CIPP Information Privacy & Security News

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.

The D.C. agency that handles college financial aid requests said yesterday that it had accidentally e-mailed personal information from 2,400 student applicants to more than 1,000 of those applicants. The Office of the State Superintendent of Education (OSSE) said it has notified all students of the breach, which occurred when an employee of the agency's Higher Education Financial Services Program inadvertently attached an Excel spreadsheet to an e-mail. The information included student names, e-mail and home addresses, phone and Social Security numbers and dates of birth. The disclosure involved the "DC OneApp," an online application that allows D.C. students to apply for a series of grant programs. They include DCTAG, which provides awards of up to $10,000 toward the difference between in-state and out-of-state tuition at public four-year-colleges in the 50 states. The accidental disclosure went to about 1,250 DCTAG applicants, officials said. OSSE never publicly announced the breach, which occurred Wednesday. It did express regret for the incident in an e-mail sent to students and parents the next day. A parent made the e-mail available to The Washington Post over the weekend.

Indianapolis - New developments suggest another drug store giant may face punishment for trashing your privacy. Now, Walgreens wants to settle its case - whether the state wants to or not. 13 Investigates discovered personal information in drugstore dumpsters in Indiana and across the country. WTHR exposed the problem at CVS and Walgreens pharmacies three years ago, and the Indiana attorney general's office has been investigating ever since. Walgreens says it finally has a settlement with the state - or does it? "We reached an agreement on the material terms of a settlement agreement," Walgreens attorney Stacy Cook told the Indiana Pharmacy Board Monday morning. The attorney general's office disagreed. "There was never an agreement that was reached," said Deputy Attorney General Morgan Wills. The attorneys met with the pharmacy board at Walgreen's request because the nation's second-largest drug store retailer says it had a deal the attorney general's office backed out on. "It's simply that they've changed their mind," Cook said. The attorney general's office admits it had started to negotiate terms of a settlement with Walgreens in January, but the state later decided to halt its settlement negotiations when the federal government announced a $2.25 million settlement with Walgreens' rival CVS.

More than 6 million current and former customers of online brokerage TD Ameritrade Holding Corp. will be able to benefit from the settlement of a class-action lawsuit filed over the theft of client contact information. Formal notice of a settlement agreement will be sent to people who used TD Ameritrade's services before mid-September 2007. U.S. District Judge Vaughn Walker in San Francisco approved a revised version of the settlement agreement earlier this month despite some misgivings about it. Last summer, Walker rejected an earlier version of the deal. Anyone who held an Ameritrade account or provided an e-mail address to the company before Sept. 14, 2007, could benefit from the lawsuit. The database that was breached included information on 6.2 million people. The plaintiffs in the lawsuit said they received unwanted e-mail ads about certain stocks. The ads appeared to be designed to manipulate the value of thinly traded stocks. Ameritrade officials and one of the lead plaintiff's attorneys, Scott Kamber, have said the data theft has not been linked to cases of identity theft. As part of the proposed settlement, the Omaha-based company will pay nearly $1.9 million in legal fees and cover the cost of one year of anti-spam service for the victims. Ameritrade also promised to better protect customer data. Those terms have not changed from the original proposed settlement. But the new agreement will more clearly state that Ameritrade customers were at risk of identity theft, and it will preserve customers' ability to pursue identity theft claims against Ameritrade. Most of the changes to the agreement happened because the Texas Attorney General's Office and a former named plaintiff objected to the previous deal. In his order, the judge questioned whether the settlement does enough to benefit Ameritrade clients whose information was stolen. "The court is particularly concerned that TD Ameritrade has agreed to pay the class counsel $1.87 million and yet the

Heartland Payment Systems Inc. said it was experiencing losses this quarter as a direct result of a massive data breach it disclosed in January when investigators discovered a malicious program sniffing credit card data passing through its systems. The company said it took a $2.5 million loss for the quarter as a result of spending more than $12.6 million in legal bills, fines from MasterCard and Visa and administrative costs. The announcement was made during the company's financial earnings call, where Carr said the costs associated with the breach could continue to climb. "Our defense of the claims regarding the processing system intrusion remains ongoing," he said. "Much of the legal work remains to be done and it is difficult to anticipate when these matters will come to a conclusion." Carr also admitted for the first time that since the Princeton, N.J.-based processing giant announced a breach of its systems, some of the payment processor's clients have switched to competitors as a result of the breach. He said some competing processors resorted to scare tactics. "We have had many competitors that have been very supportive and professional, and we certainly don't want to tar all of our competitors with the same brush," Carr said. "We have had some competitors telling merchants falsely that they would be fined $10,000 a day if they stay with Heartland. We think we're through the worst of that." Car said less than $1 million of the breach costs were fines levied by MasterCard and Visa against the company's sponsored banks. The fines are being contested, he said. More than $500,000 relates to a fine assessed by MasterCard against the sponsored banks in which the card company said Heartland failed to take appropriate action upon learning that a breach was suspected. Carr said the fine is in direct violation of both the MasterCard rules and law.

