The Courts

'The Law Must Respond When Science Changes' (scientificamerican.com) 189

The clash between law's need for finality and science's evolving nature is creating serious justice problems, an opinion piece on Scientific American argued on Monday. Two recent cases highlight this: Robert Roberson faces execution based on now-discredited shaken baby syndrome science, while the Menendez brothers' life sentences are being questioned due to improved understanding of childhood trauma's effects on violence.

Scientific understanding in criminal justice has repeatedly proven wrong. Texas executed Cameron Todd Willingham in 2004 based on invalidated arson science. The FBI found errors in 90% of their reviewed hair analysis cases. Courts still accept bite mark evidence despite experts failing to distinguish human from animal bites. The legal system fails in two critical ways, the story argues: Judges don't properly screen out bad science despite their "gatekeeper" role established in Daubert v. Merrell Dow, and courts resist reopening cases when scientific understanding changes.

While some states like Texas and California have laws allowing appeals based on updated science, implementation remains weak. Roberson has spent 20 years on death row and the Menendez brothers 28 years in prison while courts drag their feet on reviewing their cases with current scientific knowledge. The piece argues that constitutional due process requires allowing convicts to challenge their cases when the science underlying their convictions proves faulty. The system can reform by enforcing stricter scientific evidence standards and creating clear paths to challenge convictions based on outdated science.
Government

L.A. County Sues Pepsi and Coca-Cola Over Their Role in the Plastic Pollution Crisis (yahoo.com) 110

An anonymous reader shared this report from the Los Angeles Times: Los Angeles County has filed suit against the world's largest beverage companies — Coca-Cola and Pepsi — claiming the soda and drink makers lied to the public about the effectiveness of plastic recycling and, as a result, left county residents and ecosystems choking in discarded plastic... The Los Angeles County suit alleges — in a vein similar to that of [California attorney general] Bonta's suit against Exxon Mobil — that the global beverage companies misrepresented the environmental impact of their plastic bottles, "despite knowing that plastics cannot be readily disposed of without associated environmental impacts."

"Coke and Pepsi need to stop the deception and take responsibility for the plastic pollution problems" their products are causing, said Los Angeles County Board of Supervisors Chair Lindsey P. Horvath... Currently, just 9% of the world's plastics are recycled. The rest ends up being incinerated, sent to landfills, or discarded on the landscape, where they are often flushed into rivers or out to sea. At the same time, there is growing concern about the health and environmental consequences of microplastics — the bits of degraded plastic that slough off as the product ages, or is used, or washed. The tiny particles have been detected in every ecosystem on the planet that has been surveyed, as well as nearly every living organism examined... According to the county's statement, the two companies have consistently ranked as the world's "top plastic polluters...."

The beverage maker lawsuit was filed in Los Angeles Superior Court by County Counsel Dawyn R. Harrison on behalf of the people of the state of California... "The goal of this lawsuit is to stop the unfair and illegal conduct, to address the marketing practices that deceive consumers, and to force these businesses to change their practices to reduce the plastic pollution problem in the County and in California," Harrison said in a statement. "My office is committed to protecting the public from deceptive business practices and holding these companies accountable for their role in the plastic pollution crisis."

United States

Millions of U.S. Cellphones Could Be Vulnerable to Chinese Government Surveillance (washingtonpost.com) 73

Millions of U.S. cellphone users could be vulnerable to Chinese government surveillance, warns a Washington Post columnist, "on the networks of at least three major U.S. carriers."

They cite six current or former senior U.S. officials, all of whom were briefed about the attack by the U.S. intelligence community. The Chinese hackers, who the United States believes are linked to Beijing's Ministry of State Security, have burrowed inside the private wiretapping and surveillance system that American telecom companies built for the exclusive use of U.S. federal law enforcement agencies — and the U.S. government believes they likely continue to have access to the system.... The U.S. government and the telecom companies that are dealing with the breach have said very little publicly about it since it was first detected in August, leaving the public to rely on details trickling out through leaks...

The so-called lawful-access system breached by the Salt Typhoon hackers was established by telecom carriers after the terrorist attacks of Sept. 11, 2001, to allow federal law enforcement officials to execute legal warrants for records of Americans' phone activity or to wiretap them in real time, depending on the warrant. Many of these cases are authorized under the Foreign Intelligence Surveillance Act (FISA), which is used to investigate foreign spying that involves contact with U.S. citizens. The system is also used for legal wiretaps related to domestic crimes.

