An anonymous reader quotes a report from BleepingComputer: Russian authorities arrested Ruslan Stoyanov, one of Kaspersky Lab's top-ranked security researchers, under article 275 of the Russian criminal code, which refers to treason. According to Russian newspaper Kommersant, who broke the story today, Stoyanov was arrested in December, together with the head of the Russian Secret Service (FSB) information security department Sergei Mikhailov. In a statement released today by Kaspersky Lab, the company says that Stoyanov was arrested based on activities he partook in before joining the company. Details regarding the investigation are murky, but according to the Russian newspaper who quotes anonymous sources, Stoyanov was involved in facilitating the transfer of funds from foreign companies to Mikhailov's accounts. According to Stoyanov's LinkedIn account, before serving as Head of the Computer Incidents Investigation Team at Kaspersky, he worked as Deputy Director for a company called Indrik, but also as a Major in the Ministry of Interior's Cyber Crime Unit.

According to CNET, the FBI has arrested Volkswagen executive Oliver Schmidt over the weekend on charges of conspiracy to defraud the U.S. relating to the ongoing Dieselgate emissions scandal. From the report: Schmidt headed VW's regulatory compliance office in the U.S. from 2014 to March 2015. The FBI's official Criminal Complaint states that during that time VW employees -- Schmidt included -- knowingly installed secret "defeat device" software in 475,000 diesel cars in the U.S., hiding during emissions testing the fact that those cars emitted up to 40 times the legally allowable pollution levels when on the road. The complaint asserts that by knowingly installing this secret cheat software, Schmidt and VW conspired to defraud the U.S. by impairing and impeding the Environmental Protection Agency and violating the Clean Air Act, leading to the arrest on Saturday. Schmidt is due to appear before a Federal Court in Miami on Monday.

schwit1 quotes a report from Washington Post: Secret law enforcement requests to conduct electronic surveillance in domestic criminal cases have surged in federal courts for Northern Virginia and the District, but only one in a thousand of the applications ever becomes public, newly released data show. The bare-bones release by the courts leaves unanswered how long, in what ways and for what crimes federal investigators tracked individuals' data and whether long-running investigations result in charges. In Northern Virginia, electronic surveillance requests increased 500 percent in the past five years, from 305 in 2011 to a pace set to pass 1,800 this year. Only one of the total 4,113 applications in those five years had been unsealed as of late July, according to information from the Alexandria division of the U.S. District Court for the Eastern District of Virginia, which covers northern Virginia. The report adds: "The federal court for the District of Columbia had 235 requests in 2012, made by the local U.S. attorney's office. By 2013, requests in the District had climbed 240 percent, to about 564, according to information released by the court's chief judge and clerk. Three of the 235 applications from 2012 have been unsealed. The releases from the Washington-area courts list applications by law enforcement to federal judges asking to track data -- but not eavesdrop -- on users' electronic communications. That data can include sender and recipient information, and the time, date, duration and size of calls, emails, instant messages and social media messages, as well as device identification numbers and some website information."

"If Obama grants Manning clemency, Assange will agree to U.S. prison in exchange -- despite its clear unlawfulness," Wikileaks announced on Twitter Thursday. An anonymous Slashdot reader quotes The Verge: WikiLeaks' statement was released one day before a Swedish appeals court decided to maintain a warrant for Assange's arrest over a 2010 rape charge. Assange has said that extradition to Sweden would lead to his eventual extradition to the US, where he could face charges related to WikiLeaks' publication of secret government documents... Assange has been living in political asylum at the Ecuadorian embassy in London since 2012...

