
6-6-96. UST: "Businesses bypass law to fend off hackers." In cyberspace, where hackers are finding commercial computer systems easy prey, businesses are choosing to hire free-lance security teams rather than involve the law. A Senate subcommittee heard Wednesday from experts who described how businesses, concerned over negative publicity, avoid reporting hacker assaults on their networked computer system. "You stop the bad guy and send him to your competitor," said Dan Gelber, the committee's chief counsel. Senator Nunn asked the subcommittee staff to comment on an article in this week's Sunday Times of London that reported, "Cyberterrorists have amassed up to L400 million worldwide by threatening to wipe out computer systems" belonging to banks and brokerage houses if they refuse to pay a ransom. "While we can't confirm the entire story," said Gelber, "it is extremely consistent with what industry insiders tell us." http://pwp.usa.pipeline.com/~jya/fendof.txt ---------- UST had two editorials June 5 on encryption: one criticizing the administration's position, and another defending GAK by Sally Katzen with OMB. http://pwp.usa.pipeline.com/~jya/yeanay.txt

John Young writes:
In cyberspace, where hackers are finding commercial computer systems easy prey, businesses are choosing to hire free-lance security teams rather than involve the law. A Senate subcommittee heard Wednesday from experts who described how businesses, concerned over negative publicity, avoid reporting hacker assaults on their networked computer system.
Shocking, that. Of course this happens. I mean, its part of my bread and butter. However, this shouldn't be surprising -- businesses have ALWAYS operated this way, whether on shoplifting or catching employees with their hands in the kitty or hacking. It is not only a question of avoiding embarassment, but also a question of having different interests from law enforcement. The company wants safety, not convictions. They don't have to worry about warrants or absolute proof -- they only have to worry about their actions being defensible in a civil suit. This makes their operations in such cases very different indeed. Perry
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jya@pipeline.com
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Perry E. Metzger