It is unknown whether hackers were able to access records about classified wiretapping operations, which could compromise federal criminal investigations and U.S. intelligence operations around the world, multiple officials told me. But they confirmed the previous reporting that hackers were able to both listen in on phone calls and monitor text messages. "Right now, China has the ability to listen to any phone call in the United States, whether you are the president or a regular Joe, it makes no difference," one of the hack victims briefed by the FBI told me. "This has compromised the entire telecommunications infrastructure of this country."

The Wall Street Journal first reported on Oct. 5 that China-based hackers had penetrated the networks of U.S. telecom providers and might have penetrated the system that telecom companies operate to allow lawful access to wiretapping capabilities by federal agencies... [After releasing a short statement], the FBI notified 40 victims of Salt Typhoon, according to multiple officials. The FBI informed one person who had been compromised that the initial group of identified targets included six affiliated with the Trump campaign, this person said, and that the hackers had been monitoring them as recently as last week... "They had live audio from the president, from JD, from Jared," the person told me. "There were no device compromises, these were all real-time interceptions...." [T]he duration of the surveillance is believed to date back to last year.

Several officials told the columnist that the cyberattack also targetted senior U.S. government officials and top business leaders — and that even more compromised targets are being discovered. At this point, "Multiple officials briefed by the investigators told me the U.S. government does not know how many people were targeted, how many were actively surveilled, how long the Chinese hackers have been in the system, or how to get them out."

But the article does include this quote from U.S. Senate Intelligence Committee chairman Mark Warner. "It is much more serious and much worse than even what you all presume at this point."

One U.S. representative suggested Americans rely more on encrypted apps. The U.S. is already investigating — but while researching the article, the columnist writes, "The National Security Council declined to comment, and the FBI did not respond to a request for comment..." They end with this recommendation.

"If millions of Americans are vulnerable to Chinese surveillance, they have a right to know now."
Government

What's Worse Than Setting Clocks Back an Hour? Permanent Daylight Savings Time (usatoday.com) 198

"It's that time again," writes USA Today, noting that Sunday morning millions of Americans (along with millions more in Canada, Europe, parts of Australia, and Chile) "will set their clocks back an hour, and many will renew their twice-yearly calls to put an end to the practice altogether..." Experts say the time changes are detrimental to health and safety, but agree that the answer isn't permanent DST. "The medical and scientific communities are unified ... that permanent standard time is better for human health," said Erik Herzog, a professor of biology and neuroscience at Washington University in St. Louis and the former president of the Society for Research on Biological Rhythms...

Springing forward an hour in March is harder on us than falling back in November. The shift in spring is associated with an increase in heart attacks, and car accident rates also go up for a few days after, he said. But the answer isn't permanent daylight saving time, according to Herzog, who said that could be even worse for human health than the twice-yearly changes. By looking at studies of people who live at the easternmost edge of time zones (whose experience is closest to standard time) and people who live at the westernmost edge (more like daylight saving time), scientists can tell that health impacts of earlier sunrises and sunsets are much better. Waking up naturally with the sun is far better for our bodies than having to rely on alarm clocks to wake up in the dark, he said.

Herzog said Florida, where [Senator Marco] Rubio has championed the Sunlight Protection Act, is much less impacted by the negative impacts of daylight saving time because it's as far east and south as you can get in the U.S., while people in a state like Minnesota would have much more time in the dark in the morning.

The article also reminds U.S. readers that "No state can adopt permanent daylight saving time unless U.S. Congress passes a law to authorize it first." Nevertheless... Oklahoma became the most recent state to pass a measure authorizing permanent daylight saving time, pending Congressional approval, in April. Nineteen other states have passed laws or resolutions to move toward daylight saving time year-round, if Congress were ever to allow it, according to the National Conference of State Legislatures...

Only two states and some territories never have to set their clocks forward or backward... [Hawaii and Arizona, except for the Navajo Nation.]

