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Clips November 12, 2002



Clips November 12, 2002

ARTICLES

Bexar County [Texas] officials to launch inquiry into voting problems
States to Vote Today on Internet Sales Tax Plan
Weapons inspectors count on new technology
Eyes become IDs for refugees, air travelers
Baking Soda, Vinegar, and Measuring Cups Become Lab Materials for Online
A Networked World's Final Frontier: The Airplane
Bridex worm bites computer security company
Meeting to mull privacy standard's next step
IT still iffy on Web services
Supreme Court to Decide Internet Library Filters
Her picture became a porn ad
Fighting for online rights
'Duty' of telecoms to assist snooping
FCC Allocates Spectrum for Advanced Wireless Services
FCC Spectrum Policy Task Force Recommends New Regulatory Approach
U.S. technology companies are helping China build its Big Brother Internet
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Houston Chronicle
Bexar County officials to launch inquiry into voting problems
Associated Press

SAN ANTONIO -- Bexar County officials planned to launch an inquiry this week into voting problems that delayed the tabulation of General Election results. Officials will also consider the fate of embattled elections administrator Cliff Borofsky.

At least two commissioners have called for Borofsky to be fired because of the sluggish vote counting, which took nearly 30 hours to complete.
Bexar County commissioners and members of the county Elections Commission were scheduled to meet Monday.


"I have been accused of exercising no leadership and no planning, and it's not the case," Borofsky said Monday, vowing to defend the actions he took before the election and during tabulation of the results.

By the time the polls closed at 7 p.m. on Nov. 5, one-third of the 127,595 early voting ballots cast in the election had been counted. Early ballots are usually counted and prepared to report to the public by that hour.

The Elections Commission, made up of the county judge, tax assessor-collector, county clerk and the local chairmen of the Democratic and Republican parties, were scheduled to discuss Borofsky's fate Thursday.

"I'm interested in convincing Commissioners Court and the Elections Commission that there was a pretty significant planning element that went into this election," he said in Tuesday's editions of the San Antonio Express-News. "That we had difficulties because things were planned, but not executed, was not my specific fault."
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Washington Post
States to Vote Today on Internet Sales Tax Plan
Uncertain Prospects for Approval by Republican Congress
By Brian Krebs
Tuesday, November 12, 2002; 12:00 AM


As the holiday shopping season shifts into high gear, revenue-hungry states will vote today on a plan to tax all Internet sales.

Tax officials and legislators from 31 states -- including Maryland, Virginia and the District -- are meeting in Chicago today to vote on a proposal to simplify their tax laws and enter into a voluntary pact to collect online sales taxes.

"This is a 21st century system that will dramatically improve the morass that currently exists," said Utah Gov. Mike Leavitt (R), a key leader in the states' effort. "I'm confident that this agreement will be approved by a majority of the states and will mark the beginning of a new phase of this process."

The plan up for consideration today is part of a bid to win approval from Congress for a mandatory online sales tax collection regime.

The states participating in the tax effort -- known as the Streamlined Sales Tax Project -- plan to ask Congress to make their proposed tax system mandatory nationwide when at least 10 states representing 20 percent of the U.S. population have amended their laws to implement the program, said R. Bruce Johnson, commissioner of the Utah state tax commission and co-chair of the implementing states group.

"We think that once these states have simplified their systems it will be appropriate for the federal government to reward that effort," Johnson said. "We're doing everything we can to make it clear that the states can work together."

Currently, 45 states and the District of Columbia levy sales taxes, with rates varying from state to state -- and often from town to town.

Under the Streamlined Sales Tax Project proposal, states would be required to establish uniform definitions for taxable goods and services, and maintain a single statewide tax rate for each type of product.

The project also seeks to simplify tax reporting requirements for online sellers, said Jason Feuchtwanger, spokesman for the National Governors Association.

"We're trying to move from a situation where a nationwide vendor is responsible for potentially 7,500 returns to a system where they can just submit a single return to each state and let (the state) handle the disbursements," Feuchtwanger said.

Today's vote is a welcome development for the nation's largest main street retailers, who have argued for years that the current system gives online vendors an edge over so-called "bricks-and-mortar" stores.

"Our ultimate goal is that everybody will have to play by the same rules," said Maureen Riehl, state and industry relations counsel for the National Retail Federation, a trade group that represents nearly 1.4 million stores.

And for states facing rising budget deficits, the stakes are huge. The U.S. General Accounting Office has estimated states lose nearly $13 billion each year on untaxed Internet transactions. That figure will more than triple to $45 billion by 2006, according to a 2001 University of Tennessee study conducted for the Institute of State Studies.

More Paperwork for Businesses
Despite the apparent critical mass behind today's vote, several unanswered questions loom large, including how to win support for the system from online retailers.


Most states have "use tax" laws that require people to file a special form for reporting the sales taxes they owe on items bought online, but such laws are notoriously difficult to enforce, and few people actually comply with them.

Rather than going after use taxes, all of the participating states plan to entice online merchants to collect sales taxes voluntarily by sharing with them a portion of the tax revenues that they remit. Currently, one-third of all states share sales tax revenues with online retailers, with reimbursement rates ranging from a half percent to 1.75 percent of the total taxes collected.

Revenue sharing aside, small and large Internet businesses that maintain a physical presence in just a handful of states while selling to customers nationwide are likely to balk at the costs of collecting sales taxes, said Richard Prem, director of global indirect taxation for Amazon.com.

A unified revenue-sharing model envisioned in the states' plan fails to "come anywhere close to scratching the surface of the cost" of complying with the system, he said.

Internet vendors would likely bear substantial costs just in terms of the tax preparation needed to file as many as 45 separate tax returns each year, experts contacted for this story said.

Under the states' plan, online sellers would be required to purchase approved software to compute the appropriate state and local taxes or to certify with the state any in-house calculation systems already in place. E-tailers could choose to outsource tax collection to a certified third-party under the states' plan.

So far, participating states have conducted only one tax software pilot, involving four states, three technology vendors, and one online seller.

Of the technology vendors participating in the pilot, just one -- Salem, Mass.-based Taxware, working in conjunction with Hewlett-Packard -- managed to get a system up and running.

The online store in that pilot was O.C. Tanner Co., the Salt Lake City-based company that forged the medals for the 2002 Winter Olympic Games.

O.C. Tanner tax manager Jake Garn said Taxware's software worked well, but wondered whether the system would function as smoothly when subjected to a much larger volume of queries from all 45 participating states.

"[T]his was very small transaction volume compared to the level of traffic our main business generates," Garn said.

Neither supporters nor opponents of the plan have a clear idea how much the whole collection and remittance package would cost the average Internet merchant, though the participating states plan to conduct a comprehensive study in the coming months. They also are planning to run another tax technology pilot.

Aside from the cost considerations, though, opponents of the plan say it would be tough to enforce and could infringe on consumer privacy.

"Whether I'm buying prescription drugs or sex toys online, someone is going to have to keep track of what I bought so they can figure out how to tax it," said Grover Norquist, president of Americans for Tax Reform. "How do you do this without massive violations of privacy?"

Under the states' plan, certified software vendors and service providers would calculate and report taxes without retaining the consumer's personally identifiable information. According to the proposal, that information would be kept only for items that are deemed exempt from taxation, a qualification that varies from state to state.

The sales tax effort may also pit small Internet sellers against larger operations. Larger Internet retailers that maintain offices or sales forces in the majority of the states stand the most to gain from the states' plan, the NRF's Riehl conceded. Larger retailers also are more likely to already have built in-house tax collection and remittance systems.

"The (sales tax) simplifications alone are going to amount to a net cost savings for our members," she said. "We see the reimbursements as a long overdue acknowledgement that there's a substantial cost to doing this."

Questionable Fate in GOP Congress
Streamlined Sales Tax Project supporters said they expect states representing a fifth of the U.S. population to pass implementing legislation by June 2003, the end of the fiscal year for most states.


"I think by the middle of next year at least 10 states will have passed the necessary legislation, particularly when they start noticing the millions of dollars it will take to settle their deficit situations," said Neil Osten, communications director for the National Conference of State Legislatures, which fully supports the simplification effort.

It remains unclear, however, whether or when the Republican-controlled Congress would recognize the compact.

The current legal block to online sales taxes dates back to 1992, when the U.S. Supreme Court ruled that merchants cannot be required to collect sales tax unless they have a physical location in the state where the customer is located. The court said it would be unfair to require out-of-state sellers to comply with thousands of state and local tax jurisdictions across the nation. But the high court also ruled the Congress has the authority to allow states to require remote sellers to collect taxes.

In 1998 and again last year, Congress debated tying legislation to reward the states' efforts -- should enough of them simplify their tax systems -- to a bid to extend a ban on Internet-specific taxes, such as taxes on Internet access fees. In each case, Congress voted to extend the ban without including the simplification incentives.

A least one influential opponent of the effort is already planning legislation that would keep the Internet access tax ban from being "taken hostage" as a vehicle for considering the states' proposal.

Sen. George Allen (R-Va.) said the first piece of legislation he will introduce next year would be a standalone bill to permanently extend the ban on new Internet-specific taxes.

"If the states want to come up with their own simplification schemes, that's fine. But that still doesn't make it right to require someone who has no representation in your state to pay taxes there," said Allen, who heads the Senate Republican High-Tech Task Force.

Leavitt and other supporters of the proposal disputed arguments such as Allen's.

"It ignores the fact that sales and use taxes aren't imposed on people who collect them, they are paid by the people doing the buying," Leavitt said.

In the meantime, online retailers would be wise to seize the revenue-sharing incentives included in the states' plan before it's too late, O.C. Tanner's Garn said.

"If the states are right, and enough business shifts online that it creates a much larger cost disadvantage, the states may then have the political muscle they need to get Congress to back this without any" revenue sharing for retailers, he said. "Maybe it's a good thing to try to see the future and work for a mutual solution."
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Associated Press
U.S. Cracks Case of British Hacker
Mon Nov 11, 5:49 PM ET
By TED BRIDIS, Associated Press Writer


WASHINGTON (AP) - Federal authorities have cracked the case of an international hacker who broke into roughly 100 unclassified U.S. military networks over the past year, officials said Monday.

Officials declined to identify the hacker, a British citizen, but said he could be indicted as early as Tuesday in federal courts in northern Virginia and New Jersey. Those U.S. court jurisdictions include the Pentagon (news - web sites) in Virginia and Picatiny Arsenal in New Jersey, one of the Army's premier research facilities.


The officials declined Monday to say whether this person was already in custody, but one familiar with the investigation, who spoke only on condition of anonymity, said investigators consider the break-ins the work of a professional rather than a recreational hacker.



Authorities planned to announce details of the investigation Tuesday afternoon.



Officials said U.S. authorities were weighing whether to seek the hacker's extradition from England, a move that would be exceedingly rare among international computer crime investigations.



Officials said this hacker case has been a priority among Army and Navy investigators for at least one year. One person familiar with the investigation said the hacker broke into roughly 100 U.S. military networks, none of them classified. Another person said the indictments were being drafted to reflect break-ins to a "large number" of military networks.



In England, officials from the Crown Prosecution Service, Scotland Yard and the Home Office declined comment Monday.



A civilian Internet security expert, Chris Wysopal, said that a less-skilled, recreational hacker might be able to break into a single military network, but it would be unlikely that same person could mount attacks against dozens of separate networks.



"Whenever it's a multistage attack, it's definitely a more sophisticated attacker," said Chris Wysopal, a founding member of AtStake Inc., a security firm in Cambridge, Mass. "That's a huge investigation."



