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U.S. Presses China to Stop Growing Trade Secret Theft
Reuters (05/02/13) Palmer, Doug; Jones, Terril Yue
The U.S. Trade Representative's (USTR) office issued a report on Wednesday urging Chinese authorities to stop stealing the trade secrets of American companies. USTR said in its annual report on countries with the poorest records of protecting U.S. intellectual property rights that the Chinese government should deter such theft from occurring by "rigorously investigating and prosecuting thefts of trade secrets by both cyber and conventional means." Meanwhile, China's Foreign Ministry spokeswoman Hua Chunying called the American accusations of theft "groundless" and urged U.S. authorities to offer fewer accusations and instead "sit down in a constructive spirit with all relevant parties to talk about these issues." The accusations of intellectual property theft by the USTR come as U.S. companies such as General Motors, DuPont, Motorola, and Dow Chemical have all said that they have been victims of trade-secret theft. Victims of such theft often lose their competitive edge and market position, as the payoff from their research investment is slashed or nullified completely.
Baby Formula Theft Ring Busted After Suspects Hit Stores from Portland to Salem, Police Say
OregonLive.com (04/30/13) Bernstein, Maxine
Police in Oregon have arrested several suspects believed to have been involved in a string of baby formula thefts. It is believed that suspect Frances J. Davenport and an accomplice stole approximately $11,537 in formula from Safeway stores in Washington state and four counties in Oregon, with nearly 100 separate thefts reported between between November 2012 and March. They also reportedly targeted 50 different Albertsons stores from Portland to Salem, stealing $5,886 in formula. The vast majority of the stolen product was allegedly passed on to Claudia Kaestner of Salem, who is believed to have sold the formula on eBay to customers across the country. Retail investigators say infant formula is a popular draw for thieves because of consistent demand. "With nearly 4 million babies born in the U.S. each year, infant formula is a basic need item. At $15 to $32 per can, babies go through several cans each month," explained Rick Whidden, the director of loss prevention for Safeway's Northwest Division.
Citing 'Environmental Terrorism,' Oregon House Passes Bills Targeting Tree-Sitters, Environmental Activists
Oregonian (04/29/13) Zheng, Yuxing
The Oregon House of Representatives on Monday approved two bills that target environmental activists who interfere with logging in state forests. One bill would create the crime of interference with state forestland management, and the other would let contractors working with the Oregon Department of Forestry sue protestors for the cost of damaged equipment, employee wages, attorney feeds, and the like. Defendants found guilty of interfering with forestland management the first time would face a year in jail, a $6,250 fine, or both. Subsequent convictions would amount to higher fines and jail times, up to a maximum of 18 months in jail and a $125,000 fine. State Rep. Wayne Krieger said the legislation was necessary because environmental protestors were known to "overturn their vehicles on roads, chain themselves to trees, chain themselves to equipment, damage equipment, dig ditches in the roads, [and] drive spikes in trees to cause injuries to workers," among other things. But American Civil Liberties Union of Oregon Legislative Director Becky Straus said the bills are "effectively criminalizing civil disobedience for one particular group" because of the "content of the speech and the type of person who engages in the conduct." Jason Gonzales, a spokesman with the environmental protest group Cascadia Forest Defenders, said the bills will have little effect on protestors if they pass the State Senate. "There's no law that can stop somebody from acting on something they passionately believe in," he said. "There's not some level of punishment that will make us not want to do that."
Eletropaulo Plans Biggest Brazil Smart Grid to Fight Power Theft
Bloomberg (04/29/13) Nielsen, Stephan
The Brazilian power company Eletropaulo Metropolitana de Eletricidade de Sao Paulo is planning to invest in a smart-grid project that it says will help cut down on the theft of electricity. As part of that project, Eletropaulo will install 60,000 wireless electric meters at buildings in a Sao Paulo suburb that the company will use to remotely monitor electricity usage at those locations. If the devices indicate that electricity is being stolen, Eletropaulo will be able to cut off service to those locations remotely. The company plans to begin installing the meters next year, though a more basic version that is also designed to detect theft will be installed at the homes of roughly 2,100 low-income families beginning in June. Eletropaulo currently loses 3.8 percent of its electricity to theft.