Chelsea Manning, a former US Army private, was convicted in 2013 for providing a trove of documents and videos to WikiLeaks, and is currently serving a 35-year sentence at the US Disciplinary Barracks in Leavenworth, Kansas. She was hospitalized after a reported suicide attempt in July, and this month went on a hunger strike to seek treatment for her gender dysphoria. Manning ended her hunger strike this week after the military agreed to allow her to have gender reassignment surgery. She still faces indefinite solitary confinement due to administrative charges related to her suicide attempt.
The tweet also included a link to a letter from Assange's attorney, Barry Pollack, calling on the Justice Department to be more transparent about its investigation into WikiLeaks -- and citing the FBI's investigation into Hillary Clinton's handling of classified information. "Director Comey made it clear his conclusion was based on the necessity of proving criminal intent [and] noted that responsible prosecutors consider the context of a person's actions... Criminal prosecution is appropriate only when a person...was intending to aid enemies of the United States or was attempting to obstruct justice."

Three news organizations filed a lawsuit Friday seeking information about how the FBI was able to break into the locked iPhone of one of the gunmen in the December terrorist attack in San Bernardino. From a USA Today report: The Justice Department spent more than a month this year in a legal battle with Apple over it could force the tech giant to help agents bypass a security feature on Syed Rizwan Farook's iPhone. The dispute roiled the tech industry and prompted a fierce debate about the extent of the government's power to pry into digital communications. It ended when the FBI said an "outside party" had cracked the phone without Apple's help. The news organizations' lawsuit seeks information about the source of the security exploit agents used to unlock the phone, and how much the government paid for it. It was filed in federal court in Washington by USA TODAY's parent company, Gannett, the Associated Press and Vice Media. The FBI refused to provide that information to the organizations under the Freedom of Information Act. The lawsuit charges that "there is no lawful basis" for the FBI to keep the records secret.

An anonymous reader writes from a report via The Guardian: Director Oliver Stone talked to whistleblower Edward Snowden in front of an audience at a question and answer session on Thursday evening. He compared Snowden's anxiety over his own appearance in his Snowden biopic film "Snowden" to that of Donald Trump, who was cut from one of his films six years before. Snowden replied: "I'd like to avoid that association." At the event, Snowden did also shed some light on his personal life, years after his revelation of the NSA's secret surveillance of the American public's internet activity resulted in criminal charges under the Espionage Act that led to his exile in Russia. "I can confirm that I am not living in a box," Snowden said. "I actually live a surprisingly free life. This was not the most likely outcome. I didn't actually expect to make it out of Hawaii. I thought it was incredibly risky. I had a lot of advantages in doing what I did; I worked for the CIA on the human intelligence side, I worked for the NSA on the signals intelligence side, and I taught counterintelligence. This is not something that's covered that well in the media. I was about as well placed as anybody could be, and I still thought I was going to get rolled up at the airport and that there were going to be knocks on the doors of the journalists." When asked what he thought about Gordon-Levitt's performance in the film where he plays Edward Snowden, Snowden responded: "This is one of the things that's kind of crazy and surreal about this kind of experience: I don't think anybody looks forward to having a movie made about themselves, especially someone who is a privacy advocate. Some of my family members have said, 'He sounds just like you!' I can't hear it myself but if he can pass the family test he's doing all right." Snowden agreed to participate on the film because he thought it could raise awareness in ways his own advocacy could not. Snowden was also in the news recently for developing a way for potentially imperiled smartphone users to monitor whether their devices are making any potentially compromising radio transmissions.

FBI Director James Comey says that his agency isn't recommending that the DOJ pursue charges against Hillary Clinton for setting up a private email server as Secretary of State. At a press conference on Tuesday, Comey added that while there is "evidence of potential violations of the statutes regarding the handling of classified information," they think that "no reasonable prosecutor would bring such a case." The Verge reports:The recommendation is the result of a painstaking investigation by the bureau, which uncovered a number of new details. The investigation found 110 emails in 52 email chains were determined to contain classified information, including 8 chains contained information that was marked as top secret at the time, Director Comey said. Secretary Clinton used several different email servers and numerous mobile devices, and many of those servers were decommissioned and otherwise altered as they were replaced.