The cyber-security of U.S. military networks is considered fair, compared to other parts of government and many private companies and organizations. But until heightened security concerns after the Sept. 11 attacks, the Defense Department operated thousands of publicly accessible Web sites. Each represented possible entry-points from the Internet into military systems unless they were kept secured and monitored regularly.


It would be very unusual for U.S. officials to seek extradition. In previous major cyber-crimes, such as the release of the "Love Bug" virus in May 2000 by a Filipino computer student and attacks in February 2000 by a Canadian youth against major American e-commerce Web sites, U.S. authorities have waived interest in extraditing hacker suspects to stand trial here.

Once, the FBI (news - web sites) tricked two Russian computer experts, Vasily Gorshkov and Alexey Ivanov, into traveling to the United States so they could be arrested rather than extradited. The Russians were indicted in April 2001 on charges they hacked into dozens of U.S. banks and e-commerce sites, and then demanding money for not publicizing the break-ins.

FBI agents, posing as potential customers from a mock company called Invita Computer Security, lured the Russians to Seattle and asked the pair for a hacking demonstration, then arrested them. Gorshkov was sentenced to three years in prison; Ivanov has pleaded guilty but hasn't been sentenced.

But the Bush administration has toughened anti-hacking laws since Sept. 11 and increasingly lobbied foreign governments to cooperate in international computer-crime investigations. The United States and England were among 26 nations that last year signed the Council of Europe Convention on Cybercrime, an international treaty that provides for hacker extraditions even among countries without other formal extradition agreements.

There have been other, high-profile hacker intrusions into U.S. military systems.

In one long-running operation, the subject of a U.S. spy investigations dubbed "Storm Cloud" and "Moonlight Maze," hackers traced back to Russia were found to have been quietly downloading millions of pages of sensitive data, including one colonel's e-mail inbox. During three years, most recently in April 2001, government computer operators watched as reams of electronic documents flowed from Defense Department computers, among others.

In 1994, two young hackers known as "Kuji" and "Datastream Cowboy" were arrested in England on charges they broke into the U.S. Air Force's Rome Laboratory. They planted eavesdropping software that allowed them to monitor e-mails and other sensitive information.
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Washington Post
U.S. Hopes to Check Computers Globally
System Would Be Used to Hunt Terrorists
By Robert O'Harrow Jr.
Tuesday, November 12, 2002; Page A04


A new Pentagon research office has started designing a global computer-surveillance system to give U.S. counterterrorism officials access to personal information in government and commercial databases around the world.

The Information Awareness Office, run by former national security adviser John M. Poindexter, aims to develop new technologies to sift through "ultra-large" data warehouses and networked computers in search of threatening patterns among everyday transactions, such as credit card purchases and travel reservations, according to interviews and documents.

Authorities already have access to a wealth of information about individual terrorists, but they typically have to obtain court approval in the United States or make laborious diplomatic and intelligence efforts overseas. The system proposed by Poindexter and funded by the Defense Advanced Research Projects Agency (DARPA) at about $200 million a year, would be able to sweep up and analyze data in a much more systematic way. It would provide a more detailed look at data than the super-secret National Security Agency now has, the former Navy admiral said.

"How are we going to find terrorists and preempt them, except by following their trail," said Poindexter, who brought the idea to the Pentagon after the Sept. 11, 2001, terrorist attacks and now is beginning to award contracts to high-technology vendors.

"The problem is much more complex, I believe, than we've faced before," he said. "It's how do we harness with technology the street smarts of people on the ground, on a global scale."

Although formidable foreign policy and privacy hurdles remain before any prototype becomes operational, the initiative shows how far the government has come in its willingness to use information technology and expanded surveillance authorities in the war on terrorism.

Poindexter said it will take years to realize his vision, but the office has already begun providing some technology to government agencies. For example, Poindexter recently agreed to help the FBI build its data-warehousing system. He's also spoken to the Transportation Security Administration about aiding its development of a massive passenger-profiling system.

In his first interview since he started the "information awareness" program, Poindexter, who figured prominently in the Iran-contra scandal more than a decade ago, said the systems under development would, among other things, help analysts search randomly for indications of travel to risky areas, suspicious e-mails, odd fund transfers and improbable medical activity, such as the treatments of anthrax sores. Much of the data would be collected through computer "appliances" -- some mixture of hardware and software -- that would, with permission of governments and businesses, enable intelligence agencies to routinely extract information.

Some specialists question whether the technology Poindexter envisions is even feasible, given the immense amount of data it would handle. Others question whether it is diplomatically possible, given the sensitivities about privacy around the world. But many agree, if implemented as planned, it probably would be the largest data-surveillance system ever built.

Paul Werbos, a computing and artificial-intelligence specialist at the National Science Foundation, doubted whether such "appliances" can be calibrated to adequately filter out details about innocent people that should not be in the hands of the government. "By definition, they're going to send highly sensitive, private personal data," he said. "How many innocent people are going to get falsely pinged? How many terrorists are going to slip through?"

Former senator Gary Hart (D-Colo.), a member of the U.S. Commission on National Security/21st Century, said there's no question about the need to use data more effectively. But he criticized the scope of Poindexter's program, saying it is "total overkill of intelligence" and a potentially "huge waste of money."

"There's an Orwellian concept if I've ever heard one," Hart said when told about the program.

Poindexter said any operational system would include safeguards to govern the collection of information. He said rules built into the software would identify users, create an audit trail and govern the information that is available. But he added that his mission is to develop the technology, not the policy. It would be up to Congress and policymakers to debate the issue and establish the limits that would make the system politically acceptable.

"We can develop the best technology in the world and unless there is public acceptance and understanding of the necessity, it will never be implemented," he said. "We're just as concerned as the next person with protecting privacy."

Getting the Defense Department job is something of a comeback for Poindexter. The Reagan administration national security adviser was convicted in 1990 of five felony counts of lying to Congress, destroying official documents and obstructing congressional inquiries into the Iran-contra affair, which involved the secret sale of arms to Iran in the mid-1980s and diversion of profits to help the contra rebels in Nicaragua.

Poindexter, a retired Navy rear admiral, was the highest-ranking Regan administration official found guilty in the scandal. He was sentenced to six months in jail by a federal judge who called him "the decision-making head" of a scheme to deceive Congress. The U.S. Court of Appeals overturned that conviction in 1991, saying Poindexter's rights had been violated through the use of testimony he had given to Congress after being granted immunity.

In recent years, he has worked as a DARPA contractor at Syntek Technologies Inc., an Arlington consulting firm that helped develop technology to search through large amounts of data. Poindexter now has a corner office at a DARPA facility in Arlington. He still wears cuff links with the White House seal and a large ring from the Naval Academy, where he graduated at the top of his class in 1958.

As Poindexter views the plan, counterterrorism officials will use "transformational" technology to sift through almost unimaginably large amounts of data, something Poindexter calls "noise," to find a discernable "signal" indicating terrorist activity or planning. In addition to gathering data, the tools he is trying to develop would give analysts a way to visually represent what that information means. The system also would include the technology to identify people at a distance, based on known details about their faces and gaits.

He cited the recent sniper case as an example of something that would have benefited from such technology. The suspects' car, a 1990 Chevrolet Caprice, was repeatedly seen by police near the shooting scenes. Had investigators been able to know that, Poindexter said, they might have detained the suspects sooner.

The office already has several substantial contracts in the works with technology vendors. They include Hicks & Associates Inc., a national security consultant in McLean; Booz Allen Hamilton Inc., a management and technology consultant in McLean; and Ratheon Corp., a technology company that will provide search and data-mining tools. "Poindexter made the argument to the right players, so they asked him back into the government," said Mike McConnell, a vice president at Booz Allen and former director of the NSA.

The office already has an emblem that features a variation of the great seal of the United States: An eye looms over a pyramid and appears to scan the world. The motto reads: Scientia Est Potentia, or "knowledge is power."
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Mercury News
Weapons inspectors count on new technology
By Lisa M. Krieger and Dan Stober


Some of the world's best scientific detectives soon will be shipped off to one of the planet's harshest environments, with the prospect of war hanging over every move they make.

Armed with some of the latest sleuthing technologies, international inspectors will be searching through Iraq, looking for weapons that may or may not exist.

What they discover amid Iraq's heat, dust and hostility could not only determine whether that country comes under attack from the United States, but also could have global implications for arms control and the proliferation of weapons of mass destruction.

Inspectors will come equipped with state-of-the-art sensors -- but they will face challenges never confronted in a scientific lab. There could be delays, obstructions, bugging, obscured evidence and a succession of manufactured crises designed to complicate a search. They have a deadline: They must report back to the United Nations within three months. It will be hot and dirty, with electricity in short supply. The stakes will be global, the pressure intense. It's like no other science project.

The U.N. Security Council on Friday backed a tough resolution that gives the inspectors ``immediate, unimpeded and unconditional'' rights to search anywhere for weapons of mass destruction, including Iraqi President Saddam Hussein's presidential palaces. An advance team of U.N. weapons inspectors will arrive in Baghdad the last week of November. Iraq denies it has any such weapons.

``The tougher the inspection, the greater will be its chance of success,'' said Joseph Cirincione, director of the Non-Proliferation Project of the Carnegie Endowment for International Peace in Washington, D.C. ``And, perhaps paradoxically, the tougher the inspections, the greater the likelihood that war can be avoided. If it's easy for Iraq to evade inspection, the more likely it is that Americans will think it's all a sham -- and will feel that our only recourse is to go to war.''

There are many new detection tools available to the inspectors since they last visited Iraq in 1998, then left after repeated disputes about access to suspected sites, prompting Desert Fox, a U.S. bombing campaign. These include:

? Permanent stationary cameras that will monitor everything from Iraqi stores of natural uranium ore to tests of short-range rockets.

? Portable X-ray devices that can instantly determine the composition of specialized metal parts, which may be a tipoff to the true use of a piece of industrial machinery.

? Hand-held detectors that use advanced Polymerase Chain Reaction technology to identify anthrax and other organisms.

? Laptop computers equipped with global-positioning systems to help the inspectors get around the desert quickly, while encrypted communications allow them to plan surprise inspections without the Iraqis eavesdropping.

Old-fashioned intelligence work is just as important, answering questions such as: Who are Iraq's key scientists? Where do they work? Where were they trained?

While there are many places to hide a lab in a nation the size of California, relatively few people know the inner workings of these labs.

Since inspectors last visited, the CIA says, there is good evidence that Iraq has maintained its chemical weapons efforts, energized its missile program and invested more heavily in biological weapons. How quickly Iraq will obtain its first nuclear weapon depends on when it acquires sufficient weapons-grade material.

Some production facilities are thought to be concealed; others may be mobile. Still others are likely to be dual-use, meaning they can be readily diverted from peacetime chemicals to chemical weapons production.

``A realistic goal of the U.N. inspection regime is not to eliminate every last weapon, which is probably impossible, but to deny Iraq a militarily significant weapons capability, which I believe is probably do-able,'' said Jonathan Tucker, a senior fellow at the United States Institute of Peace and a 1995 biological weapons inspector in Iraq, at a Washington, D.C., press briefing last month.

Once in the field, inspectors will seek evidence of:

Nuclear weaponsIraq retains its cadre of nuclear scientists and technicians, its program documentation and sufficient dual-use manufacturing capabilities to support a reconstituted nuclear weapons program, according to the CIA. It has growing access to nuclear-related technology and materials and potential access to foreign nuclear expertise.

