Excerpt below of statement on encryption policy by Senate Majority Leader Lott published in the October 21 Congressional Record. Full statement at: http://jya.com/lott-crypto.htm (12K) ---------- Senator Lott: During the past month, the FBI has attempted to change the debate by proposing a series of new mandatory controls on the domestic sale and use of encryption products. Let me be clear. There are currently no restrictions on the rights of Americans to use encryption to protect their personal financial or medical records or their private e-mail messages. There have never been domestic limitations, and similarly, American businesses have always been free to buy and use the strongest possible encryption to protect sensitive information from being stolen or changed. But now, the FBI proposes to change all that. The FBI wants to require that any company that produces or offers encryption security products or services guarantee immediate access to plain text information without the knowledge of the user. Their proposal would subject software companies and telecommunications providers to prison sentences for failure to guarantee immediate access to all information on the desktop computers of all Americans. That would move us into an entirely new world of surveillance, a very intrusive surveillance, where every communication by every individual can be accessed by the FBI. Where is probable cause? Why has the FBI assumed that all Americans are going to be involved in criminal activities? Where is the Constitution? And how would this proposal possibly help the FBI? According to a forthcoming book by the M.I.T. Press, of the tens of thousands of cases handled annually by the FBI, only a handful have involved encryption of any type, and even fewer involved encryption of computer data. Let's face it--despite the movies, the FBI solves its cases with good old- fashioned police work, questioning potential witnesses, gathering material evidence, and using electronic bugging or putting microphones on informants. Restricting encryption technology in the U.S. would not be very helpful to the FBI. The FBI proposal won't work. I have talked with experts in the world of software and cryptography, who have explained that the technology which would provide compliance with the FBI standard simply does not exist. The FBI proposal would force a large unfunded mandate on our high technology firms, at a time when there is no practical way to accomplish that mandate. Rather than solve problems in our export policy, this FBI proposal would create a whole new body of law and regulations restricting our domestic market. This and similar proposals would also have a serious impact on our foreign market. Overseas businesses and governments believe that the U.S. might use its keys to computer encryption systems to spy on their businesses and politicians. Most U.S. software and hardware manufacturers believe this is bad for business and that nobody will trust the security of U.S. encryption products if this current policy continues. In fact, this proposal appears to violate the European Union's data-privacy laws, and the European Commission is expected to reject it this week. So, the FBI proposal would: Invade our privacy; be of minimal use to the FBI; would require nonexistent technology; would create new administrative burdens; and would seriously damage our foreign markets. This is quite a list. Mr. President, the FBI proposal is simply wrong. I have learned that even the administration does not support this new FBI proposal. So why does the FBI believe it must now subject all Americans to more and more surveillance? This independent action by the FBI has created confusion and mixed signals which are troublesome for the Senate as it works on this legislation. Perhaps the FBI and the Justice Department need to focus immediately on a coordinated encryption position. Mr. President, I congratulate the members of the House Commerce Committee for rejecting this FBI approach by a vote margin of more than 2 to 1. -----