K-9 Team Member Enhances Hospital's Security Force
The Spectrum (04/28/13) Pike, Kristy A.
Southern Utah's Dixie Regional Medical Center has in its employ a rarity among hospitals in Utah and Idaho's Intermountain Healthcare system -- Zeus, one of only four trained K-9s employed by the healthcare provider. Zeus is part of Dixie's safety and security department, and he, along with his handler Jason Oliekan, are tasked with protecting patients, staff, and visitors from hazardous situations like crime and combative patients. The dog is trained in tracking and detaining people who might pose a threat to those in the hospital. Given a scent, the dog will track someone down, corner them, and bark until assistance arrives. He is trained not to bite as long as the suspect remains cooperative and does not make any sudden movements. Zeus learned his abilities at Canine Training Academy in Canyon City, Colo., and he is also trained in search and rescue techniques.
Boston Plotters Said to Initially Target July 4 for Attack
New York Times (05/03/13) Schmitt, Eric; Mazzetti, Mark; Schmidt, Michael S.; et al.
Boston Marathon bombing suspect Dzhokhar Tsarnaev has told investigators that he and his brother Tamerlan had originally planned on carrying out suicide attacks on July 4. That admission came when officials interviewed Tsarnaev on April 21 and is just now being made public. Tsarnaev also said that he and his brother finished building their pressure cooker bombs faster than expected, so they decided to attack the Boston Marathon instead. In addition, Tsarnaev said during the interview that he and his brother watched sermons given by the radical Muslim cleric Anwar al-Awlaki over the Internet. Officials believe that those sermons played at least a small role in the radicalization of the Tsarnaevs. There is no indication that the Tsarnaevs ever communicated with al-Awlaki before he was killed in a drone stroke in Yemen in September 2011. Law enforcement officials also asked Tsarnaev about his motivation for carrying out the Boston Marathon bombing, as well as whether he had any ties to terrorist organizations. Tsarnaev said that he and his brother were motivated by the wars in Iraq and Afghanistan, as well as what they viewed as a larger conspiracy against Muslims. Tsarnaev also said that he and his brother acted alone and that they had no ties to a larger terrorist organization. Officials are in the process of trying to confirm the information provided by Tsarnaev during the interview.
U.S. Charges Three More in Boston Marathon Case
Wall Street Journal (05/02/13) Perez, Evan; Levitz, Jennifer; Kamp, Jon
Criminal charges were filed Wednesday against three friends of the Boston Marathon bombing suspect Dzhokhar Tsarnaev, two of whom are accused of discarding evidence in the case. Officials say that Dias Kadyrbayev and Azamat Tazhayakov were in Tsarnaev's dorm room at the University of Massachusetts Dartmouth shortly after the bombings when they noticed a backpack that contained fireworks shells. Authorities also say Kadyrbayev knew at that point that Tsarnaev was involved in the Boston Marathon bombing, and that he decided to take the backpack from Tsarnaev's room in order to help him. Kadyrbayev, Tazhayakov, and a third man who was also friends with Tsarnaev, Robel Phillipos, ultimately decided to throw away the backpack and its contents so that Tsarnaev would not be linked to the bombings, the affidavit in the case says. However, only Kadyrbayev and Tazhayakov have been charged with discarding evidence, while Phillipos has been accused of lying to officials about the alleged destruction of evidence. None of the three are believed to have played a role in executing the bombing or of having knowledge about the plot before it was carried out. Kadyrbayev has admitted to throwing out the backpack but has said that he did not know it contained evidence from the bombings. His attorney also said that he did not know that Tsarnaev carried out the bombings after he saw the backpack in his room, and only began to suspect his friend later. Lawyers for Tazhayakov said only that their client was cooperating with the investigation, while Phillipos' attorneys generally declined to comment on the allegations.