It's no secret that Apple makes a ton of money by charging 'astronomical' fee for replacing and fixing display and other components of iPhone and iPad (as well as Mac line). For instance, the company charges $599 for replacing the display on the iPad Pro tablet. Which sounds insane when you realize that you can almost certainly purchase a new iPad Pro under $700. And this is what most people do. A Huffington Post article notes that this behavior has contributed significantly in "generating heaps of e-waste." Citing many advocates, the publication claims that Apple has "opposed legislation that could help curb it." From the report: The Huffington Post spoke with politicians in two states who support such legislation, and confirmed through government filings that Apple has lobbied on the issue. Four states -- Minnesota, Nebraska, Massachusetts and New York -- have considered adopting "right to repair" amendments, which would update existing laws regarding the sale of electronic equipment. Amending these laws would make it easier to fix your devices and would help reduce "e-waste," a catch-all term for any electronic detritus. The New York State Senate and Assembly could approve one of these amendments next week. This would help unofficial repair shops get the information they need to fix your iPad, ideally driving down repair costs and encouraging you to squeeze more life out of your old devices -- thus cutting down on the e-waste generated by our voracious appetites for new gadgets. Apple asserts that it helps recycle millions of pounds of electronics equipment every year. But it won't support right to repair amendments.One would ask what is preventing a user from getting their device repaired by unofficial service person? In addition to the security implication, you also run a risk of getting your device bricked by Apple. To recall, the iPhone maker was found bricking the handsets that had been repaired by third-party vendors earlier this year.

An anonymous reader writes: TechCrunch has learned of a secret acquisition by Snapchat of a computer vision startup company called Seene. TechCrunch reports: "Seene lets you capture 3D models from your phone with a simple smartphone camera. Snapchat could use Seene's format for a brand new category of selfie lenses, a new 3D photo format, and potentially for future virtual reality projects. Seene scans and reconstructs full 3D geometry on your phone. Unlike Project Tango or Microsoft's Kinect, Seene doesn't need special infrared sensors and multiple cameras. Similarly, Seene doesn't need a cloud backend to process 3D scans and recreate 3D objects -- everything happens on the phone. For instance, you can scan your face in a few seconds and create a 3D selfie. It would make a lot of sense to use Seene's technology to improve Snapchat's selfie lenses -- including for advertising purposes. (Snapchat debuted sponsored lenses in fall last year, and charges a pretty penny to advertisers wanting to get their brand on people's faces.) Also last year, Snapchat acquired Looksery to power its selfie lenses. Combining Looksery's technology with Seene's technology would allow Snapchat to create more complex lenses with a real sense of depth. Think ads that people want to touch." While on the subject of lenses, U.S. inventors claim their flat lens made of paint whitener on a sliver of glass could revolutionize optics.

An anonymous reader writes: "Federal agents are planting microphones to secretly record conversations," reports CBS Local, noting that for 10 months starting in 2010, FBI agents hid microphones inside light fixtures, and also at a bus stop outside the Oakland Courthouse, to record conversations without a warrant. "They put microphones under rocks, they put microphones in trees, they plant microphones in equipment," a security analyst and former FBI special agent told CBS Local. "I mean, there's microphones that are planted in places that people don't think about, because thats the intent!" Federal authorities are currently investigating fraud and bid-rigging charges against a group of real estate investors, and the secret recordings came to light when they were submitted as evidence. "Private communication in a public place qualifies as a protected 'oral communication'..." says one of the investor's lawyers, "and therefore may not be intercepted without judicial authorization."

An anonymous reader writes: A former Secret Service agent has pleaded guilty to charges related to the theft of $800,000 worth of bitcoins during a high-profile investigation into the online drug marketplace Silk Road. Reuters reports: "Shaun Bridges, 33, appeared in federal court in San Francisco and admitted to money laundering and obstruction of justice....In court on Monday, Bridges admitted his theft made Ulbricht believe that another individual was stealing from Silk Road and helped lead Ulbricht to try to hire someone to kill that person."