The nuclear inspection teams are ultra-specialized. First, they will look for familiar faces -- are the Iraqi nuclear scientists still working together, and where? Although President Bush has publicly drawn attention to satellite photographs of new construction near former Iraqi nuclear sites, the action team places as much importance on face-to-face conversations with Iraqi scientists as on construction sites.

``They fly around in helicopters with radiation detectors, but it's of limited value,'' said one U.S. intelligence analyst, who asked that his name not be used. ``They would only find large, industrial-scale nuclear process, which Iraq is not dumb enough to have.''

On the ground, he added, ``hand-held radiation detectors aren't that useful. The chances of accidentally stumbling upon something with a radiation detector are nil. . . . Carrying a radiation detector is extra weight in the backpack.''

So, inspectors will look for the 40-odd specific components in nuclear bomb-making, such as uranium-processed fuel or certain types of machinery. And they will establish monitoring stations to sample air, water and vegetation for signs of radiation.

Chemical warfare Baghdad is presumed to have begun renewed production of chemical warfare agents, probably including mustard gas, sarin, cyclosarin and VX. While some capability was reduced during past inspections and it is probably more limited now than it was at the time of the gulf war, VX production and agent storage life probably have been improved.

Certain chemicals that can be used to make weapons are completely off-limits because of an international ban, said Fred Milanovich of Lawrence Livermore National Laboratory, who headed up the program to develop detectors in the early 1990s.

More complicated will be how to handle the hundreds of tons of chemical warfare agents thought to hide within Iraq's civilian chemical industry, such as the chlorine and phenol plants at the Fallujah II facility near Baghdad. Both chemicals have legitimate civilian uses -- but also are raw materials used to produce blister and nerve agents.

The installation of closed-circuit video cameras and air-sampling devices by U.N. inspectors at these facilities could monitor the use of these labs.

The U.N. teams also will track chemical procurement efforts both inside and outside Iraq by Iraqi diplomats abroad. They suspect that many covert transactions have occurred between Iraq and hundreds of private companies from more than 40 countries.

Biological weapons Iraq acknowledged in 1995 that prior to the gulf war, it had produced large quantities of anthrax spores, botulin toxin and a fungal poison called aflatoxin; filled them into at least 166 aerial bombs and Scud missile warheads; and stockpiled them, ready for use.

Although Iraq claimed to have destroyed its biological arsenal after the war, U.N. inspectors believe that Iraq may still be hiding a cache of anthrax spores and germ-filled warheads, or planning to make more.

The country's castor oil production plant, for example, can produce ricin toxin. The toxin can cause multiple organ failure within one or two days after inhalation. Iraq admitted to the U.N. Special Commission on Iraq that it manufactured ricin and field-tested it in artillery shells before the gulf war.

Because biological weapons are so potent, yet much cheaper and easier to produce than nuclear weapons, they have been called ``the poor man's atomic bomb.''

Like chemical weapons, biological weapons can be produced in legitimate medical and agricultural labs. Iraq has the capability to quickly convert vaccine and bio-pesticide plants to biological warfare production.

For example, UNSCOM learned that during 1988 alone, Iraq had imported nearly 39 tons of a complex growth medium suitable for growing large quantities of bacteria such as anthrax -- but could only account for 22 tons of the medium in Iraq, leaving 17 tons unexplained. This provided strong circumstantial evidence for large-scale production of anthrax and other biological agents.

Further, biological agents are abundant in nature, making detection more difficult, Milanovich said. ``A lot of the stuff is naturally occurring, right? . . . So detection of biological weapons is just a little more difficult.''

Therefore, any detection system is dependent on knowing the signatures of organisms likely to be used in biological weapons. These signatures are telltale bits of DNA unique to pathogens.

It is equally important to rule out the hordes of harmless germs -- often the close relatives of pathogens. So scientists also are characterizing natural microbial backgrounds, collecting background microbial samples in air, water and soil, as well as in human blood, urine and saliva.

Since the last time inspectors visited Iraq, biological weapon detection tools have gotten faster and more definitive, said Pat Fitch, director of Lawrence Livermore's Chemical and Biological National Security Program.

``They've gotten smaller, they can do more tests, and they typically are cheaper and easier to operate,'' he said. ``They don't require a three-letter degree after your name.''

Scientists are also working with the Santa Clara-based company Affymetrix to develop gene chips similar to computer chips that can store genetic information on unique diagnostic regions for various pathogen strains, allowing for quick analysis of unknown agents.

``This time around, it should be possible to do much more rapidly, to see what kind of organism they're dealing with and get much more definitive answers,'' said Stanford biophysicist Steven Block, a senior fellow at the Institute for International Studies and a biochemical weapons expert.

``The more accurately you can measure,'' Block said, ``the more you can say, `Something was here yesterday but might have been removed.' ''
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Seattle Times
Eyes become IDs for refugees, air travelers
By Porus P. Cooper
Knight Ridder Newspapers


Thousands of refugees in an ancient, war-scarred corner of the world are being tracked with identification technology so new it isn't in widespread use anywhere.

The refugees are Afghans in Pakistan, seeking to go home, and the iris-recognition technology is provided by Iridian Technologies, a Moorestown, N.J., company that is virtually alone in this field.

Cameras and readers are used to detect refugees who have been straining United Nations resources by coming back for multiple helpings of aid instead of going home.

Each iris, the colored portion of the eye around the pupil, has a unique texture, much as a fingerprint does, but with more details. The Iridian process involves taking an electronic, close-up picture of an iris and then digitally coding its texture. The data are stored for future matching.

It is quick and relatively unobtrusive, said Jerry Ruddle, head of sales for Iridian.

The technology has obvious security uses.

The Pentagon and a small but increasing number of ports of entry, such as Schiphol Airport in Amsterdam, the Netherlands, and some terminals at New York's JFK Airport and London's Heathrow Airport, have installed iris-identification devices to sift trusted visitors or frequent fliers from others. Iridian recently concluded a deal with Canadian authorities to install such devices at Toronto and Vancouver, B.C., airports.

Financial strain


It was the financial strain of handling hundreds of thousands of refugees from Afghanistan in the past year that prompted the United Nations' refugee agency to set up a test program this month at a refugee camp outside Peshawar, Pakistan.


The agency found that about 20 percent of the refugees were improperly seeking benefits, many of them returning repeatedly for assistance instead of going home.

Returning refugees get food and provisions, such as bags of wheat and hand tools. Each also receives up to $30 for truck or bus transport to his or her hometown, said Jack Redden, a spokesman for the U.N. refugee operation in Pakistan.

About 2,000 refugees were processed every day in the first few days of the iris-recognition test. The number is closer to 1,000 now, Redden said, because the weather is turning cold, discouraging many refugees from attempting the rugged journey. The repatriation camp is likely to close for the winter at the end of the month, he said.

Even the smaller numbers, however, constitute one of the largest real-world tests of the Iridian technology. In another significant test earlier in the year, Saudi Arabia installed iris-recognition devices to monitor about 25,000 pilgrims making the hajj, or journey to Mecca. Some American prison systems have also been using the technology to prevent erroneous releases of inmates.

These are among the largest field tests of the technology, though half a million visitors tried it out at an exhibit at the Millennium Dome in London in 2000.

The use of the technology by the hajj authorities and the United Nations validates it "as a viable alternative," said Bill Willis, chief technology officer at Iridian.

Biometric family


Iris recognition vies for attention in the field of so-called biometric-identification technologies that include fingerprinting, hand geometry and face and voice recognition.


Iridian, which received a $33.3 million investment from a group led by GE Equity two years ago, will not divulge its annual revenue. But the company, which has 25 employees in Moorestown, is profitable, Ruddle said.

It once employed many more but has since changed its business model. It now licenses its software to equipment manufacturers such as Panasonic and contractors such as BioID.

"The Iridian people will claim that iris recognition is the most accurate biometric, but the problem is that iris recognition has not been installed in as large a database as fingerprints," said Anil Jain, an expert in pattern-recognition technologies at Michigan State University in East Lansing, Mich.

Privacy concerns are a big reason why the adoption of iris-recognition and other electronic-identification databases has lagged in the United States and Europe.

"In Germany and Holland, for example, it would be inconceivable to store biometric information in computer databases," said Machiel van der Harst, chief operating officer of BioID, which has offices in Langhorne, Pa.; Geneva, Switzerland; and Riyadh, Saudi Arabia. The company is licensed to use Iridian's software.

The project at Schiphol Airport, for instance, involves a few thousand passengers who opt to carry smart cards bearing their iris data. There is no central database of the information.

"In the Middle East, there is less of that concern, which facilitates larger rollouts," van der Harst said.

BioID is financed by Saudi Arabian investments and uses a variety of identification technologies, van der Harst said.

Not a single hajj pilgrim declined the iris check, he said.

Somewhat to his surprise, the U.N.'s Redden said, he, too, has seen no one reject the check in the dusty repatriation camp in the shadow of the Khyber Pass.

The refugees, like the pilgrims, are Muslims, and the women usually are veiled.

"I thought they might be nervous or suspicious," Redden said, and some refused to be photographed for traditional documents. "But even the women with chadors had no problem lifting (the veils) for an iris check."

As for privacy concerns, Redden said nothing was recorded besides the digital code of the iris, and even that information is not linked to any other information. The software was changed to make it incapable of recording any other personal information, he said.

"All we care about is whether or not a given iris shows up twice."
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Chronicle of Higher Education
Baking Soda, Vinegar, and Measuring Cups Become Lab Materials for Online Chemistry Course
By DAN CARNEVALE


Two science professors have cooked up a way for distance-education students to fulfill their science-lab requirements -- by turning their kitchens into chemistry labs. The professors say their approach, currently being fine-tuned, can help provide online students with laboratory courses, which are often required for undergraduate degrees.

Instead of using test tubes and beakers, the students make do with measuring cups and saucepans. The professors say the students come out with an understanding of introductory chemistry comparable to that of their on-campus peers.

Doris R. Kimbrough, an associate chemistry professor at the University of Colorado at Denver, and Jimmy Reeves, an associate professor of chemistry at the University North Carolina at Wilmington, developed the course.

"Virtually all basic-studies programs require a lab science," Mr. Reeves says. "The problem with doing a lab-science course online is, of course, How do you do the lab?"

The course was financed by a four-year, $400,000 grant from the U.S. Department of Education. This is the third year that the professors have been offering the online chemistry lab. So far, nobody's house has blown up or burned down. "All my students still have all their fingers and toes," Ms. Kimbrough says. "It's going well."

The professors say the experiments are safe, and that most of them use items found in a typical household kitchen, such as milk, nuts, vinegar, baking soda, and matches. Students need to get a quality scale, which they can buy online for about $40. But the rest of the material can be purchased from the local grocery store or a Wal-Mart.

At the University of North Carolina at Wilmington, the course is offered entirely online to first-semester science majors, who enroll in the course through nearby Cape Fear Community College. Students can seek help on the Cape Fear campus if they have trouble following the instructions for the labs.

At the University of Colorado at Denver, meanwhile, the home-laboratory course is offered to non-science majors. Students attend the course's lectures in a traditional classroom but conduct the lab experiments in their kitchens. Ms. Kimbrough wants to keep a portion of the course face-to-face while the bugs are being worked out in preparation for converting the entire course to an online format in the future, possibly this coming summer.

The precaution proved necessary. The first time students tried to run the experiments at home, many of them became confused by the printed instructions. They sought help during the following lecture period.

