Congress Puts Hooks in Spyware, Copyright Crooks
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Congressional lawmakers are taking a cue from Hollywood with an aim to beef up penalties against people who illegally swap copyrighted movies and songs over the Internet. Meanwhile, lawmakers also are targeting spyware and hackers with the threat of jail time for evil cyberspace deeds.
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Bueller? Bueller? Bueller? The US House of Representatives has passed an anti-spyware bill, but the measure must be passed by the Senate before it becomes law. The Senate does not currently have anti-spyware legislation in front of it.â¦
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The US House of Representatives passed a second spyware bill on Thursday adding more teeth to a previously passed spyware bill that included fines for offenders.
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The House on Thursday passed the second bill in three days that would outlaw "spyware," irritating software that quietly monitors the activities of Internet users.    It would add penalties of up to five years in prison for people convicted of installing such programs without a computer user's permission...
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In a move that takes aim at file-swapping networks, the US House of Representatives voted to boost penalties for online piracy and increase federal police powers against Net copyright infringement.
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WASHINGTON - Spyware legislation that would allow fines of up to $3 million for makers of software that steals personal information from a user's computer or highjacks its browser will get a second look after the U.S. Congress failed to pass the legislation in 2004.
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Officials in the US are cracking down on an alleged distributor of Internet &quot;Spyware.&quot; In the first suit of its kind, the US Federal Trade Commission (FTC) claims Seismic Entertainment and SmartBot, secretly installs programs on a users&#39; computer without
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Regulators are trying to prevent scams caused by software that computer users may not even know is on their PCs.
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With Congress considering new legislation to increase penalties against spyware companies that install programs on people&#39;s computers without their knowledge, the Federal Trade Commission last week filed a complaint against Sanford Wallace, the New
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The Federal Trade Commission formally announced yesterday its first assault against spyware - bits of computer code that surreptitiously install themselves on the computers of Internet users
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SPY ACT would allow fines of up to $3 million for some types of spyware.
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(InfoWorld) - CAMBRIDGE, Mass. -- Two of the agencies most actively involved in bringing cyber-criminals to justice in the United States have expressed opposing opinions over pending anti-spyware legislation. Even as a trio of spyware bills is moving forward on Capitol Hill, officials from the Center for Democracy and Technology (CDT) and the Federal Trade Commission (FTC) said their two organizations have differing views on the need for passage of the proposed laws. At a forum sponsored by the Anti-Spyware Coalition and held here at Harvard Law School on June 27, officials from the FTC and CDT -- a Washington-based nonprofit that has become a prominent Internet policy watchdog -- detailed areas where their organizations diverge regarding Congressional anti-spyware bills. The Anti-Spyware Coalition -- a security consortium backed by industry players including AOL, Dell, Google, McAfee, Microsoft, and Yahoo -- hosted the panel that brought legal experts from the two organizations together to air their differences. The discussion was hosted by John Palfrey, executive director of the Berkman Center for Internet and Society at Harvard Law, a well-known expert in the field of Internet security and privacy issues The three pieces of legislation being debated were the Internet Spyware Prevention Act of 2007 (I-SPY Act) and Securely Protect Yourself Against Cyber Trespass Act (SPY ACT) -- both of which passed vote in the U.S. House of Representatives in May and remain up for debate in the Senate -- and the Counter Spy Act of 2007, introduced before the Senate in mid-June. While both the FTC and CDT are actively involved in attempts to bring suspected purveyors of spyware to court and stop them from distributing illegal code to end-users, the agencies appear to be divided over whether the new laws will result in more prosecutions. The CDT supports passage of all three proposed bills, claiming that any additional laws that increase civil and criminal penalties against spyware brokers and better define illegal practices will prove helpful in bringing new cases -- despite the group's recognition of flaws in all three bills. For its part, the