AI

A Government Watchdog May Have Missed Clearview AI Use By Five Federal Agencies (buzzfeednews.com) 20

An anonymous reader quotes a report from BuzzFeed News: A government inquiry into federal agencies' deployment of facial recognition may have overlooked some organizations' use of popular biometric identification software Clearview AI, calling into question whether authorities can understand the extent to which the emerging technology has been used by taxpayer-funded entities. In a 92-page report published by the Government Accountability Office on Tuesday, five agencies -- the US Capitol Police, the US Probation Office, the Pentagon Force Protection Agency, Transportation Security Administration, and the Criminal Investigation Division at the Internal Revenue Service -- said they didn't use Clearview AI between April 2018 and March 2020. This, however, contradicts internal Clearview data previously reviewed by BuzzFeed News.

In April, BuzzFeed News revealed that those five agencies were among more than 1,800 US taxpayer-funded entities that had employees who tried or used Clearview AI, based on internal company data. As part of that story, BuzzFeed News published a searchable table disclosing all the federal, state, and city government organizations whose employees are listed in the data as having used the facial recognition software as of February 2020. While the GAO was tasked with "review[ing] federal law enforcement use of facial recognition technology," the discrepancies between the report, which was based on survey responses and BuzzFeed News' past reporting, suggest that even the US government may not be equipped to track how its own agencies access to surveillance tools like Clearview. The GAO report surveyed 42 federal agencies in total, 20 of which reported that they either owned their own facial recognition system or used one developed by a third party between April 2018 and March 2020. Ten federal agencies -- including Immigration and Customs Enforcement and Customs and Border Protection -- said they specifically used Clearview AI.

AI

Maine Passes the Strongest State Facial Recognition Ban Yet (theverge.com) 46

The state of Maine now has the most stringent laws regulating government use of facial recognition in the country. The Verge reports: The new law prohibits government use of facial recognition except in specifically outlined situations, with the most broad exception being if police have probable cause that an unidentified person in an image committed a serious crime, or for proactive fraud prevention. Since Maine police will not have access to facial recognition, they will be able to ask the FBI and Maine Bureau of Motor Vehicles (BMV) to run these searches.

Crucially, the law plugs loopholes that police have used in the past to gain access to the technology, like informally asking other agencies or third parties to run backchannel searches for them. Logs of all facial recognition searches by the BMV must be created and are designated as public records. The only other state-wide facial recognition law was enacted by Washington in 2020, but many privacy advocates were dissatisfied with the specifics of the law. Maine's new law also gives citizens the ability to sue the state if they've been unlawfully targeted by facial recognition, which was notably absent from Washington's regulation. If facial recognition searches are performed illegally, they must be deleted and cannot be used as evidence.
In response to this new law, the ACLU said: "Maine is showing the rest of the country what it looks like when we the people are in control of our civil rights and civil liberties, not tech companies that stand to profit from widespread government use of face surveillance technology."
The Courts

Huawei CFO Says HSBC Emails Disprove Basis For US Extradition Claim (reuters.com) 48

AltMachine shares a report from Reuters: "Lawyers fighting the extradition of Huawei's chief financial officer to the United States on Tuesday presented internal emails from British bank HSBC that they said disproved U.S. claims that Huawei misled the bank," reports Reuters. "CFO Meng Wanzhou's legal team said the emails and documents submitted to a Canadian court showed at least two senior HSBC leaders were aware of connections between Huawei and its Iranian subsidiary, Skycom. Meng's lawyers are trying to add the documents to evidence. They are meant to counter U.S. charges that only junior employees of the British bank knew about the true nature of relationship between Huawei and Skycom. U.S. prosecutors have alleged that Meng misled HSBC about Huawei's business dealings in Iran and may have caused the bank to break U.S. sanctions."

Business dealings with Iran was not illegal under Canada laws as the sanction was not a UN resolution and had no legal basis internationally. The only way for the extradition to proceed would be to show Huawei misled HSBC which operates in the U.S. Amid intensifying US-China technology and economic rivalry, it is not the first time the U.S. law enforcement fabricating false accusation against Chinese or China-linked persons. Earlier in April, U.S. court trial reveals federal agents falsely accused a UT professor born in China of spying and three Congressmen are asking the Department of Justice Office of the Inspector General to "review whether the China Initiative puts untoward pressure on DOJ personnel to engage in racial or ethnic profiling." Federal agents falsely accused Hu of spying for China based solely on a Google search, testimony revealed. After Hu refused to work as a spy for the U.S. government, agents stalked and harassed him for more than two years, leading to the destruction of his reputation and internationally renowned career.

Businesses

Amazon Demands One More Thing From Some Vendors: A Piece of Their Company (wsj.com) 47

Suppliers that want to land Amazon as a client for their goods and services can find that its business comes with a catch: the right for Amazon to buy big stakes in their companies at potentially steep discounts to market value. The Wall Street Journal: The technology-and-retail giant has struck at least a dozen deals with publicly traded companies in which it gets rights, called warrants, to buy the vendors' stock in the future at what could be below-market prices, according to corporate filings and interviews with people involved with the deals. Amazon over the past decade also has done more than 75 such deals with privately held companies, according to a person familiar with the matter. In all, the tech titan's stakes and potential stakes amount to billions of dollars across companies that provide everything from call-center services to natural gas, and in some cases position Amazon among the top shareholders in those businesses.

The unusual arrangements offer another window into how Amazon uses its market heft to increase its wealth and clout. The company has been under growing scrutiny from regulators and lawmakers over its competitive practices, including with companies it partners with. While the deals can benefit the suppliers by locking in big contracts, which can also boost their share prices, executives at several of the companies said they felt they couldn't refuse Amazon's push for the right to buy the stock without risking a major contract. The deals in some cases also give Amazon rights such as board representation and the ability to top any acquisition offers from other companies. For Amazon, the arrangements give it a piece of the potential upside the vendors can get from doing business with one of the world's biggest companies.