Ms. Kimbrough tries to keep the experiments simple and fun. "These are pretty science-phobic folks here," she says.

In one experiment, the student sticks a pin into a nut, such as a walnut or pecan, and ignites the nut with a match.

The oil in the nut begins to burn. The student heats water with the flame from the nut and measures the rise in the water's temperature. Then the student uses the temperature difference to calculate how many calories the nut contained.

The results are usually not very accurate, Ms. Kimbrough says. The students will come up with calorie counts that are three to four points different from those offered on the nutrition label on the nuts' packaging, which is typically more precise. But the results in an on-campus chemistry lab are usually just as badly skewed, she says.

"The experiment has some flaws," Ms. Kimbrough says. "You've got this charred form of former nut, but it probably has some combustibles left in it."

Also, the flame is heating the air around it, in addition to the water. So students are instructed to figure out how to design a better experiment.

She says the answers the students give are often creative, such as running the experiment in a high-oxygen environment or doing it on one of the space shuttles.

Even though a lot of the suggestions "are not really realistic experiments," Ms. Kimbrough says, "it shows they're thinking about it."

Ms. Kimbrough says students enjoy the mix of experiments they get to do. "We've gotten a lot of mileage out of baking soda and vinegar," she says. "It's a cute reaction because it gives off gas."

In that experiment, students are asked to mix the two ingredients together and measure the weight loss as the chemicals react, giving off carbon dioxide. "You can actually see the weight loss on the balance as the chemical reaction takes place," Mr. Reeves says.

While students have fun making smoke and fire, Mr. Reeves says, they are also learning at least as much as they would learn in an on-campus chemistry lab. Online students outperformed on-campus students on the final exams and on the in-lab practical exams that Mr. Reeves gave on the campus to some of the distance-education students to see how they stacked up against the campus students.

Despite the success, Mr. Reeves says, he does not believe chemistry majors should take courses in the discipline online after their first semester. Students in advanced courses need to learn complex skills and how to use specialized equipment. "Those kinds of skills can't be taught outside the laboratory setting," he says.

But the online course helps non-science majors and first-semester students get a taste of chemistry while working comfortably in their own kitchens.

"It really gives them the sense that chemistry is not just something that happens in a chemistry lab -- that it goes on all the time," Ms. Kimbrough says. "And as a science teacher, that's pretty exciting."
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New York Times
A Networked World's Final Frontier: The Airplane
By SUSAN STELLIN


On a recent flight from New York to Oakland, Calif., Madeline Duva worked her BlackBerry pager with the intensity of a pinball player, right up until the second of four announcements from the flight crew reminding passengers that all electronic devices must be turned off.

Ms. Duva, a vice president with a San Francisco financial-data company, Sector Data, complied with the request, but said the communications blackout during the six-hour flight left her worrying about a last-minute directive to a colleague. "Now I'm sitting here and I'm thinking, `I hope that order went in,' " she said.

Despite her anxiety over the status of the deal and whether a friend had gotten World Series tickets she resisted the urge to download e-mail messages to her BlackBerry for the duration of the flight. "You want to play by the rules, because you don't know if it could cause a problem," she said.

Like many gadget-toting business travelers, Ms. Duva regularly inhabits what might be described as the eye of the information hurricane: in an era of information overload, air travel remains a unique exception to an increasingly networked world. Not only can passengers not get information about whether a deal went through or who is ahead in the bottom of the seventh inning, they cannot seem to get a satisfying explanation for why they cannot use their cellphones, BlackBerries or a host of other electronic devices in the air.

In the meantime, there is a continuing face-off between passengers who surreptitiously and sometimes, blatantly use gadgets to send text messages or even make voice calls, and flight crews who must keep an eye out for thumbs tapping away under a tray table (and then determine whether a particular device can safely be used for other tasks with its phone feature shut off).

Indeed, two flight attendants on the same Oakland-bound flight said that on every flight a handful of passengers have to be asked to turn off electronic devices, and that travelers were not always willing to oblige.

"At least we have passengers who tell us people are trying to do it behind our backs," said one flight attendant, who insisted that her name not be used, adding that part of the problem is that travelers do not believe that these devices cause interference with the aircraft's communications system.

Whether electronic gadgets that emit radio signals do in fact compromise the safety of the aircraft is a matter of some debate, one complicated by the public perception that many people have illicitly used a cellphone or pager in an aircraft from time to time, and so far, no plane has crashed because someone's phone rang.

"Most of the time, nothing ever goes wrong," said Joe Burns, an Airbus captain who serves as director of flight standards and technology for United Airlines. "When passengers see that, it builds up the opinion in their mind that these things are safe. But we do have some documented evidence that these things can cause problems on specific aircraft."

Part of Captain Burns's job is to evaluate which technology can safely be used on planes, both in the cabin and in the cockpit. In the past, he said, manufacturers had to demonstrate that their technology was safe to use in the air; now the burden of proof has in some sense shifted to the airline industry to determine which emerging technologies cause interference.

"Our real concern moving forward is the proliferation of these PDA's with wireless communication devices built in," he said. "We have to keep on the leading edge to determine which devices are actually transmitting."

Another complicating factor is confusion over who is responsible for making the rules. The ban on cellphone use in aircraft was issued by the Federal Communications Commission, not out of concern for passengers' safety, but because using cellphones in the air can cause problems with wireless networks on the ground.

Paul Takemoto, a spokesman for the Federal Aviation Administration, said the F.A.A. itself did not ban the use of specific portable electronic devices, but prohibited the airlines from allowing passengers to use them unless the carriers can prove the devices do not interfere with communications systems. Although Mr. Takemoto said the agency was looking closely at the multitude of wireless devices that are becoming popular, the burden has fallen on the airlines to police the issue.

Of course, it has not helped matters that plans to offer air travelers Internet access or messaging capabilities, tantalizingly within reach a year and a half ago, have been suspended as the airlines focus on other priorities, like new security measures and profitability.

Two of the leading initiatives to bring enhanced communication services to aircraft are testing their technologies with international carriers and private jets, but no one is willing to guess when America's airlines will have the money for this type of investment.

Connexion by Boeing, a division of Boeing that delivers a broadband Internet connection to aircraft, will start a trial with Lufthansa in January on a 747 flying from Frankfurt to Dulles International Airport near Washington. A month later, British Airways will test the technology on a similar aircraft flying between Heathrow in London and Kennedy in New York. The company also announced an agreement with Japan Airlines and currently has government and corporate clients in the United States.

Using the Connexion by Boeing service, passengers can plug in their laptops, open a Web browser and enter a credit card number to pay a fee of $25 to $35 per flight segment for unlimited Internet access but not anytime soon between, say, New York and Los Angeles.

Stan Deal, Connexion by Boeing's director of sales, said although American carriers continued to express interest in the technology, "The main issue for the U.S. is some level of economic stability and recovery." He added, "There are too many unknowns out there to predict exactly when yet."

That perspective is echoed by John Wade, executive vice president for strategic planning at Tenzing, a competing service that has developed technology to offer Internet access in aircraft as well as a separate messaging service that uses seat-back entertainment systems.

The messaging service, installed on one Virgin Atlantic aircraft, charges passengers $2.50 to send a text message to a phone number or e-mail address (passengers cannot receive replies yet). Tenzing's Internet service, available on 30 Cathay Pacific aircraft, charges passengers $9.95 to give them access to their e-mail accounts for viewing the sender and header of unread mail (reading the entire e-mail costs an additional $1 for each message).

Mr. Wade expects more airlines will opt for some type of messaging service over high-speed Internet access, but declined to predict a time frame for American carriers. "I think it would be unrealistic to give a date because no airline has committed to it," he said. "But we are seeing renewed interest."
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Federal Computer Week
Call for nominations
Editorial
Nov. 11, 2002


This week, Federal Computer Week begins the annual call for nominations for the Federal 100 awards program.

The Fed 100, now in its 14th year, recognizes those individuals in government and industry who played pivotal roles in the federal world of information technology in 2002. As always, the key to winning is demonstrating clearly that the nominee had an unusual impact on the IT community because of uncommon dedication, inspirational ideas or risk-taking. The awards recognize actions, ideas and visions that go beyond the daily responsibilities of the individuals' jobs.

The winners, chosen by a panel of judges picked from top managers in government and industry, are part of an all-star team, recognized for their 2002 accomplishments, not for lifetime achievements.

The awards are not a popularity contest, but recognize bold thinking and actions that not everyone will think of as positive. Controversy is expected, but everyone can agree that the winners had an impact on how federal IT was used, bought or managed in 2002.

When making nominations, think of the key trends, events and ideas that helped shape the direction of federal IT management and procurement. What were the hot topics and imaginative procurement and managerial concepts that shaped IT policies and use? It could be a new way of buying and financing IT programs, or the judges could choose someone who developed a new set of guidelines or policies that changed the IT landscape.

What IT programs broke new ground? Real people were behind those ideas and changes. Those people will in all likelihood make good candidates for the Fed 100 awards.

So, as we have done so many times in the past, we invite our more than 86,000 readers to visit our Web site at www. fcw.com, click on the Federal 100 logo and fill out the electronic form to nominate a government or industry employee who made a difference.

The deadline for nominations is Jan. 3, 2003. So nominate early and often.
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Computerworld
SpamWars
By MELISSA SOLOMON
NOVEMBER 11, 2002

You know from looking at your e-mail lately that it's possible to be debt-free, have perfect skin and be a babe magnetwith a little help from your new friends.
But at least employees at Stamford, Conn.-based Xerox Corp. are shielded from such revolutionary offersthough the process hasn't been easy. Last summer, Xerox's firewall team was blocking 150,000 spam e-mails a month. By early fall, it was 60,000 messages a day, seven days a week, says Linda Stutsman, manager of corporate information security and risk management.


In the past year, spam has moved beyond personal e-mail accounts, invading business systems and graduating from societal pest to corporate enemy. Companies are stockpiling their arsenalslists of legitimate senders and known spammers, tools that pick up on spamlike content or behavior, digital fingerprints and decoy e-mail addressesto fight this invasion. On the other side, however, new and resourceful recruits lured by spam's promise of big financial returns are constantly devising counterattacks.

"There's 10 times as much [corporate] spam this year as there was last year," says Joyce Graff, an analyst at Stamford, Conn.-based Gartner Inc. "It's mind-blowing. And the economics are on the spammers' side."

And, says Jason Catlett, president of Junkbusters Corp., a Green Brook, N.J.-based antispam organization, the problem is getting worse. "Spam is growing at a slightly faster rate than e-mail traffic," he says.

Weapons of War

The spam weapons that Graff finds most difficult to defend against are harvesting tools. For $39.95, marketers can buy a "spambot" that searches message boards and lists, culling up to 100,000 e-mail addresses in an hour. Spambots also get into the relay game with organizations' message transfer agents (MTA) by sending messages to, for example, georgebrown@xxxxxxxxxxxxxx, georgebuckley@xxxxxxxxxxxxxx and so on, until they find matches.

To combat these spambots, Graff says, organizations need to set up their MTAs so they automatically disconnect as soon as they detect harvesting attacks.

But, says Steve, a Washington-based spammer who asked to be identified by only his first name, spammers are continually findingand sharingnew ways to hide their identities. For instance, he's created a filter-evading script that randomizes subject lines and source addresses so they're not easily identified as bulk mail. Big-time spammers buy servers that can randomize entire domains, says Steve.