The National Institute of Standards and Technology (NIST) has proposed rules for a new automated method of checking security settings on federal computers. The process is known as the Security Content Automation Protocol (SCAP), and NIST has offered both programs and recommendations designed to help federal agencies use the system effectively. The proposed rules follow a July 2008 order from the Office of Management and Budget requiring federal agencies to use SCAP-validated products to measure compliance with a mandated group of security settings that run Windows XP and Vista. Public comments can be made on the NIST proposal until June 12.

There's a great deal of classified information in federal government databases that never should become public. Some of this information, involving the military or the intelligence world, must be made available to contractors by necessity, and that data should be closely guarded and kept confidential. But an alarming new article that we report on this week illustrates this is not always the case, and that information can inadvertently seep out from a classified venue and make it into the public's hands. It turns out that secret information about a U.S. missile defense system was found on the hard drive of a computer discarded by a major contractor, and sold on eBay. The discarded computer, reported the Guardian newspaper in Great Britain, contained documents from defense contractor Lockheed Martin that included detailed test launch procedures, photos and personal data of employees. The hard drive was turned over to the FBI, but one has to wonder how this could have happened and why sufficient controls were not put in place. Apparently, this is not an isolated incident.

It's hardly a bed of roses these days for IT companies and their managers. There are plenty of things nagging at high-tech vendors, too, according to the annual RiskFactor Report for Technology Businesses published by the financial consultancy, BDO Seidman. The information was gleaned from fiscal year 2008 10-K SEC filings of the 100 largest publicly traded U.S. tech companies. Strong competition and consolidation risk factors top the list of IT managers' concerns. Failure to develop new products or services is also a big headache. Other items making the worry list: * International operations. * Management of current and future M&As. * And, for the first time: Natural disasters, war, conflicts and terrorist attacks. So how should a top manager deal with all this uncertainty? Play some tennis, go for a run, gobble a few Tums and then forge ahead with the best ideas you have.

GovLoop (http://govloop.com), an online community created for and by government employees, announced today it has signed up its 10,000th member less than a year after launching. Dubbed by some as a "Facebook for Feds," GovLoop brings together government employees from the U.S. and other nations to discuss ideas, share best practices and create a community dedicated to the betterment of government. A revolution is happening in government as the result of a new generation of government employees, the rise of Web 2.0 technologies, and the Obama administration's focus on transparency, participation, and collaboration. This revolution is often called "Government 2.0" and GovLoop is at the center of this movement. The social network was developed by Steve Ressler, a 28-year old federal employee from Tampa, Fla. who is also a co-founder of Young Government Leaders (http://youngovernmentleaders.org). Fed up with the silos that existed across government agencies, including artificial barriers between levels of government, rank and age, Ressler believed there had to be a better way to share information, so he launched GovLoop.com in June 2008.

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.

The head of Calgary's Drop-In Centre says he is astounded by the controversy surrounding the shelter's use of a handprint-based security system, with the latest salvo coming from the province's privacy commissioner on Friday. "People . . . have no idea what we're going through here,"said the centre's executive director Dermot Baldwin, adding he now has three staff off work because of beatings. "We're going to (take) the measures necessary to make this place safe, secure, a good place to come . . . but in order to do that, I've got to keep the bad guys out." The comments came after Alberta's privacy commissioner said he's concerned about a new security system the Drop-In Centre is testing, which includes the scanning of clients' handprints to confirm their identification. Frank Work said Friday the home-less shelter's system of scanning and collecting handprints will likely lead to the creation of a database that will store that information.