FTC contends that the new laws may only serve to muddle its ability to go after cyber-criminals when it finds them. In outlining each of the bills for the assembled audience, CDT Deputy Director Ari Schwartz highlighted the group's hopes for each of the measures. The I-SPY Act is the least controversial of the three bills in that it merely seeks to extend penalties established in the Computer Fraud and Abuse Act -- originally passed in 1986 -- and make the legal punishments for criminal hacking more severe. The CDT is fully behind the bill and it passed through House hearings with almost no opposition, proving its overall appeal, Schwartz said. The SPY ACT -- originally written by California Republican Rep. Mary Bono and passed by the House in previous sessions -- has proven more divisive; some businesses are expressing serious concerns about the proposal's limitations on consumer information gathering and the fact that the bill would supersede existing state anti-spyware laws. Even though the CDT is against the idea of undercutting existing state laws, the group still supports the measure as it raises penalties on some criminal cyber-crimes and directly addresses troublesome spyware affiliate distribution issues, said Schwartz. The Counter Spy Act was only recently re-introduced by Arkansas Democratic Sen. Mark Pryor. Previous backers of the bill were voted out of Congress last year, making chances slim that the legislation will move forward quickly. However, the CDT favors the bill's effort to more clearly define the parameters of illegal adware programs, said Schwartz. Issues over the weighting of state and federal anti-spyware measures shouldn't stand in the way of the proposed bills, whose benefits outweigh their loopholes and could help lead to more cases against cyber-criminals, the CDT leader contends. He cited the relatively light punishment handed out in cases brought against proven spyware brokers such as DirectRevenue and Zango as proof that existing laws are insufficient. "Raising penalties is useful, DirectRevenue should have been fined more than $5 million, Zango should have been fined more than $3 million, and they would have been if we had more direct penalties," Schwartz said. "Most people are supportive of these bills, CDT would be happy with raising penalties without pre-empting the states, but most companies looking at these bills are pushing for pre-emption." On the flip side, the FTC feels that existing laws provide it with sufficient power to go after spyware providers, even though the agency has only filed a dozen such suits in recent years. Tracy Shapiro, an attorney for the FTC's Advertising Practices Division, said the federal watchdog would like to see legislation that increases civil penalties against cyber-criminals, but it feels that the new bills could eventually get in its way in bringing accused spyware companies to trial. The Computer Fraud and Abuse Act remains broad enough to provide for continued prosecution of the most significant offenders, including spyware providers, she said. "In general there doesn't need to be a law specifically outlining spyware. There's a danger in saying 'no keystroke logging' because that's too specific and someone might look at the law and say another practice is OK," said Shapiro. "Sometimes it's hard to craft legislation to address specific types of technologies; it seems like a good argument against new laws if we can get judgments already." In addition to the potential to create loopholes by limiting their scope to existing threats, the specific nature of the bills could make them hard to apply to similar threats carried out in the future on mobile devices, as opposed to today's PC-based spyware schemes, she said. On the flip side, Schwartz said the CDT has been surprised and disappointed that the FTC hasn't brought any lawsuits based on the SafeWeb Act, passed by Congress in 2006 and aimed at helping the agency fight spam, spyware, and online fraud. The expert said it was particularly puzzling that the FTC hasn't taken advantage of elements of the SafeWab law aimed at aiding in the pursuit of cyber-criminals operating in other countries -- widely recognized as one of the biggest challenges in fighting malware and online fraud. "We've seen very little action under the SafeWeb Act; there have been some joint spyware cases with Canada where U.S.-based adware companies were working within Canada, which seemed like the perfect opportunities to use it," said Schwartz. "We thought [SafeWeb] was worth passing, and we want to see some action on it soon." Shapiro admitted that she didn't know of any cases brought by the FTC that have sought to apply the SafeWeb laws. In the area of international cyber-law enforcement, she said it remains a challenge to share information with some foreign governments. Other Anti-Spyware Coalition contributors remarked that they share the FTC's concerns over passing laws that may eventually serve to handcuff enforcers with outdated terms and conditions. "We're pretty much against the laws," said Alex Eckelberry, president of anti-spyware applications vendor Sunbelt Software. "We think they will do more harm than good."