Spammers scan the Internet for open relays in foreign countries so their messages will be hard to trace. Or they set up free e-mail accounts and dump them before they're caught. Spammers can blast out hundreds of thousands of messages, each with customized content and source addresses, and then quickly log out, says Mark Bruno, enterprise product manager at Brightmail Inc., a San Francisco-based vendor that got its start filtering e-mail for service providers but has since shifted its focus to corporations.

Spammers also write programs that load in multiple accounts so when one account is terminated, another automatically kicks in, says Dan Clements, CEO of CardCops.com, a Malibu, Calif.-based online credit card and advertising fraud watchdog group.

It typically takes about two or three months from the time companies install antispam software until they can effectively pick up on patterns. But once they do so, some systems can weed out 90% of spam with a less than 1% false-positive rate, says Joe Fisher, senior product manager at Tumbleweed Communications Corp., a Redwood City, Calif.-based messaging security firm. And then vendors and their clients need to keep updating the tools to stay ahead of the spammers.

"They're just making my job harder," says Steve. "But for them to stop spammers is almost impossible. There's always going to be some guy who knows how to build a new application, and everyone's going to get it."

Some antispam systems claim to stop virtually all spam, which accounts for 34% of all e-mail. These systems contain a variety of components:

? Blacklists that compile and distribute IP addresses of known spammers. There are also whitelists, which companies can build to identify legitimate senders.

? Content-analysis tools that look for keywords.

? Behavioral-analysis tools that look for patterns such as large numbers of recipients or blind copies.

? Address-validation tools that do reverse Domain Name System lookups to ensure the sender isn't trying to cloak his identity.

? Digital fingerprints developed with algorithms and heuristics, to identify and block or filter common spam patterns.

? New products that can scan for graphics such as skin tones to combat pornography, but those tools are still in their infancy, says Mark Levitt, an analyst at IDC in Framingham, Mass.

Brightmail's probe networks, which are getting high marks from analysts and antispam watchdogs, consist of dummy accounts set up through various Internet service providers and corporate clients to attract spammers. Brightmail monitors those networks to detect new tricks of the trade and continually evolves its antispam rule book. New rules are distributed and updated in clients' systems every 10 minutes, says Ren Chin, director of product development at Brightmail.

After going through the battery of antispam indicators, a good filter will assign percentages rating the probability that messages are spam, says Graff. Depending on the comfort level of the organization, messages above a certain level can be automatically deleted, while others can be stored in spam folders for IT staff or users to review.

"This is not a perfect science," says Graff. "If some product claims to do 100%, run away from it, because they don't know what they're doing."

Xerox keeps pace with new commercial tools, but so far it has stuck with its homegrown antispam system, says Stutsman. Xerox also subscribes to blacklists. About 75% to 80% of Xerox's spam is blocked at the gate, and an additional 20% of the remaining spam is later filtered out, says Stutsman.

Staying Alert

When 25% or more of Norfolk Southern Corp.'s inbound e-mail was being identified as spam, Tony Samms knew something had to be done.

"It was a very hostile environment," says Samms, director of information security at the Norfolk, Va.-based freight, natural resources and telecommunications holding company. "Messages showed pictures of people having sex right in the e-mail."

There were also the drains on employee productivity, bandwidth and storage to consider. With close to 10,000 users and an average of 30,000 e-mails per day, spam had become a big financial problem.

So at the end of last year, Norfolk Southern installed IronMail from CipherTrust Inc. in Alpharetta, Ga. The tool sits on Norfolk Southern's gateway and uses an array of filtering strategies. Even with the filter, though, spam has managed to get into Norfolk Southern's system, so employees have been building a local deny list by sending addresses to be blocked to the information security department.

The biggest challenge has been avoiding false positives, says Samms. "We don't want to block good e-mail, so we have to be careful," he says. For instance, one employee's last name is Rape, so the company can't add that to its list of words to be filtered out.

Samms says the 25% spam rate has been reduced to about 1% or 2%.

Santa Clara, Calif.-based Macrovision Inc. has opted for a voluntary spam-fighting program, letting end users decide whether they want to use the PerlMx filters from Vancouver, British Columbia-based ActiveState Corp., which the company installed last spring. Then they customize their filter settings, so the sales representatives can keep getting newsletters peppered with terms like invest and bargain, for example, and the mailroom clerks can keep solicitations to a minimum, according to Macrovision system administrator Mike Stevens.

Stevens hasn't calculated the return on the $10,000 investment, but he says productivity has jumped. "You get your return on investment back in a relatively short time," he says.
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Computerworld
Bridex worm bites computer security company
By Paul Roberts, IDG News Service
NOVEMBER 11, 2002


In a bold move, a group of hackers launched a successful attack on the Web server of Russian computer security company Kaspersky Labs Ltd., managing to implant and distribute a copy of the recently discovered Bridex worm in the company's e-mail newsletter.
The successful exploitation of Kaspersky's e-mail list followed what the company described in a statement as a "massive attack" against its Web server Friday evening, according to Denis Zenkin, head of corporate communications at the Moscow-based company.


A statement posted on Kaspersky's Web site said the attack began Thursday night.

According to Zenkin, the attackers used a sophisticated and "exotic" attack to compromise the company's Web server and gain access to a folder containing mail messages sent out by Kaspersky.

From those messages, the attackers were able to obtain the distribution list for the company's e-mail newsletter. A copy of that newsletter was distributed to Kaspersky's customers along with an attached executable file containing the Bridex worm.

"Our IT security people were amazed that hackers got the idea for this kind of hack attack," Zenkin said.

Zenkin refused to provide details on the attack, citing concerns that other hackers would use that information to carry out further attacks. Zenkin did disclose that Kaspersky's Web server runs the FreeBSD operating system, which is a version of Unix, and the common Postfix e-mail server software.

Hackers weren't able to gain access to Kaspersky's e-mail address book, nor were they able to penetrate areas of the Web server containing virus signatures for Kaspersky's antivirus software, Zenkin said.

Zenkin declined to say whether antivirus definitions were posted in a more secure area of the server, however, saying only that they were located in different "territories" of the server that weren't affected by the attack.

Kaspersky's virus definitions use digital signatures that are verified by the company's software before they are installed and used. Tampering with Kaspersky's virus definitions -- for example, attempting to substitute malicious code for a signature -- would be detected and rejected by the company's software, Zenkin said.

According to Zenkin, Kaspersky knows of no customers who were infected by the newsletter. Nonetheless, the company advised users to install the IFrame-vulnerability patch available from Microsoft Corp.

Kaspersky staff first noticed the attack and took corrective action within minutes of the exploit, Zenkin said. Nevertheless, the attack produced the unusual scenario of an antivirus vendor's software being used to thwart an attack launched from its own servers. It was an embarrassing fact that more than a few of Kaspersky's customers brought to the company's attention, Zenkin admitted.

Since the attack, Kaspersky has closed the security loophole exploited by the attackers and taken other steps to ensure that future attacks are unsuccessful. In addition, the company inspected the entire contents of its Web server and claimed that the e-mail newsletter was the only affected component of its Web site, Zenkin said.

The company traced the attacks to a group of hackers in Mexico, but so far it has no concrete evidence pointing to specific individuals, Zenkin said.

The Bridex worm, also known as "W32/Braid.A" or "I-Worm.Bridex," was first identified early this month and arrives in an e-mail message, typically contained in an attachment named README.EXE.

When recipients double-click on the attachment, the worm copies a variant of the FunLove virus to the local system with the name BRIDE.EXE, alters the machine's system registry so that the virus is relaunched each time Windows starts, scans the user's Outlook address book and e-mails copies of itself to any addresses it finds.

Antivirus software vendors including Kaspersky have published updated virus signatures to detect Bridex.
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Computerworld
Meeting to mull privacy standard's next step
By PATRICK THIBODEAU
NOVEMBER 11, 2002


WASHINGTON -- The The Platform for Privacy Preferences (P3P) was released in April, and so far about 18% of the top 500 Web sites are using it. But the rate of new adoptions of this privacy specification is glacial -- about 1% a month among top sites -- and financial services, the industry that handles some of the most sensitive personal information, has a much lower-than-average P3P adoption rate.
This week the people and companies behind the World Wide Web Consortium's (W3C) P3P standard will meet to talk about the future of the spec and whether a version 2.0 is needed or whether some tweaking to Version 1.0 can address issues raised by industry groups.


One concern is that the spec's "vocabulary" isn't rich enough to allow exact translation of a written privacy policy into a machine-readable one.

Because of that problem, the Financial Services Roundtable's BITS technology group, a Washington-based industry association representing some of the largest financial services companies, wants the W3C "to state explicitly" that P3P statements "are not meant to be legally binding documents," according to a position paper prepared for this week's meeting at America Online Inc.'s facilities in Dulles, Va.

The legal uncertainty of P3P is a big issue, said Lorrie Cranor, a principal technical staff member at AT&T Labs-Research and chairman of the P3P Specification Working Group. But the W3C "can't give a definitive answer, because we don't write the laws."

Only 11% of top finance and investing Web sites have adopted P3P, vs. 18% overall for the top 500 sites, according to Ernest & Young LLP, which began reporting on P3P adoption in August.

At the current rate, it will take eight years or so for P3P to get fully adopted, said Brian Tretick, a principal at Ernest & Young. One reason for the sluggish rate of adoption is the economy, since some companies are interested in it but don't want to spend the money. Another is uncertainty about how P3P policies will be enforced.

At this week's meeting, the P3P working group may look at the idea of developing negotiation ability into P3P, said Cranor. As it stands, when a P3P-capable Web browser interacts with a Web site, the browser reacts based on the user's privacy preferences in a yes/no manner. Negotiation ability would allow a company to interact with the user and, for instance, offer a coupon in exchange for privacy information. This would also complicate things, requiring varying privacy policies to handle the results of any negotiations, she said.

Despite various issues to be hammered out, Tretick believes that as long as Internet Explorer and Netscape support P3P, the specification isn't going away and that firms will have to deal with it or risk losing some of their ability, for instance, to use persistent cookies with some customers.
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Computerworld
IT still iffy on Web services
By CAROL SLIWA
NOVEMBER 11, 2002


Web services clearly will play a role in the application integration plans of many IT shops. But how big a role, and when that will happen, is anybody's guess.
Several IT managers attending Gartner Inc.'s recent Application Integration and Web Services conference in Chicago said they have yet to determine in what ways, if any, they will use Web services to address their integration needs.


"I think it will play a large part over time. We're looking at using it in isolated cases to get some experience," said Bill Genn, a site architect at London Life Insurance Co. in London, Ontario.

Genn said one such effort might involve aggregating information from disparate applications to a portal. Although the portal would be used for a wide range of business functions, it would also help with integration, he said.

Hugh Jurkiewicz, a corporate architect technologist in the Wellesley Hills, Mass., office of Sun Life Financial Services of Canada Inc., said he can foresee Web services technology complementing his firm's integration work in situations where security and transaction needs aren't high.

Jurkiewicz said he also hopes that Web services will drive integration broker vendors to lower the high price of their software.

"For more mission-critical application integration needs, we may not wish to experiment with Web services," he said.

As has been the case for some time, IT managers continued to express concerns about the immaturity of Web services standards, particularly in the area of security.

"The security issues, I think, are going to be a big issue with our company. The standards aren't all there yet," said Tim Lienemann, a senior technical designer at Pittsburgh-based U.S. Steel Corp., whose internal development staff does much of its integration work.

Janelle Hill, an analyst at Meta Group Inc. in Stamford, Conn., said only a small percentage of IT shops are currently incorporating Web services into their integration strategies or requirements because of confusion over what Web services are and where they might be used in their application portfolios.