Hackers, possibly from Asia, have stolen about a decade's worth of personal information on current and former UC-Berkeley students, the university announced Friday. The breaches involved records dating to 1999 at the school's health center that included Social Security numbers, health insurance information, immunization history and the names of treating physicians. No other treatment-related records were stolen, the university said, although self-reported medical histories of students who studied abroad were hacked. The school on Friday sent e-mails and letters to 160,000 people, including about 3,400 Mills College students who used or were eligible for University of California-Berkeley medical services. About 97,000 people are most at risk because their names and Social Security numbers could be connected by the hackers, said Steve Lustig, the university's associate vice chancellor for health and human services. "What's been taken is bits of data that the thief might put together into an identity," he said. The university traced the hackers back to Asia, possibly China, but the exact origin could not be pinpointed. UC and FBI investigators are probing the breaches, which apparently occurred over several months. An FBI spokesman said the agency was informed of the hacking immediately, but declined to provide more information. The thefts were discovered about a month ago, but system administrators did Advertisement not realize the breadth of the attack until April 21. The hackers disguised their work as routine operations and then left taunting messages for UC-Berkeley employees, said Shelton Waggener, the university's associate vice chancellor for information technology. The thieves accessed the information through the university Web site, he said. "You should think of it as a public building," Waggener said. "They got into the building properly, but then they broke into secure areas." Administrators at Mills College, which contracts with UC-Berkeley for

Concerned that Google knows too much about you? The company provides many ways to protect your privacy online -- you just need to find them. Here are six good ones. 1. Know your privacy rights: Use the Google Privacy Center. This site includes all of Google's privacy policies, as well as privacy best practices for each of its products and services. Although the "legalese" of privacy policies can be difficult to understand, Google's Privacy Channel offers a library of short YouTube videos with practical tips on protecting your data when using Google products and services. Try the "Google Search Privacy" and "Google Privacy Tips" series. 2. Protect your content on the services you use. Some content that Google stores for you, such as photos uploaded in Picasa Web Albums, are public by default. You can protect your privacy when you upload photos by choosing the appropriate checkbox. Choices include "unlisted" (accessible only if you have the Web link, and not indexed by Web search engines) or private (viewable only by named users who must sign in). Another example: You can take a Google Chat "off the record" if you don't want the instant messaging transcript stored. In contrast, Google Latitude, which tracks your whereabouts by way of GPS-enabled cell phones, does not share your location data by default. You must authorize others to see it. Latitude stores your last known location, but not your history. 3. Turn off the suggestion feature in the Chrome browser. By default, Chrome retains a history of Web sites you've visited -- and the full text of those pages -- so it can try to guess which Web address you want as you type in the "Omnibox." You can turn the feature off by going to "Under the Hood" under Options and unchecking the "Use a suggestion service" box. You can also select other privacy options, including surfing in Chrome's "incognito" mode. 4. Turn off Web History. You may have turned on the Web History option, also called Personalized Search, when yo

When the director of IT at a Boston-based, midsize pharmaceutical firm was first approached to participate in a data leakage audit, he was thrilled. He figured the audit would uncover a few weak spots in the company's data leak defenses and he would then be able to leverage the audit results into funding for additional security resources. "Data leakage is an area that doesn't get a lot of focus until something bad happens. Your biggest hope is that when you raise concerns about data vulnerability, someone will see the value in allowing you to move forward to protect it," the IT director says. But he got way more than he bargained for. The 15-day audit identified 11,000 potential leaks, and revealed gaping holes in the IT team's security practices. (Read a related story on the most common violations encountered.) The audit, conducted by Networks Unlimited in Hudson, Mass., examined outbound e-mail, FTP and Web communications. The targets were leaks of general financial information, corporate plans and strategies, employee and other personal identifiable information, intellectual property and proprietary processes. Networks Unlimited placed one tap between the corporate LAN and the firewall and a second tap between the external e-mail gateway and the firewall. Networks Unlimited used WebSense software on two servers to monitor unencrypted traffic. Then it analyzed the traffic with respect to company policy. Specifically, Networks Unlimited looked for violations of the pharmaceutical firm's internal confidentiality policy, corporate information security policy, Massachusetts Privacy Laws (which go into effect in 2010), Health Insurance Portability and Accountability Act (HIPAA), and Security and Exchange Commission and Sarbanes-Oxley regulations. Auditor Jason Spinosa, senior engineer at Networks Unlimited, says that while he selected the criteria for this audit, he usually recommends that companies take time to determine their policy settings based on their risk

Consumer Watchdog has sent the U.S. Justice Department a Google document presenting the best corporate arguments for why Google should not be viewed as monopolistic, along with a duplicate of the presentation marked up with comments from an expert countering the claims. The nonprofit consumer group received both documents from an anonymous industry insider. In the presentation, Google seeks to deflate increasing criticism that it is too big and powerful by spin meant to minimize the notion its search and advertising businesses are virtual monopolies. Commentary surrounding the presentation in the second document delivered to Consumer Watchdog presents information countering Google's contentions in what is described as a "Charm Offensive." "As the Justice Department examines the Google book deal and other Google enterprises it deserves to see the play book Google has prepared to deflect scrutiny and insider commentary on how many Google myths lack a basis in reality," said Consumer Watchdog President Jamie Court. "Google's charm and spin should not be allowed to deter anti-trust regulators from seeing the real problems with Google's dominance and setting appropriate limits to protect users."

