listen in, Marc Fossi, senior researcher at Symantec Security Response told SCMagazineUS.com on Thursday. Once the call is connected, the BlackBerry is set to speakerphone, increasing the microphone's sensitivity to pick up sound from far distances. "First and foremost, the most important thing about this is it's a proof of concept, Fossi said. "It's not something you need to worry about right now.""

(March 31, 2009) First Data Corp. announced on Tuesday it will use technology from Inside Contactless, a French chipmaker, for its Go-Tag product, a sticker that can be affixed to mobile phones to make them work like contactless-payment devices. Under the three-year agreement, Inside Contactless will supply so-called prelams, or chip-and-antenna elements, that card manufacturers can use to manufacture the stickers for First Data. Up to now, Go-Tags have been proprietary devices for use in so-called closed-loop networks involving individual merchants, but with Inside Contactless's technology the product will likely be usable by mid-year on the payWave and PayPass contactless platforms operated by Visa Inc. and MasterCard Inc., pending certification on those systems, according to industry sources. A First Data spokesperson will not comment beyond Tuesday's announcement concerning the company's arrangement with Inside Contactless to provide prelams for Go-Tags. In addition, CPI Card Group, a card manufacturer based in Littleton, Colo., last fall said it expected to ship millions of contactless stickers based on prelams from Inside Contactless (Digital Transactions News, Oct. 15, 2008). CPI's customers are financial institutions interested in using the stickers to permit contactless transactions on payWave and PayPass. CPI is a manufacturer of Go-Tags, but will not comment on any plans for that product. First Data's deal with Inside Contactless follows by one day an announcement by Blaze Mobile Inc., an Alameda, Calif.-based provider of applications for mobile devices, that it is introducing a similar sticker that will work on the PayPass platform. The product works with the Blaze Mobile Wallet, a service the 4-year-old company launched a year ago when it was known as Mobile Candy Dish Inc. (Digital Transactions News, April 10, 2008). The stickers link to prepaid accounts managed by MetaBank, a Storm Lake, Iowa-based unit of Meta Financial Group Inc. Devel

In a 4-to-3 ruling, the New York State Court of Appeals ruled on Tuesday that the State Police violated a criminal suspect's rights under the State Constitution when it placed a GPS tracking device inside the bumper of his van without obtaining a warrant. The police had used the device to monitor the movements of the suspect, Scott C. Weaver, for more than two months. But the court ordered the evidence gathered from the device suppressed and ordered a new trial for Mr. Weaver. In three written opinions, the judges on the court debated the constitutional issues raised by the growing use of global positioning system technology as a tool of surveillance. The case could set an important precedent for state and local police agencies.

"In light of a spike in identity theft and the frequency with which personal information is stored on portable devices, the American Institute of Certified Public Accountants (AICPA) and the Canadian Institute of Chartered Accountants (CICA) have expanded Generally Accepted Privacy Principles (GAPP) to include protocols for securing and disposing of personal information. "Safeguarding personal information is one of the most challenging responsibilities facing an organization, whether such information pertains to employees or customers," said Everett C. Johnson, CPA, chair of AICPA/CICA Privacy Task Force and a past international president of ISACA, a global information technology association. "We've updated the criteria of our privacy principles to minimize the risks to personal information." GAPP offers guidance and best practices on securing portable devices, breach management and ensuring continued effectiveness of privacy controls. The guidance additionally covers disposal and destruction of personal information. The principles are designed for chief privacy officers, executive management, compliance officers, legal counsel, CPAs and CAs offering technology advisory services. "Portable tools such as laptops and memory sticks provide convenience to employees but appropriate measures must be put in place to secure them and the data they contain," said Donald Sheehy, CA.CISA, CIPP/C, associate partner with Deloitte (Canada) and a member of the AICPA/CICA Privacy Task Force. "We must stay abreast of technological advances to assure that proper measures are put into place to defend against any new threats." Created by the AICPA/CICA Privacy Task Force, GAPP is designed to help an organization's management team assess an existing privacy program or address privacy obligations and risks. The principles provide a framework for CPAs and CAs to offer privacy services to their clients and employers, such as advisory services, privacy risk assessments and attestation or