A 'Thin Veneer'

Hill said that during the next five years, integration vendors and IT shops will experiment by wrapping a "thin veneer" around their applications, in the form of Web Services Definition Language (WSDL) interfaces.

However, Hill predicted that it will take at least five years for companies to re-engineer their core applications to be service-oriented and gain interoperability "without a whole lot of transformation being required in the middle."

Roy Schulte, an analyst at Gartner, said very few applications will run entirely free of Web services, if for no other reason than "because every vendor in the world has built it into their products."

Schulte recommended that companies building new applications from scratch employ a service-oriented architecture and use WSDL to document the interfaces. That will make it easier to integrate those applications with existing legacy and purchased applications, because it will have "nice, defined calls," he said.

Companies can then wrap their older applications with WSDL interfaces and write the code needed to transform the data. Or they can purchase an integration broker from specialized vendors such as Tibco Software Inc., webMethods Inc., SeeBeyond Technology Corp., Mercator Software Inc. and Vitria Technology Inc., or from large vendors such as IBM and Microsoft Corp.

Schulte said that only a small percentage of IT shops now use integration brokers, but he predicted that more will use them as Web services help drive down the high cost of the adapters that are needed to make connections between different applications.

"If you put in Web services and you cut the cost of the adapters in half, then you've cut the entire project cost by a quarter, and suddenly projects that you couldn't cost-justify before, you can now cost-justify," he said.

But it may take some time for the impact to trickle down to IT shops. One IT manager at a large retail chain, who requested anonymity, said he isn't interested in the Web services strategies of integration brokers "because it's still in the big-hype cycle."

"With Web services, it's going to be a long buy-in phase," he said.
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Reuters Internet Report
Supreme Court to Decide Internet Library Filters
1 hour, 17 minutes ago
By James Vicini

WASHINGTON (Reuters) - The U.S. Supreme Court (news - web sites) agreed on Tuesday to decide whether it violates free-speech rights to require public libraries to install filtering software on personal computers in an effort to protect children from Internet pornography.



The high court said it would hear a U.S. Justice Department (news - web sites) appeal defending the Children's Internet Protection Act, which mandates that libraries use the filters or else lose federal funding for Internet access.


The law, signed by President Bill Clinton in 2000, says a library must install a "technology protection measure" such as filters to prevent access to obscenity, child pornography or visual depictions considered "harmful to minors."



The justices will review a ruling by a special three-judge federal court panel in Philadelphia that the filtering provisions caused libraries to violate the First Amendment constitutional rights of their patrons.



The ruling found the filters erroneously prevented access to harmless Web sites while allowing access to some pornographic sites. It said libraries could use less restrictive alternatives and blocked the law's enforcement.



The law was challenged by a coalition of libraries, library patrons and Web site operators, led by the American Civil Liberties Union (news - web sites) and the Chicago-based American Library Association.



The case marked the third time the Supreme Court has considered efforts by Congress to shield children from online pornography.



The high court first struck down the Communications Decency Act of 1996. In May, the court ruled on the Child Online Protection Act of 1998, saying community standards could be used to determine material harmful to minors, but sending the case back for a decision on unresolved free-speech problems.



INDEPENDENT JUDGEMENT



In appealing to the high court, Solicitor General Theodore Olson said the ruling "deprives all the nation's public libraries ... of the ability to make their own independent judgement concerning how to avoid becoming a conduit for illegal and harmful material."


Before Congress adopted the law, 7 percent of the nation's libraries used filtering software on all of their computers, the Justice Department lawyer said.

"A library that refuses to make available to its patrons pornographic magazines or XXX videos may also refuse to make available comparable material through those computers," Olson said, adding that only a handful of libraries collect Hustler magazine or sexually explicit movies.

Olson said the only way for a library to comply with the ruling may be to refrain from adopting any Internet policy and leaving access decisions in the hands of its patrons.

The American Civil Liberties Union, the American Library Association and others who challenged the law said the ruling was plainly correct.

They said the law, forcing libraries to install filters, could risk changing librarians from information providers into censors.

Lawyers for the groups argued that use of filters, blocking Internet access to certain sites, was the same as the library buying an encyclopedia or magazine and then tearing out or deleting some of its content.

Because the case presented First Amendment issues of national importance, they did not oppose the government's request for full review by the Supreme Court.

The justices will hear arguments in the case next year, with a decision due by the end of June.
*********************************
MSNBC
Her picture became a porn ad
Scam artist stole her photo, used it in fake personals
By Bob Sullivan


Nov. 11 "Don't put your picture online" was a common warning in the early days of the Internet. Sound paranoid in the era of online dating? Don't tell that to Laura, who 18 months ago put up an online personals ad for one month. Since then, her photo has been stolen and used in dozens of fake personals ads soliciting hard-core sex and pornography. "You have no control," she said. "What's hardest is you have no idea who's seen it. What if someone really believes those things?"

ONLINE PERSONALS ADS are all the rage, and it seems everyone is doing it. a recent survey by Jupiter Research indicated some 34 million people have at least taken a peek at the Internet's dating scene. But taking such personal matters into such a public place has risks. In September, MSNBC.com revealed a widespread scam that has infiltrated all the major services. Someone is peppering sites like Match.com and Yahoo.com with tempting fake personal ads, almost exclusively women seeking men. The fraudster even engages legitimate ad posters in e-mail conversations, offering to strike up relationships, inviting them to online chats all to lure the unsuspecting would-be lovers onto expensive porn Web sites.
But now, it's clear men aren't the only victims. Real women's pictures are apparently being stolen and used in the fake ads.
The personals firms have been playing cat-and-mouse with the con artists for months, taking down advertisements that are obvious porn ploys. So the con artists have taken to stealing photos from real personal ads and using them to make the fake ads look genuine enough to slip under the radar.


HOW DID THIS HAPPEN?
Laura's picture was pilfered by just such a con artist in March of 2001, when she signed up for a free month of Yahoo's dating service. Her story also shows that the scam has been evading dating sites' monitors for at least 18 months, far longer than the 6 months initially suggested by MSNBC.com's September story.
Laura, not her real name, requested that MSNBC.com obscure her identity, but wanted to reveal details of her ordeal to help other women who might have suffered the same fate.
"I did everything I could think of to make it a safe experience. I started a new e-mail address. I didn't use my real name," she said. She went on a couple of dates, but decided online dating wasn't for her.
The trouble started almost immediately, when one of her prospective online dates ran across her pilfered photo.
"A month later I got a reply from someone I'd been corresponding with, saying 'What's going on with you? First you tell me you're 26 from Chicago, now it says you're 23 from Connecticut." She also got a second note, from a different suitor who guessed what was happening:
"I got an e-mail saying, 'Do you realize someone is using your picture in an unflattering way?' So I look, and there's my picture, but that's not my listing. And I think 'Oh my God, that's me but I didn't post this. How did this happen?"
It kept happening. Laura provided MSNBC.com with a 3-inch thick pile of paper, documenting dozens of personals ads using her photo.
In one, she was "Firecracker_heaven007" a 22 year old from Woodsville, N.H. In another, "lil_spank_spank," a 23 year old from Denver who expected "breakfast in bed" after the first date. In still another, she was "Chocolate_Starfish_0," who promised to "bring you the danger that firecrackers have" and invited men to "send me your e-mail and a pic of yourself. Who knows, maybe I'll make you explode."
In fact, many of the fake ads played on the firecracker theme, Laura said, making them relatively easy to find. So, last April, she began a near-obsessive journey to investigate the porn purveyor and stop the abuse.


NOWHERE TO TURN
She called Yahoo, which initially responded well to her plight. The firm removed the first two ads quickly because they didn't conform to site policies, she said. Apparently, the company was aware of the scam.
"When I called Yahoo, I was told 'It happens all the time. You're just the first person who's discovered their picture was being used," Laura said.
But after a while, the Yahoo abuse monitors insisted that she fax a photo ID and a written statement for each instance of her photograph, something Laura refused.
"They say it's my job to prove I am who I say I am," Laura said. "I understand that they need to not be deleting random things ... but if they make procedure so difficult, they know no one will reasonably follow it."
Yahoo didn't respond to a request for an interview for this story, but issued an e-mail statement:
"Yahoo has a strong track record of enforcing its Terms of Service and property Guidelines. The Yahoo! Personals Guidelines clearly outline what is and is not acceptable use of the service and Yahoo has strict processes in place to help ensure the proper use of our service and tools. We take appropriate action on all violations of our Terms of Service and Guidelines," the statement read.
Laura struck out on her own, attempting to identify and stop the abuse. Consultations with privacy rights advocates and lawyers bore little fruit.
"Everyone is sympathetic, but no one is able to do anything," she said.
Lawyers weren't interested because Laura couldn't prove actual financial harm; and without subpoenas to perform IP address traces at Internet service providers, privacy advocates couldn't stop the anonymous criminal. Law enforcement didn't help, either. Three months into the ordeal, an officer from the Illinois Computer Crime spent two hours interviewing Laura, but in the end concluded she didn't have a case because she couldn't prove threat to her well-being or financial loss. When he left, Laura remembers him saying "I hope I don't sound like a father, but I hope that you'll think twice before you put your picture on the Internet."
With nowhere to turn, Laura began to be depressed over the situation. Things only got worse when she became a victim of the economic downturn and lost her job. That gave her ample free time to chase down her abuser. Searching for new ads with her picture became an obsession. Her counselor warned her she was "going a little overboard."
All the while, Laura kept copious notes, and even did her own undercover investigating. She set up anonymous e-mail addresses and started to respond to ads that included her picture, noting IP addresses and Web site invitations that came back. She even believes she has a good lead on the criminal but no law enforcement agency would take on the case.
Five months later, depression overcame her, and she checked herself into a hospital.
"The thing that was most suffering was my self esteem and (the stolen image) played a major part in that," she said. "Imagine suddenly discovering you can't afford to pay your rent, but someone else is making money off your picture. It seemed like a really big injustice ... and I was wondering, if it's this easy to make money, why did I bother going to school? I could be making money off my picture. It's like being valued as a piece of meat."