tmk writes: Despite plenty of evidence that the U.S. spied on German top government officials, German Federal Prosecutor General Harald Range has declined to investigate any wrongdoings of the secret services of allied nations like the NSA or the British GCHQ. But after plans of the German secret service "Bundesamt für Verfassungsschutz" to gain some cyper spy capabilities like the NSA were revealed by the blog netzpolitik.org, Hange started an official investigation against the bloggers and their sources. They are now being probed for possible treason charges.

itwbennett writes Two former U.S. government agents face charges related to stealing hundreds of thousands of dollars worth of bitcoin while assisting with an investigation of the Silk Road underground online marketplace, with one accused of using a fake online persona to extort money from operators of the site. Facing charges of wire fraud and money laundering are Carl Force, 46, of Baltimore, a former special agent with the U.S. Drug Enforcement Agency, and Shaun Bridges, 32, of Laurel, Maryland, a former special agent with the U.S. Secret Service. Both served on the Baltimore Silk Road Task Force, which investigated illegal activity on the Silk Road website, the Department of Justice said Monday in a press release.

An anonymous reader writes: It's no secret that prosecutors usually throw every charge they can at an alleged criminal, but the case of Aaron Swartz brought to light how poorly-written computer abuse laws lend themselves to this practice. Now, another perfect example has resolved itself: a hacker with ties to Anonymous was recently threatened with 44 felony counts of computer fraud and cyberstalking, each with its own 10-year maximum sentence. If the charges stuck, the man was facing multiple lifetimes worth of imprisonment.

But, of course, they didn't. Prosecutors struck a deal to get him to plead guilty to a single misdemeanor charge, which carried only a $10,000 fine. The man's attorney, Tor Eklund, said, "The more I looked at this, the more it seemed like an archetypal example of the Department of Justice's prosecutorial abuse when it comes to computer crime. It shows how aggressive they are, and how they seek to destroy your reputation in the press even when the charges are complete, fricking garbage."

Presto Vivace sends a report from the Australian Financial Review on how Apple uses a holding company based in Luxembourg to avoid taxes on its iTunes revenue. Quoting: The 2011 accounts for iTunes Sàrl [the holding company] give the first inside view of how Apple accounts for its growing earnings from digital content. They are part of a massive leak of Luxembourg tax documents uncovered in an investigation led by the International Consortium of Investigative Journalists. Remarkably, the accounts show Luxembourg has been more effective in extracting tax from iTunes than Ireland has with much larger Apple sales. Turnover for iTunes Sàrl exploded from €353 million ($508 million) in 2009 to €2.05 billion in 2013. Secret appendices to the 2011 accounts break down some of Apple’s costs. It shows that Apple takes a third of iTunes’ revenues as its gross profit margin. The 2011 figures showed that a flat 50 per cent of this gross profit was paid in intercompany charges. (Followup on a similar strategy from Amazon we discussed last week.)

maynard writes: Investigative Journalist James Bamford knows a thing or two more than most about the National Security Agency. Across his more than three-decade long career digging muck out of exactly those places U.S. government intelligence agencies preferred he wouldn't tread, he's published five books and over eighty press reports. At times, this made for some tense confrontations with intelligence officials from an organization once so secret even few members of Congress knew of its existence.

For the last several years public focus on the NSA has been on Bush and Obama era reports of illicit domestic spying. From allegations of warrantless wiretapping reported by James Risen in 2005 to secret documents released to journalists at The Guardian by Edward Snowden a year ago. And smack in the middle, Bamford's 2012 revelation of the existence of a huge, exabyte-capable data storage facility then under construction in Bluffdale, Utah.

Given all this attention on recent events, it might come as a surprise to some that almost forty years ago Senator Frank Church convened a congressional committee to investigate reports of unlawful activities by U.S. intelligence agencies, including illegal domestic wiretapping by the NSA. At the time, Church brought an oversight magnifying glass over what was then half-jokingly referred to as "No Such Agency." And then, like today, James Bamford was in the thick of it, with a Snowden-like cloak-and-dagger game of spy-vs-journalist. It all began by giving testimony before the Church Committee. Writing yesterday in The Intercept, Bamford tells his firsthand historical account of what led him to testify as a direct witness to NSA's wiretapping of domestic communications decades ago and then details the events that led to the publication of his first book The Puzzle Palace back in 1982. Read on for more.