Crime

A Fourth FTX Executive Sentenced: Forfeits $11 Billion, But No Prison Time (apnews.com) 52

Former FTX executive Nishad Singh was ordered to forfeit $11 billion, reports CNBC — and is subject to three years of supervised release, making him "the fourth ex-employee of the collapsed crypto exchange to be punished."

But while he'd faced a maximum sentence of 75 years, he'll serve no time, according to this report from the Associated Press: Singh, the company's former engineering director, was sentenced in Manhattan by Judge Lewis A. Kaplan, who said his cooperation was "remarkable." The judge noted that Singh did not learn of the billions of dollars that were misappropriated from FTX customer accounts and investors until two months before the fraud unraveled... Singh, 29, testified a year ago at Bankman-Fried's trial, saying he was "blindsided and horrified" when he saw the extent of the fraud behind the once-celebrated and seemingly pioneering firm. At sentencing, Singh said he was "overwhelmed with remorse" for his role in the fraud. "I strayed so far from my values, and words can't express how sorry I am," he said....

The sentencing came a month after Caroline Ellison, another key witness at Bankman-Fried's trial and a former top executive in his cryptocurrency empire, was sentenced to two years in prison. At the time, Kaplan praised her cooperation but said it wasn't a get-out-of-jail-free card. On Wednesday, Kaplan drew a distinction between the cooperation by Ellison and Singh's work with prosecutors, saying Ellison had participated in the fraud "from the beginning" and had been aware of all the wrongdoing for years... [Defense attorney Andrew Goldstein] said leniency would encourage future cooperators in other criminal cases to come forward.

Assistant U.S. Attorney Nicolas Roos credited Singh with providing information within weeks of the fraud being publicly revealed, saying he helped prosecutors learn about crimes they might otherwise have never discovered, including his own. Roos said, for instance, that Singh told prosecutors about campaign finance violations that occurred as FTX executives made tens of millions of dollars in donations to political candidates. The prosecutor also said Singh revealed private conversations with Bankman-Fried that strengthened the government's case and enabled it to bring charges more quickly against multiple people. Singh gave prosecutors "documentary evidence the government did not have and likely never would have had," Roos said.

Bankman-Fried, of course, began a 25-year sentence last November. And three weeks ago FTX executive Ryan Salame made an update on his LinkedIn profile. "I'm happy to share that I'm starting a new position as Inmate at FCI Cumberland!"

"His post quickly went viral," notes CNN, "prompting Salame to joke on X: "Today I learned people still use LinkedIn."
Facebook

US Government Considers Legal Action Over Meta's Use of Financial Data for Ads (msn.com) 12

The Washington Post reports that America's Consumer Financial Protection Bureau (or CFPB) "is considering legal action against Meta over allegations that it improperly used financial data obtained from third parties in its highly-lucrative advertising business..."

The article says a Meta securities filing Thursday revealed it had received a formal notification about the federal investigation last month. The filing said only that the inquiry relates to "advertising for financial products and services on our platform." A spokesperson for Meta declined to comment on the investigation. "We disagree with the claims," the company's filing said, "and believe an enforcement action is unwarranted...."

The CFPB's probe underscores its aggressive recent focus on Big Tech. In recent years, major companies including Apple, Amazon, Facebook and Google have launched a wave of new financial services, including credit cards and apps that help users send money to friends... Under its current director, Rohit Chopra, the CFPB has also sought to ensure that tech giants adhere to the same safeguards that have long applied to their brick-and-mortar banking predecessors. The bureau formalized its tech crackdown in 2021, when Chopra ordered companies including Facebook to turn over records related to their payment apps and other financial service offerings.

At the time, he expressed fear that these giants already possessed troves of customer data and could solidify their dominance if they gained greater insight into users' purchasing and spending habits. "This data can be monetized by companies that seek to profit from behavioral targeting, particularly around advertising and e-commerce," Chopra said in a statement announcing the review. "That many Big Tech companies aspire to grow in this space only heightens these concerns." Since then, the watchdog agency has proposed new rules that could treat Apple, Google and PayPal-owned Venmo more like banks, opening the door for federal regulators to inspect some of their operations in a bid to protect users' deposits.

The rules, which have not been finalized, have sparked fierce lobbying opposition from major tech companies.