"Medical records for about 15,500 Northern California Kaiser patients - about 9,000 of them in the Bay Area - were compromised after thieves stole an external drive from a Kaiser employee's car last month, Kaiser officials said Tuesday." Kaiser officials said the electronic device contained patients' names, medical record numbers and possibly ages, genders, telephone numbers, addresses and general information related to their care and treatment. No Social Security numbers or financial information was contained on the drive, and Kaiser officials said there's no evidence that the information has been used inappropriately. The device was not encrypted, but some of the information was password protected. Kaiser has sent letters to the 15,500 members and the employee, who Kaiser would not identify, has been fired.

Another hospital employee fired for inappropraite access of medical records. More damage to a medical group reputation because someone failed to get the message.

The rap on the iPhone and iPod touch is that it's chiefly an entertainment device. (After all the software keyboard is damn irritating.) But the Army doesn't think so. Newsweek reports that the military is very high on the touch, since it's priced at about a third the price of an iPhone. Since it's a app platform, the Army can update soldiers' capabilities with the touch of a button and touch lets soldiers network their intelligence. Next Wave Systems in Indiana, is expected to release iPhone software that would enable a soldier to snap a picture of a street sign and, in a few moments, receive intelligence uploaded by other soldiers (the information would be linked by the words on the street sign). This could include information about local water quality or the name and photograph of a local insurgent sympathizer. The U.S. Marine Corps is funding an application for Apple devices that would allow soldiers to upload photographs of detained suspects, along with written reports, into a biometric database. The software could match faces, making it easier to track suspects after they're released.

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Yahoo Tuesday announced that has developed a feature that will allow users to opt out of behavioral targeting on mobile devices. "We believe the mobile experience should offer the same privacy protections consumers expect to find on the PC," Yahoo said in a blog post announcing the feature. "Furthermore, management of privacy protections should be available via any mobile device, whether that's an iPhone or a Blackberry." Many companies that track people's Web activity on PCs and send them ads notify users about the practice and allow them to opt out. But it's still unusual for behavioral targeting companies in the mobile space to let people opt out. At least a dozen companies say they offer some form of mobile behavioral targeting. But only two appear to allow users to opt out, according to Jules Polonetsky, co-chair and director of the think tank Future of Privacy Forum.

"If you use a Groupon mobile app and you allow sharing through your device, Groupon may collect geo-location information from the device and use it for marketing deals to you (and for other purposes listed in the 'How Groupon Uses Personal Information' section of the Updated Privacy Statement)," the email states. Groupon adds that the changes also address some new types of business relationships the company is forging and new technologies it is implementing or may use.

"Barack Obama's consumer-friendly FCC is asking Verizon Wireless to explain why it recently doubled Early Termination Fees for its customers. The company has until Dec. 17 to explain "the rationale" behind the higher fees. The inquiry comes after Sen. Amy Klobuchar (D-Minn) introduced a bill that would curb the penalties customers are required to pay for early cancellation of a wireless contract. On Nov. 15, Verizon raised the early termination fee for "advanced devices" to $350, from $175 earlier. "

"SACRAMENTO, Calif.-The state Assembly passed a bill Monday that would allow video recorders to be installed on vehicles' dashboards, raising concern about drivers' privacy. Currently, state law prohibits dashboard devices that may obstruct a driver's view. The bill is supported by companies that hire teams of drivers. They want to ensure their employees are driving safely and use the cameras to help determine fault in an accident. The bill's author, Assemblyman Nathan Fletcher, R-San Diego, says companies that use the recorders in other states have reduced their accident claims by 80 percent."

Will your car have to testify against you in court?