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Members of the U.S. Congress introduced a flurry of new technology-related bills this week, including two bills that would require companies with data breaches to notify affected customers.
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WASHINGTON -- The U.S. Senate Commerce, Science and Transportation Committee on Wednesday approved bills intended to fight computer spyware and to protect wireless phone customers from potential privacy problems associated with a wireless phone number directory.
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WASHINGTON - Federal agents seized computers and software Wednesday as part of an investigation targeting an Internet network used to illegally share copyrighted music, movies, software and games, Attorney General John Ashcroft said.    The case marks the first federal criminal copyright action taken against a peer-to-peer, or P2P, network in which users can access files directly from the hard drives of fellow users' computers...
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On a unanimous vote the US House of Representatives Thursday approved a bill making many &quot;spyware&quot; activities illegal. Spyware can be surreptitiously loaded into a computer via the Internet and extract information
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Organizations and law enforcement agencies fighting spyware are making progress, but new tools in an antispyware bill stalled in the U.S. Congress could improve the efforts, a member of the U.S. Federal Trade Commission said Monday.One of the spyware bills passed by the House of Representatives earlier this year, the Spy Act, would give the FTC authority to impose civil fines on companies that distribute spyware to consumers&#39; computers. The bill, along with the Internet Spyware Prevention (or I-SPY) Act, have&#160;stalled in the Senate&#160;since passing the House in May and June.The FTC has the authority to collect profits from spyware operations and collect money for consumer redress, but it lacks the authority to impose other fines, as it does when going after spammers, said Commissioner Jon Leibowitz, speaking at a spyware forum in Washington, D.C.Assigning a dollar figure to consumer harm is tricky in many spyware cases, especially when the spyware delivers pop-up advertisements to computers, Leibowitz said. It&#39;s sometimes difficult to get courts to assign large consumer damages to pop-up cases, he said.In some cases, spyware damages are assessed by judges &quot;who don&#39;t even use computers,&quot; said Dave Koehler, with the FTC&#39;s Bureau of Consumer Protection.The Spy Act would allow the FTC to fine spyware vendors up to $3 million for hijacking computers, delivering unwanted adware, and other violations, and $1 million for collecting personal data without permission, in addition to going after the vendor&#39;s profits and seeking consumer redress.Additional authority to impose civil fines would give the FTC &quot;an enormous deterrent,&quot; Leibowitz said.&quot;Right now, companies know that the worst they can do is lose their profits,&quot; he added. &quot;They&#39;re not going to get fined on top of that.&quot;The FTC has brought several spyware actions against companies. In February, the agency settled&#160;a case against adware distributor DirectRevenue. In that case, DirectRevenue settled for $1.5 million, based on its profits, but the founders of the company had received more than $20 million in venture-capital funding, Leibowitz said.While participants in the spyware forum said there continue to be many challenges, including a growing trend of foreign spyware vendors, the cost of spyware to U.S. consumers seems to be falling. Consumer Reports estimated that spyware cost U.S. consumers $2.6 billion in 2006, but only $1.7 billion in 2007, noted Ari Schwartz, deputy director of the Center for Democracy and Technology, a supporter of StopBadware.org, a consumer-protection effort aimed at spyware and other malicious code.The drop in the cost of spyware can be attributed to a number of factors, Schwartz said. Antispyware technology is getting better, the FTC has taken action against spyware vendors, and StopBadware.org has distributed a&#160;list of malicious Web sites, he said. In addition, some states have taken action against spyware, and cybersecurity groups&#39; public education programs seem to be working, he said.But Ron Teixeira, executive director of the National Cyber Security Alliance (NCSA), noted that consumers may know more about spyware, but they aren&#39;t always acting on their knowledge. A survey released by the NCSA and McAfee earlier this month found 78 percent of respondents&#39; computers didn&#39;t have all three of what the NCSA calls the &quot;core protection&quot; software: anti-virus, antispyware, and firewall.&quot;We&#39;re not seeing a huge increase in the actual behavior change,&quot; he said.