'HOW'S THE PORN STAR'
When she emerged from treatment, Laura realized she had to follow her counselor's advise and "let it go." Around the same time, Yahoo changed its personals service from free to fee-based, so new ads with her picture were appearing much less frequently. She has new work now, as a teacher, and she tries not to poke around Yahoo looking for her image, but occasionally, she finds it most recently, two months ago.
"My friends walk up to me and say, 'Hey, how's the porn star?' We joke about it but only because I have to have a sense of humor about it. But then sometimes I have to say, 'OK stop, that's too much.' I'm still upset about it," she said.
Laura also plays in a rock band, and she's worried that someone might recognize her in a picture and approach her at a show some day.
"Guys get enough strange ideas when you are in a bar at 5 a.m.," she said. "I am not extremely frightened, but I really have no idea who saw that and got the wrong idea.
"You can think, 'Well, no no one's ever going to see it, they are putting up ads and locating them in different cities, so who would recognize me?' But still, if two other guys who e-mailed me found this right away, and took the time to e-mail me, I have to wonder how many other people have seen it? ... I just have this nagging suspicion in my mind that that someone will walk up to me and say, 'Hey, you're into S&M. And I'll have to say, 'No, I'm into graphic design.' "


I DON'T KNOW IF THERE'S AN ANSWER
Linda Foley, executive director of the Identity Theft Resource Center, said that it's common for women to discover their picture is being used in some unsavory way online. Most of the time, though, it's not quite as anonymous: for example, an ex-boyfriend seeking revenge posts images of his former girlfriend along with claims like "she likes it rough."
Foley was at a loss to recommend advice for anyone in Laura's situation, other than to avoid posting pictures with online dating service altogether.
"I don't know what the answer is. I don't know that there is an answer," she said.
That's because the Internet has been designed, from the start, to make it easy to share and swap information like images, said Rob Douglas, CEO of American Privacy Consultants, Inc.
"You can right click on any picture and copy it over to anything you want. ... It's the rarity that you see a Web site that takes any technological countermeasures to prevent copying of their material," he said. "Unfortunately, this is just one more example of how cautious we have to be in anything we put on the Internet. There's just so much nonsense going on, and so much that can go wrong."
For now, Laura has nearly stopped searching for personals ads with her picture attached, but she is still looking for satisfaction. When law enforcement wouldn't help, she started working through the privacy advocacy groups, like the Privacy Rights Clearinghouse. She's also interviewed with a lengthy list of legal assistance agencies. She's received little more than sympathy. Most recently, in August the DePaul Legal Clinic turned down her request for assistance, saying it would be hard for her to prove statutory damages, and it didn't have the resources to pursue cases involving monetary damages.
But she thinks the person who stole her picture is likely to be responsible for many of the fake ads that are now peppering all the major online dating sites an issue that is now looming over the otherwise booming services. One informal MSNBC.com survey revealed that about 5 percent of the ads in the Seattle area were fakes.
Her theory fits with what FreeNetPass operator Dave Anderson told MSNBC.com in September. FreeNetPass is a service that lets Net users pay a single fee for access to thousands of pornography Web sites, and Anderson claims a single scam artist is using online personals to trick would-be daters into signing up for FreeNetPass, then collecting commissions. Anderson says online personals services have a pretty good idea of who's behind the scam.
Laura believes a suspect will eventually be caught. In the meantime, she's moving on with her life, and still uses the Internet as much as ever.
"It's not that I've made peace with it," she said "It's just that I'm extremely patient. What goes around comes around. Sooner or later this is going to get resolved, and in some way I'll be compensated. Even if it's just the satisfaction of me having been so meticulous that he got in trouble."
*********************
MSNBC
How al Qaeda put Internet to use
From Britain, Webmaster kept 'the brothers' abreast on terror
By Andrew Higgins, Karby Leggett and Alan Cullison
THE WALL STREET JOURNAL


Nov. 11 In February 2000, an Egyptian merchant here in Guangzhou, the commercial hub of southern China, asked a local Internet firm for help in setting up a Web site. After lengthy haggling over the fee, he paid $362 to register a domain name and rent space on a server.

CHEN RONGBIN, a technician at Guangzhou Tianhe Siwei Information Co., and an aide went to the Egyptian's apartment. They couldn't fathom what the client, Sami Ali, was up to. His software and keyboard were all in Arabic. "It just looked like earthworms to us," Mr. Chen says.
All he could make out was the site's address: "maalemaljihad.com." Mr. Chen had no idea that meant "Milestones of Holy War." Nor that China, one of the world's most heavily policed societies, had just become a launchpad for the dot-com dreams and disappointments of Osama bin Laden's terror network.
In the months that followed, Arab militants in Afghanistan, a radical cleric living on welfare in London, a textile worker in Karachi, Pakistan, and others pitched in, laboring to marry modern technology with the theology of a seventh-century prophet. Their home page, featuring two swords merging to form a winged missile, welcomed visitors to the "special Web site" of Egyptian Islamic Jihad, a violent group at the core of al Qaeda. A few clicks led to a 45-page justification of "martyrdom operations," jihad jargon for kamikaze terrorism. It explained that killing "infidels" inevitably caused innocent casualties because "it is impossible to kill them separately."
Since the Sept. 11 attacks, radical Islam's use of technology has stirred both scrutiny and fear. The White House has warned that video footage of Mr. bin Laden could hold encrypted messages. The Federal Bureau of Investigation has called for vigilance against hacking into the computers that control vital services. Some experts have wondered if terrorism might even lurk in pornographic Web sites, with instructions embedded in X-rated photos.
The Milestones of Holy War site signals much more modest cyber-skills. Al Qaeda operatives struggled with some of the same tech headaches as ordinary people: servers that crashed, outdated software and files that wouldn't open. Their Web venture followed a classic dot-com trajectory. It began with excitement, faced a cash crunch, had trouble with accountants and ultimately fizzled.
But the project also illuminates the elusive contours of al Qaeda's strengths: far-flung outposts of support, a talent for camouflage and a knack for staying in touch using tools both sophisticated and simple. Though driven from Afghanistan, al Qaeda still has many hiding places, many channels of communication and boasts Mr. bin Laden's senior lieutenant, Egyptian Islamic Jihad chief Ayman al-Zawahri many means of attack.
Al Qaeda chiefs communicate mainly by courier, say U.S. officials. But their underlings make wide use of computers: sending e-mail, joining chat rooms and surfing the Web to scout out targets and keep up with events. Since late last year, U.S. intelligence agencies have gathered about eight terabytes of data on captured computers, a volume that, if printed out, would make a pile of paper over a mile high. The rise and eventual demise of maalemaljihad.com pieced together from interviews, registration documents and messages stored on an al Qaeda computer The Wall Street Journal obtained in Kabul provides an inside glimpse of this scattered, sometimes fumbling, but highly versatile fraternity.
Using Microsoft Front Page and other software, militants in Afghanistan devised graphics and assembled content, packaging hundreds of text, audio and video files for display on the Web. Because of primitive conditions there, they handed some technical tasks to confederates in China and later Pakistan. To upload content, they turned to an ally in Britain, using messengers to deliver compact discs to a shabby rented home in west London.


TRACKING JIHAD
The Central Intelligence Agency and other security services have tracked Egyptian Islamic Jihad closely for nearly a decade, monitoring Dr. Zawahri's activities alongside Mr. bin Laden in Sudan, Yemen and Afghanistan. Egyptian Jihad's Web site, however, began far from any well-known bastion of Islamic militancy, and beyond the reach of the CIA. Mr. Ali, the Egyptian trader who registered the site in China, lived in Jingui Garden, an upscale complex on Liberation North Road, a few miles from Guangzhou's international airport and a short boat ride from Hong Kong.
A tall, heavyset man with thin, straight hair that dangles over his eyes, Mr. Ali, who also uses the name Mohammed Ali, arrived in China in 1997. To Chinese who met him, he was just another foreign businessman scrambling to cash in on China's vibrant economy. He was a Muslim but didn't seem particularly observant. He paid his rent on time, stayed out of trouble and socialized mainly with fellow Arabs.
Contacted by the Journal in August, Mr. Ali denied any knowledge of Egyptian Islamic Jihad or its Web site. But the site's registration records it is registered in Beijing name him as the registrant and give the fifth-floor apartment where he lived at the time as a contact address for maalemaljihad.com.
Chinese police say they began monitoring Mr. Ali's movements and phone calls after Jingui property managers told them of inquiries by the Journal. Three days after a reporter's visit, Mr. Ali canceled his two mobile phones and disappeared. Police say he moved in with an Arab friend in Guangzhou but won't discuss his current whereabouts.
There's no evidence Mr. Ali was directly involved in terrorism. His role in the Web venture, however, suggests a hitherto-unknown jihad support network in southern China and shows how legitimate business can serve as a cover, even unwittingly, for al Qaeda activities.
Before he moved, Mr. Ali told the Journal that he ran his own machinery trading company called ZMZM General Trading. Officials at China's Industrial and Commercial Bureau say they have no record of a company under this name.
A housing rental agreement signed by Mr. Ali in 2000 names a different Guangzhou concern, Almehdhar Trading Co., as his place of work. Mr. Chen, the technician who helped set up maalemaljihad.com, says Almehdhar arranged his first meeting with Mr. Ali, and they met several times at its office. Almehdhar trades garments out of a cramped room in a downtown Guangzhou building. The firm's owner, a Yemeni named Abubakr Almehdhar, left China late last year, staff members say. Another Yemeni, Ayman Alwan, runs the office. He says Mr. Ali sometimes visited but wasn't an employee. Mr. Alwan says he knows nothing of the Web site.
In the spring of 2000, after negotiating a price with Mr. Ali, Mr. Chen's tiny Guangzhou firm contacted a big Beijing Internet company, Sinonets Information Technology Co., to arrange server space. Sinonets provided Mr. Ali with a facility that let him set up password-controlled mailboxes inside the Web site. "None of us even knew what 'jihad' meant," says George Chen, Sinonet's U.S.-educated president. "We never had any reason to be suspicious."
Nor, say Chinese officials, did China's vast security apparatus. Shortly after the Sept. 11 attacks, Guangzhou police made a sweep through Jingui Garden, checking the documents of foreign residents. Mr. Ali's were in order. China, though efficient at crushing Muslim separatists in its northwestern Xinjiang region as well as other dissents, has prickly relations with foreign intelligence services. In contrast to some Asian nations, China has uncovered no suspected al Qaeda activists, despite evidence militants have slipped in and out of China for years.
In the mid-1990s, a senior Egyptian Jihad operative made several trips to southern China posing as a businessman, according to documents seized by Russian police who arrested Dr. Zawahri and two confederates in late 1996 as they tried to enter Chechnya. Russian investigators found details of an account at the Guangzhou headquarters of the Bank of China. Still active, it belongs to an Arab friend of Mr. Ali.
Four months after its Chinese genesis, Egyptian Jihad's Web site put down roots in more-traditional Islamist terrain. In July 2000, maalemaljihad1.com, a sister site, was registered in the Pakistan port city of Karachi, a hotbed of Islamic militancy.
Egyptian Jihad, a group that announced a united front with Mr. bin Laden against America in 1998 and whose operatives figured prominently in the upper echelons of al Qaeda's operational command, often faced technical troubles. It may have used two Web sites as a precaution, says Yasser al-Sirri, a London Islamist who recently revived his own site, after being cleared of helping arrange the murder of the anti-Taliban Afghan warlord Ahmed Shah Massoud days before Sept. 11.
Registration records show maalemaljihad1.com was set up in July 2000 by a Karachi Web-design company called Advanced Learning Institute & Development Center. Its manager, Muhammed Ali Aliwan, says he registered the site on behalf of Ahmed Bakht, who worked in a local textile factory.
Reached by phone in Karachi, Mr. Bakht initially denied any knowledge of the jihad Web site. But later he said he had helped set it up on behalf of someone else, whom he wouldn't name. Soon after the call from a reporter, Mr. Bakht, too, vanished. His relatives say he left on a trip.
With technical foundations laid, militants in Afghanistan set about providing content for the Milestones of Holy War sites. The hard drive of the computer found in Kabul last winter contained the building blocks: statements by Mr. bin Laden and Dr. Zawahri, religious tracts, a photo album of "martyrs" and back issues of al-Mujahidoon, an often-vituperative Islamist newsletter.