Female DNA Found on Bomb in Boston
Wall Street Journal (04/30/13) Perez, Evan; Cullison, Alan; Barrett, Devlin
Investigators probing the Boston Marathon bombings said Monday that they have found female DNA on at least one of the explosive devices used in the attack. Officials have not made any conclusions based on this finding, and instead offered several possible explanations for the presence of female DNA on at least one of the bombs. The presence of female DNA could mean that a woman helped suspects Tamerlan and Dzhokhar Tsarnaev carry out the bombings, officials said, though it could also mean that a female store clerk simply handled the materials used in the bombs before they were purchased. A stray hair from a woman also may have ended up in the bomb, officials said. Officials have not yet determined who the DNA belongs to. One theory is that the DNA might belong to Tamerlan Tsarnaev's widow, Katherine Russell. FBI agents traveled to Russell's parents' home in Rhode Island on Monday to collect a DNA sample from her to see if the DNA that was found is hers. An attorney for Russell said that she is cooperating with the investigation, though the FBI has been trying to obtain fuller access to question her. Russell is one of as many as six people who officials have focused on in order to determine whether the suspects had any help in carrying out the bombings. At this point there is no evidence that any of the Tsarnaev's associates played a role in the attack.
Tests Link Deadly Ricin to Obama Letters Suspect
Associated Press (NY) (04/30/13) Mohr, Holbrook; Reeves, Jay
The FBI says that it has linked Mississippi resident James E. Dutschke to the ricin-laced letters that were sent to President Obama, Sen. Roger Wicker, and Lee County, Miss., Judge Sadie Holland. According to an affidavit, FBI agents tested the inside of a martial arts studio formerly owned by Dutschke, as well as several items which he was observed removing from the establishment, and found they tested positive for ricin. The affidavit also said FBI agents found documents in Dutschke's home that had similar markings to the letters sent to the federal and state officials. In addition to this, the agents found Dutschke had used the Internet to buy castor beans, from which ricin is extracted, and to download a publication that explains safe handling and storage methods for ricin. Dutschke was arrested on April 27. The FBI previously suspected Mississippi resident Kevin Curtis to be the culprit behind the attack because the letters were signed, "I am KC and I approve this message." Curtis maintained his innocence and told federal investigators Dutschke, described as a long-time foe of his, might have been trying to set him up. Dutschke is currently being held by the FBI without bond pending a hearing May 2 in U.S. District Court in Oxford, Miss.
Boston Bombings Show a Changing Face of U.S. Terrorism
Washington Times (04/29/13) Taylor, Guy
Terrorism experts say that the threat of terrorism in the United States has shifted from one of large, organized groups launching sophisticated attacks similar to 9/11 to one where smaller groups, often radicalized Americans, launch smaller attacks that are less deadly but more difficult to detect and stop. The recent Boston Marathon bombing and a slew of smaller failed attacks in recent years shows this shift toward lone-wolf attackers. Seth Jones, the associate director of the International Security and Defense Policy Center at the Rand Corp., said these lone wolves are "individuals with nominal or no links with a terrorist organization overseas, but have simply been inspired to conduct attacks." He added that the online component of new-age jihadism has become "increasingly important" in recent years because it allows anyone with an Internet connection to explore jihadist websites and listen to sermons posted by fanatical Islamic leaders. It is still unknown whether the Boston Marathon bombing suspects received training and were radicalized abroad, or if they gleaned information from the Internet about radical Islamic beliefs and instructions for building the pressure-cooker bombs they allegedly used in the bombing.
Hacker Breached U.S. Army Database Containing Sensitive Information on Dams
Wired (05/13) Zetter, Kim
A hacker compromised the U.S. Army Corps of Engineers' National Inventory of Dams, which contains data on the number of estimated deaths that would occur if any of the nation's roughly 79,000 should fail. Pete Pierce, a spokesman for the Army Corps of Engineers, said that the breach took place in January when an "unauthorized individual" was given access to "sensitive fields of information not generally available to the public." He explained that the user's access was revoked immediately upon discovering he or she was not authorized to access the database. Anonymous U.S. officials, meanwhile, said the hack was traced to "the Chinese government or military cyber warriors," but they offered no evidence to support the claim. Former CIA consultant Michelle Van Cleave said the stolen data could be used for future attacks against the United States. "In the wrong hands, the Army Corps of Engineers' database could be a cyber attack roadmap for a hostile state or terrorist group to disrupt power grids or target dams in this country," she said.