First time accepted submitter ugen (93902) writes "The son of a Russian lawmaker has been arrested by the U.S. on charges of selling credit card information he stole by hacking into the computers of American retailers. Roman Seleznev, 30, was arrested overseas by the U.S. Secret Service on July 5 and was ordered detained today during a hearing in federal court in Guam, the Justice Department said in a statement."

An anonymous reader writes "From the Telegraph, 'He is vain, secretive, paranoid and jealous, prone to leering at young women and making frequent sexist jokes – and that's not the view of one of his many enemies, but of a friend ... A damning picture of Julian Assange ... has emerged in a detailed account by his ghostwriter. Assange behaves ... like an egotistical tyrant interested more in his own self-publicity than in changing the world. Worse still, he turns on his friends with increasing regularity ... Assange describes the Ecuadorean ambassador offering him diplomatic asylum as 'mad', 'fat' and 'ludicrous'. Even Assange's girlfriend, WikiLeaks researcher Sarah Harrison, grew increasingly frustrated at his behaviour. 'He openly chats girls up and has his hands on their a**e and goes nuts if I even talk to another guy,' she says. O'Hagan, who had hoped to find an anti-authoritarian rebel figure worthy of admiration, says he comes to regard Assange as someone who sacrificed the moral high-ground by attempting to evade trial over the rape charges.' — The Scotsman adds, 'Canongate director Jamie Byng yesterday hailed O'Hagan's account of the "impossibility of trying to ghost Assange's memoirs". He tweeted: "Andy O'Hagan's compelling, ring side account of Being (& being around) Julian Assange is smart, accurate and fair."'"

Fnord666 writes "Another day, another data breach. Apparently high end retailer Neiman Marcus has also suffered a breach of credit card data. Brian Krebs has the report: 'Responding to inquiries about a possible data breach involving customer credit and debit card information, upscale retailer Neiman Marcus acknowledged today that it is working with the U.S. Secret Service to investigate a hacker break-in that has exposed an unknown number of customer cards. Earlier this week, I began hearing from sources in the financial industry about an increasing number of fraudulent credit and debit card charges that were being traced to cards that had been very recently used at brick-and-mortar stores run by the Dallas, Texas based high-end retail chain. Sources said that while it appears the fraud on those stolen cards was perpetrated at a variety of other stores, the common point of purchase among the compromised cards was Neiman Marcus. Today, I reached out to Neiman Marcus and received confirmation that the company is in fact investigating a breach that was uncovered in mid-December.'" The Chicago Tribune reports that "at least three other well-known U.S. retailers" suffered breaches this holiday season as well.

Hugh Pickens DOT Com writes "Conor Friedersdorf has written a tongue-in-cheek article in The Atlantic advising New Jersey Governor Chris Christie how he can use the NSA playbook to successfully defend himself of the charges that a senior member of his staff was involved in shutting down George Washington Bridge traffic, a stunt meant to punish the mayor of an affected town for opposing his reelection. Christie's NSA-inspired explanation would include the following points: There are almost 9 million people in New Jersey, and only one was targeted for retribution, an impressively tiny error rate lower than .001 percent; The bridge closure was vital to national security because [redacted]; Since the George Washington Bridge is a potential terrorist target, everything that may or may not have happened near it is a state secret; Going after a political rival is wrong but it's important to put this event in context; Fort Lee Mayor Mark Sokolich was the only target of non-compliant behavior. No other Fort Lee resident was ever targeted for retribution, and any delays that any Fort Lee resident experienced were totally inadvertent and incidental; Finally a panel will be formed to figure out how to restore the public's faith in Chris Christie. "To some readers, these talking points may seem absurd or deliberately misleading," concludes Friedersdorf, "but there isn't any denying that so far they're working okay for the NSA.""