NEWS DIGESTS
The Kabul computer also contained news digests, including video recordings of bulletins from al Jazeera and other TV stations with the faces of unveiled female news readers blacked out. U.S. officials say Mr. bin Laden shut down his satellite phone following news-media reports that the CIA was listening to his calls to his mother.
While fiercely hostile to any religious or social norms tinged by modernity, Islamists "have no problems with technology," says Omar Bakri, a radical cleric from Syria who lives in Britain. "Other people use the Web for stupid reasons, to waste time. We use it for serious things." (U.S. officials say Islamists weren't always so earnest: Many computers the CIA recovered from suspected al Qaeda operatives in Afghanistan and elsewhere contained pornographic material.)
In the fall of 2000, someone using the computer the Journal obtained in Kabul drafted an e-mail to Abu Qatada, a Palestinian preacher who had lived in Britain since 1993. It said a computer disk would be sent to him and asked him to upload its contents onto maalemaljihad.com.
The unsigned message gave punctilious instructions. It notified Abu Qatada of a password and told him to create an internal mailbox under the name Aljihad. "It is extremely important to establish this mailbox," said the message. Abu Qatada also known as Omar Mohamed Othman was also asked to "please write to the brothers" via Hotmail.
Abu Qatada took pride in his computer skills, fellow Islamists say. Besides helping out with maalemaljihad.com, he ran his own Web site and frequently joined chat-room debates. He would spend hours each day tapping at his computer in the front room of his rented house on a quiet street in Acton, west London. Neighbors say he kept the curtains closed and rarely spoke to them but often received bearded visitors.
In an interview late last year, Abu Qatada denied any terrorist links, describing himself as an honest preacher with "a big mouth and a big belly." But messages on the Kabul computer to and from Abu Qatada indicate extensive contacts with operatives in Afghanistan. European investigators say Abu Qatada acted as both a spiritual guide and a liaison officer, passing messages between scattered al Qaeda cells.
Last December, shortly before Britain adopted a new antiterrorist law, Abu Qatada vanished from his Acton home, stiffing his landlord and owing $700 on his cellphone service. He would turn up in London again later.
A few weeks after the drafting of the first e-mail message to Abu Qatada in late 2000, a militant in Kabul code-named Fat'hi wrote a follow-up note to be delivered to the cleric by courier. "The bearer of this message is a brother we trust," said Fat'hi, an alias used by Tariq Anwar al-Sayyid Ahmad, a veteran associate of Dr. Zawahri, the Egyptian Jihad leader and Mr. bin Laden's righthand man. "He will be the link between us and you. He has the CD we promised to send you containing our products. Please add some of the products to our site." Most important, he said, was transferring audio and video files to the site.
What these files contained wasn't specified. The Kabul computer held sermons and recruitment videos, including footage of militants taking potshots at a lifesize image of Bill Clinton. Clips from Walt Disney cartoons and wildlife films were spliced with hard-core jihad films, a technique apparently used to help conceal the content of al Qaeda videos and make it easier for traveling operatives to carry copies through customs.
Appended to Fat'hi's note was a shopping list for tools needed in Web-site construction, such as Ulead Cool 3D, for animation and three-dimensional effects, and WebPainter, for animation and graphics. "Please make sure you buy the latest," wrote Fat'hi, adding that the courier must return with them quickly to Kabul.
Relations were sometimes testy. "The Web site is OK until now, thank God, but it would have been better if you had done what I asked," said a message bearing the name of Abu Qatada in London, who complained of trouble uploading "the doctor's words," an apparent reference to statements by Dr. Zawahri.
Much of the software on the Kabul computer was pirated. This included a program that muttered Bism Allah ("in the name of God") each time the machine was booted up. Al Qaeda apparently ignored a request from the program's designers in Pittsburgh for a $24.95 registration fee. The program had been unregistered for 81 days when Kabul fell last Nov. 13.
Also tight-fisted was Mr. Ali, the Egyptian who registered maalemaljihad.com in China. In February 2001, the Internet company hired the prior year informed Mr. Ali that his contract for server space would expire unless he paid an additional fee. Mr. Ali, says his Chinese translator, declined to pay.
His reluctance to cough up was motivated in part by dissatisfaction with the Chinese site's erratic operation, e-mail traffic stored on the Kabul computer indicates. "I want you to try to enter and use the site. If you are able to do so I will call the company and pay the renewal fees," says an unsigned message from the same Hotmail account Abu Qatada had been told to use to contact the "brothers." A few weeks later, Mr. Ali decided to renew the account after all, paying an additional $120 to Chen Rongbin, the technician who visited his apartment earlier. Mr. Chen sent it to Sinonets in Beijing.
But now the bookkeepers messed up. Sinonets says the accounting department mislaid Mr. Ali's money. The renewal order was never processed. Maalemaljihad.com crashed.
The site's Pakistan-registered twin staggered on for several months but then crashed in the summer of 2001 after Mr. Bakht failed to pay renewal charges. Islamists still had many communications outlets sympathetic to Mr. bin Laden and Dr. Zawahri, but not the "special Web site" supervised from al Qaeda headquarters in Afghanistan.
Fat'hi, the Egyptian Islamic Jihad veteran who helped organize the Web sites' content, died in a U.S. bombing raid in Afghanistan. Those who set up the Web sites vanished, but one figure stayed in touch. At a London gathering of Islamic radicals in July, the organizer read a statement of support he said he'd received via the Web from an absent champion of global jihad: Abu Qatada.
Late last month, British police raiding a south London public housing block seized the Palestinian cleric. He has not been charged but is being held as a terror suspect under a new British law introduced after the Sept. 11 attacks that permits the detention without trial of foreigners deemed a danger to national security.
Held in a high-security jail, he has not responded publicly to his arrest. But Islamist supporters denounced his detention, mostly via statements on the Internet such as "May Allah secure his rapid release."
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Sydney Morning Herald
Fighting for online rights
November 12 2002


The man who set up the Web site windows1984.com says he did it to increase community awareness about issues which "threaten to bring us closer to the dystopian nightmare of George Orwell's novel, 1984".

Shane Caple, who lives in Darwin, said the site did not merely aim to educate people about Palladium and Digital Restrictions Management. "I set up the site to draw attention to the cause of online rights, and to warn about the effects of technologies and laws which threaten to erode those rights," he said.

He said he intended to host articles about copyrights laws, both in Australia and abroad, to highlight the adverse impact they had and their harsh nature. He also planned to document Microsoft's "ongoing propaganda campaign" against Linux and Open Source software.

Asked why he had registered the domain in France and hosted the site in the UK, Caple said it was only economic reasons that drove him to do this. "The domain name registrar I used charges $24 for a one-year lease, compared with $70 from MelbourneIT for the same period."

He said he was quite confident that his site could not be shut down. "Microsoft could lodge a dispute with ICANN, but I doubt that this would work to Microsoft's advantage. The Web site isn't going to go away. In fact, I am in the process of setting up a number of mirror sites to help cope with the anticipated traffic."

Caple urged Australians to monitor the Web site of Electronic Frontiers Australia, a non-profit national organisation representing Internet users concerned with online freedoms and rights.

"Earlier this year, the EFA raised concerns about a Senate bill which would have allowed agencies to intercept and "read" email, voice mail and SMS messages that are stored on a service provider's equipment pending delivery to the intended recipient. Fortunately the bill was defeated," he said.

Caple said he sought to have "offline" rights to privacy and free speech preserved online.
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New Zealand Herald
'Duty' of telecoms to assist snooping
13.11.2002
By FRANCESCA MOLD


The Government has introduced new legislation requiring telecommunications companies to help the police and security agencies snoop on emails and listen in on mobile phone calls.

The Telecommunications (Interception Capability) Bill, tabled in Parliament yesterday, will mean telephone and internet service providers will be legally obliged to ensure their systems are capable of isolating and intercepting suspect emails and mobile calls while still protecting the privacy of others.

The companies will have a "duty to assist" the police, the Security Intelligence Service (SIS) and the Government Communications Security Bureau if they have a warrant to intercept calls or emails.

The new legislation will not increase or change the existing powers of police and security agencies to intercept telecommunications.

The bill said that changes in telecommunications technology meant surveillance agencies were now unable to intercept some communications despite having the legal authority to do so. "Organised criminals are aware of this and these proposals are necessary to prevent law enforcement and national security capability being seriously eroded."

The Government will pay $3 million towards modifying telephone networks so they are capable of eavesdropping on suspicious conversations. Most of that money is expected to be spent on upgrading Telecom and Vodafone services over the next 18 months.

Telecommunications companies will have to pay the cost of upgrading their internet and email services themselves.

They have been given five years to implement the changes needed to meet the requirements of the new law.

The Government claimed giving the organisations five years would reduce the financial impact on the industry because it would gradually be replacing equipment over that time anyway.

Neither Telecom nor Vodafone returned calls from the Herald yesterday about the new legislation.

Green MP Keith Locke said the cost was a concern for the telecommunications companies.

But he said there were more serious concerns such as the impact the new legislation would have on people's right to privacy.

He said the proposed new law and another bill amending the Crimes Act to allow police to hack into computers and intercept emails gave security agencies a dangerously high level of power to intrude into the lives of New Zealanders.

The Green party was unlikely to support the bill when it was debated in Parliament, Mr Locke said.
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Network Digest
FCC Allocates Spectrum for Advanced Wireless Services


[]The FCC acted to allocate an additional 90 MHz of spectrum in the 1710-1755 MHz and 2110-2155 MHz bands that can be used to provide new advanced wireless services, i.e. 3G or IMT-2000. Two contiguous 45 MHz bands could be used by current licensees to expand their wireless voice and data services or it could be used by new entrants to support the development of entirely new applications. The spectrum was previously used by the federal government, microwave licensees and multipoint distribution services. In addition, the FCC is seeking comment on what geographic boundaries should be used to license this spectrum, and whether the bands should be divided into blocks of particular size.
http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-228237A1.pdf
FCC, 07-Nov-02
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Network Digest
FCC Spectrum Policy Task Force Recommends New Regulatory Approach


The FCC Spectrum Policy Task Force presented its recommendations to modernize the rules that guide how the nation's spectrum is managed and utilized and to evolve from a traditional "command and control" regulatory model to a more consumer-oriented approach. The Task Force concluded that the current spectrum policies are out of date and unable to keep pace with the demands of the market. Some spectrum bands are heavily used, while others are used only part of the time. This creates an opportunity for new services in the "white spaces." Similarly, software-defined radios also present new spectrum policy challenges. Among the recommendations:

Provide incentives for efficient spectrum use by both licensed and unlicensed users through flexible rules and by facilitating secondary spectrum markets.
Adopt quantitative standards to provide interference protection, i.e., adopt a new "interference temperature metric" to establish maximum permissible levels of interference on a band-by-band basis. Improve access through the time dimension in addition to the current dimensions of frequency, power and space, in order to permit more dynamic allocation and assignment of spectrum usage rights.
Balance future spectrum policy on three spectrum rights models: an exclusive use approach, a commons approach, and to a lesser extent, a command-and-control approach.


http://hraunfoss.fcc.gov/edocs_public/attachmatch/DOC-228242A1.pdf
FCC, 07-Nov-02
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Red Herring
Up Against the Firewall
U.S. technology companies are helping China build its Big Brother Internet--the political fallout has already begun.
By Ethan Gutmann
November 8, 2002


January 2001: Network Associates Technology, Symantec, and Trend Micro gain entry to the Chinese market by donating 300 live computer viruses to the Public Security Bureau--China's state police--raising Pentagon concerns about China's information warfare capabilities.

December 2001: A human rights activist accuses Nortel Networks of coperating with China's police by enhancing digital surveillance networks and transferring to the Chinese Ministry of State Security technology developed for the FBI.
[Story http://www.redherring.com/insider/2002/11/firewall110802.html]
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Lillie Coney
Public Policy Coordinator
U.S. Association for Computing Machinery
Suite 510
2120 L Street, NW
Washington, D.C. 20037
202-478-6124
lillie.coney@xxxxxxx