Deals Site LivingSocial Hacked
Associated Press (04/30/13)
The personal data of some 50 million LivingSocial customers could have been compromised following an attack on the deal site, the company said April 26. LivingSocial said the names, e-mail addresses, dates of birth, and encrypted passwords of some of its users might have been compromised during the attack, but it stressed the database storing customer credit card information was not affected. The daily deals site has sent warnings to its customers in the United States and abroad via e-mail, telling them of the cyber attack, suggesting they change their passwords, and urging them to ignore any e-mails purporting to be from LivingSocial that ask for personal or password information. LivingSocial would not give information on how the attack occurred, saying only that it "resulted in unauthorized access to some customer data from our servers."
Some Guardian Twitter Accounts Hacked, Likely More to Follow
All Things Digital (04/29/13) Isaac, Mike
The British newspaper The Guardian had several of its Twitter accounts compromised over this past weekend by the hacker collective the Syrian Electronic Army (SEA). The accounts that were hacked were used to tweet advertisements for the hacking group that read, "Follow the Syrian Electronic Army … Follow the truth! @Official_SEA12 #SEA #Syria." SEA has claimed responsibility for other recent high-profile hacks, including attacks on the Twitter profiles of NPR and CBS. The group also claimed responsibility for a false tweet from the Associated Press Twitter account that claimed President Obama had been injured in an explosion at the White House. Twitter said SEA gained access to the accounts through spear phishing attacks aimed at corporate e-mail accounts. The tech company recently sent out an e-mail to a number of journalists who use its service, warning them of the phishing attacks and urging them to follow security guidelines. The e-mail also stated that Twitter believes that these attacks will continue, and that news and media organizations will continue to be seen by hackers as tempting targets.
Cyber Compliance: Defense Strategies Neglect 'Know Your Enemy' Rule
Wall Street Journal (04/26/13) Millman, Gregory J.
Experts say that the cybersecurity industry uses blanket protections to ward off would-be intruders, but that such defense measures could begin to falter as corporate resources become strained and hackers become more innovative. In order to stop this from happening, cybersecurity experts will need to spend more time getting to know their enemies, according to Lance James, the chief scientist at the security services firm Vigilant. He said hackers' motivations can be explained by the acronym MICE -- money, ideology, coercion, and ego -- and what their motivations are can influence the type of attack they launch. For instance, those hackers who are more interested in stealing bank account information might use a "fast, aggressive style of attack" aimed at getting the most information in the quickest way possible, he said. Alternatively, attackers looking to steal corporate secrets will likely use a "slower, more organized, detailed, and discreet" attack that remains undetected for some time and allows them to gain competitive advantages, James explained. It can oftentimes become a chess game between a cybersecurity expert and a hacker, said John South, the chief security officer of Heartland Payment Systems. Similar to chess, hackers sometimes conceal their true purpose with a feint, he explained. He said an example of this would be when hackers launch a Distributed Denial of Service attack as a distraction while they simultaneously move to compromise sensitive data.
Military Grooms New Officers for War in Cyberspace
Associated Press (NY) (04/26/13)
The U.S. Army, Navy, and Air Force academies have announced plans to expand cyber security training. While all of the academies have been training cadets in the basics of cyber warfare for more than 10 years, scrutiny of the programs has increased along with news of continued cyber attacks and spying on the nation's public and private infrastructure. In light of these threats, all recruits at the Naval Academy are required to take a semester-long course on cyber security as freshmen, and there are plans to add a second required course for juniors during the 2013-2014 school year. The Air Force Academy, meanwhile, has offered a degree in computer science-cyber warfare since 2004. Students with this major are required to take courses in cryptology, information warfare, and network security as well as standard computer science. The Air Force is also restructuring a freshman computing course so more than half of its content is about cyberspace, and it is looking into offering an additional cyber course. The Army ensures that nearly every cadet takes two technology courses related to topics including computer security and privacy. West Point also offers cyber courses and a computer security group.
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