Canada

At Nearly 116 Degrees, Heat in Western Canada Shatters National Record (nytimes.com) 185

The heat is expected to continue for several days in some parts of British Columbia, according to weather warnings from the government. From a report: Vancouverites were frying eggs on pans placed on their terraces. One man checked into an air-conditioned five-star hotel, after the five fans aimed at his bed at home and the seventh cold shower failed to bring relief. Lettuce plants shriveled in the Okanagan Valley, British Columbia's picturesque wine region. Flowers wilted. People wilted. The heat wave across western Canada has much of a country known for its sweater weather sweating. Canada broke a national heat record on Sunday when the temperature in a small town in British Columbia reached almost 116 degrees Fahrenheit, breaking an 84-year-old record by nearly 3 degrees, with dangerously hot weather expected to continue for several more days.

"This is a complete shock to a Canadian -- this feels like Las Vegas or India -- not Vancouver," said Chris Johnson, a criminal lawyer who on Monday was heading to an air-conditioned hotel room as temperatures inside his home reached 90 degrees Fahrenheit. Tying any one weather event to climate change requires extensive attribution analysis, but heat waves around the world are growing more frequent, longer-lasting and more dangerous, experts say. David Phillips, a senior climatologist at Environment Canada, a government agency, said the early timing of this one, its intensity and its duration, could all be attributable to rising global temperatures.

The Almighty Buck

Tim Berners-Lee Sells Web Source Code NFT for $5.4 Million (bbc.com) 38

The original source code for the world wide web has been sold as a non-fungible token, making $5.4m. From a report: NFTs are certificates of ownership for digital assets, which often do not have a physical representation. They do not necessarily include copyright control -- and critics say they are get-rich-quick schemes that are bad for the environment. World-wide-web creator Sir Tim Berners-Lee sold the NFT to an unidentified buyer, through auction house Sotheby's. The highest bid stood at $3.5m for most of the last day of the auction -- but there were a flurry of bids in the closing 15 minutes. The auction began on 23 June, with an opening bid of $1,000. Further reading: Tim Berners-Lee Defends Auction of NFT Representing Web's Source Code.
United States

Microsoft Exec: Targeting of Americans' Records 'Routine' (apnews.com) 38

Federal law enforcement agencies secretly seek the data of Microsoft customers thousands of times a year, according to congressional testimony Wednesday by a senior executive at the technology company. From a report: Tom Burt, Microsoft's corporate vice president for customer security and trust, told members of the House Judiciary Committee that federal law enforcement in recent years has been presenting the company with between 2,400 to 3,500 secrecy orders a year, or about seven to 10 a day. "Most shocking is just how routine secrecy orders have become when law enforcement targets an American's email, text messages or other sensitive data stored in the cloud," said Burt, describing the widespread clandestine surveillance as a major shift from historical norms.

The relationship between law enforcement and Big Tech has attracted fresh scrutiny in recent weeks with the revelation that Trump-era Justice Department prosecutors obtained as part of leak investigations phone records belonging not only to journalists but also to members of Congress and their staffers. Microsoft, for instance, was among the companies that turned over records under a court order, and because of a gag order, had to then wait more than two years before disclosing it.

Businesses

Amazon Seeks Recusal of FTC Chairwoman Lina Khan in Antitrust Investigations of Company (wsj.com) 83

Amazon.com filed a request with the Federal Trade Commission seeking the recusal of new Chairwoman Lina Khan from antitrust investigations of the company, in light of her extensive past criticisms of the company. From a report: "Given her long track record of detailed pronouncements about Amazon, and her repeated proclamations that Amazon has violated the antitrust laws, a reasonable observer would conclude that she no longer can consider the company's antitrust defenses with an open mind," Amazon said in a 25-page recusal motion filed with the FTC.
United Kingdom

New UK Internet Law Raises Free Speech Concerns, Say Civil Liberties Campaigners (politico.eu) 49

Britain's proposed new internet law entails a government power grab with worrying implications for freedom of speech, according to civil liberties groups, academics and the tech industry. From a report: The groups are concerned the proposed Online Safety Bill would hand to Culture Secretary Oliver Dowden disproportionate powers in the name of protecting users from "harmful" content. The Bill allow him to "modify" a code of practice -- the blueprint created by the regulator Ofcom for how tech companies should protect users -- to ensure it "reflects government policy." Critics say such powers, which were set out in a draft of the proposed law published in May and due for imminent scrutiny by MPs and peers, could undermine the regulator's independence and potentially politicize the regulation of the internet.

"The notion that a political appointee will have the unilateral power to alter the legal boundaries of free speech based on the political whims of the moment frankly makes the blood run cold," said Heather Burns, policy manager at the Open Rights Group. The draft bill -- which hasn't yet begun its formal passage through parliament -- is due to be checked line-by-line by legislators before being brought back to parliament later this year, where it will then pass through the stages it needs to end up on the statute books. The U.K. government and opposition parties are currently finalizing which lawmakers will sit on the pre-legislative committee.

Security

New Charges Filed Against Capital One Hacker, Trial Postponed To 2022 (therecord.media) 18

The US government has filed a superseding indictment against Paige A. Thompson, a former Amazon engineer accused of hacking Capital One and stealing the personal data of more than 100 million Americans. From a report: According to court documents filed earlier this month and obtained by The Record, the US Department of Justice has added seven new charges on top of the original two it filed in August 2019. The new charges -- six counts of computer fraud and abuse, and one count of access device fraud -- come as investigators have made headway in analyzing data seized from Thompson's computers and servers.

Slashdot Top Deals