For months somebody (I don't know who) has been running a Facebook profile that bears my name, my personal information and several photos of me. An old high school friend had connected with the faker, instead of me. Several of the people with whom fake Matt is friends also appeared to be fakes, including a copycat of Vertex Pharmaceuticals ( VRTX - news - people ) founder and chief executive Joshua Boger. (Boger has a real Facebook profile but isn't friends with me. He declined to comment on the fakesters.) I couldn't see this Fake Matt's profile myself, even by searching for my name.

Twitter posts may seem different from e-mail, but legally they aren't, so more companies are including them in their e-discovery policies, reports InformationWeek's Bob Evans. The subject is more than a little confusing, Evans finds, but one thing is clear: If you do have a policy on Twitter posts, it had better be enforced.

Are you an advertiser looking to target mothers online with children under 12 who are concerned about obesity to promote a healthy snack food? Or people that don't support drilling in the Arctic National Wildlife Refuge but support offshore drilling generally? If so, Resonate Networks -- a new ad network geared to nonprofit, political and corporate advertisers -- promises to serve up just the right audience based on highly targeted, if anonymous, profile data focused on political views and attitudes. "It's really drilling down to people's beliefs and where they stand on issues," said Bryan Gernert, CEO of Alexandria, Va.-based Resonate, a non-partisan company launched by former Republican and Democratic political strategists including Harold Ickes, Bill Clinton's former deputy chief of staff and one of Resonate's investors. Unlike traditional ad networks that target advertising based on a site content or audience demographics, Resonate combines survey information, online and offline databases and proprietary algorithms to match Web users' political leanings and levels of activism with sites they tend to visit most often. "You can identify Web sites that have a preponderance of people who support certain issues," that go beyond obvious issue-oriented or political sites, said Gernert. He added that Resonate is already working with 500 of about 2,500 sites that correlate strongly with particular issues or audiences with high levels of engagement or influence.

A TV investigation has revealed that secondhand BlackBerries on Nigerian markets are priced according to the data held on them, not the age or the model of a phone. Jon Godfrey, director of Sims LifeCycle Services, who is advising on a TV investigation into the trade due to screen later this year, said that BlackBerries sell for between $25 to $65 on Lagos markets. Details of the trade come from an agent in Nigeria unaffiliated to Sims' technology recycling business. Godfrey explained that the smart phones offered for sale come from the US, continental Europe and the UK. "It's unclear as yet whether the phones are either sold, thrown away, lost or stolen," Godfrey explained. Other type of smartphone are also of potential interest to data thieves, but it is the trade in BlackBerries that seems to be the most active. Data retrieved from smartphones is itraded by crooks in Nigeria. BlackBerries include technology to remotely wipe devices and come with built-in encryption. But this encryption is often left switched off because it is considered an inconvenience.

A third (34 per cent) of discarded hard disk drives still contain confidential data, according to a new study which unearthed copies of hospital records and sensitive military information on eBayed kit. The study, sponsored by BT and Sims Lifecycle Services and run by the computer science labs at University of Glamorgan in Wales, Edith Cowan University in Australia and Longwood University in the US, also found network data and security logs from the German Embassy in Paris on one purchased drive. Researchers bought 300 drives from eBay, other auction sites, second-hand stalls and car boot sales. A disk bought on eBay contained details of test launch routines for the THAAD (Terminal High Altitude Area Defence) ground to air missile defence system. The same disk also held information belonging to the system's manufacturer, Lockheed Martin, including blueprints of facilities and personal data on workers, including social security numbers. Lockheed Martin denies that the disk came from it. The arm manufacturer has launched an investigation that aims to uncover just how the sensitive data might have been wound up on the disk. Two discs bought in the UK apparently came from Lanarkshire NHS Trust, including patient medical records, images of X-rays and staff letters. Lanarkshire NHS Trust runs the Monklands and Hairmyres hospitals. In Australia, the exercise turned up a disk from a nursing home that contained pictures of actual patients and their wound photos, along with patient details. A hard disk from a US bank contained account numbers and details of plans for a $50bn currency exchange through Spain. Details of business transactions between the bank and organisations in Venezuela, Tunisia and Nigeria were also included. Correspondence between a member of the Federal Reserve Board and the unnamed banks revealed that one of the deals was already under scrutiny by the European Central Bank, and that federal investigators were also taking an interest. Yet anothe