Privacy

PimEyes 'Made a Public Rolodex of Our Faces'. Should You Opt Out? (msn.com) 32

The free face-image search engine PimEyes "scans through billions of images from the internet and finds matches of your photo that could have appeared in a church bulletin or a wedding photographer's website," -us/news/technology/they-made-a-public-rolodex-of-our-faces-here-s-how-i-tried-to-get-out/ar-AA1tlpPuwrites a Washington Post columnist.

So to find and delete themselves from "the PimEyes searchable Rolodex of faces," they "recently handed over a selfie and a digital copy of my driver's license to a company I don't trust." PimEyes says it empowers people to find their online images and try to get unwanted ones taken down. But PimEyes face searches are largely open to anyone with either good or malicious intent. People have used PimEyes to identify participants in the Jan. 6, 2021, attack on the Capitol, and creeps have used it to publicize strangers' personal information from just their image.

The company offers an opt-out form to remove your face from PimEyes searches. I did it and resented spending time and providing even more personal information to remove myself from the PimEyes repository, which we didn't consent to be part of in the first place. The increasing ease of potentially identifying your name, work history, children's school, home address and other sensitive information from one photo shows the absurdity of America's largely unrestrained data-harvesting economy.

While PimEyes' CEO said they don't keep the information you provide to opt-out, "you give PimEyes at least one photo of yourself plus a digital copy of a passport or ID with personal details obscured..." according to the article. (PimEyes' confirmation email "said I might need to repeat the opt-out with more photos...") Some digital privacy experts said it's worth opting out of PimEyes, even if it's imperfect, and that PimEyes probably legitimately needs a personal photo and proof of identity for the process. Others found it "absurd" to provide more information to PimEyes... or they weren't sure opting out was the best choice... Experts said the fundamental problem is how much information is harvested and accessible without your knowledge or consent from your phone, home speakers, your car and information-organizing middlemen like PimEyes and data brokers.

Nathan Freed Wessler, an American Civil Liberties Union attorney focused on privacy litigation, said laws need to change the assumption that companies can collect almost anything about you or your face unless you go through endless opt-outs. "These systems are scary and abusive," he said. "If they're going to exist, they should be based on an opt-in system."

China

How America's Export Controls Failed to Keep Cutting-Edge AI Chips from China's Huawei (stripes.com) 40

An anonymous reader shared this report from the Washington Post: A few weeks ago, analysts at a specialized technological lab put a microchip from China under a powerful microscope. Something didn't look right... The microscopic proof was there that a chunk of the electronic components from Chinese high-tech champion Huawei Technologies had been produced by the world's most advanced chipmaker, Taiwan Semiconductor Manufacturing Company.

That was a problem because two U.S. administrations in succession had taken actions to assure that didn't happen. The news of the breach of U.S. export controls, first reported in October by the tech news site the Information, has sent a wave of concern through Washington... The chips were routed to Huawei through Sophgo Technologies, the AI venture of a Chinese cryptocurrency billionaire, according to two people familiar with the matter, speaking on the condition of anonymity to discuss a sensitive topic... "It raises some fundamental questions about how well we can actually enforce these rules," said Emily Kilcrease, a senior fellow at the Center for a New American Security in Washington... Taiwan's Ministry of Economic Affairs confirmed that TSMC recently halted shipments to a "certain customer" and notified the United States after suspecting that customer might have directed its products to Huawei...

There's been much intrigue in recent days in the industry over how the crypto billionaire's TSMC-made chips reportedly ended up at Huawei. Critics accuse Sophgo of working to help Huawei evade the export controls, but it is also possible that they were sold through an intermediary, which would align with Sophgo's denial of having any business relationship with Huawei... While export controls are often hard to enforce, semiconductors are especially hard to manage due to the large and open nature of the global chip trade. Since the Biden administration implemented sweeping controls in 2022, there have been reports of widespread chip smuggling and semiconductor black markets allowing Chinese companies to access necessary chips...

Paul Triolo, technology policy lead at Albright Stonebridge Group, said companies were trying to figure out what lengths they had to go to for due diligence: "The guidelines are murky."

Bitcoin

US Indicts 26-Year-Old Gotbit Founder For Market Manipulation (crypto.news) 21

The feds have indicted Aleksei Andriunin, a 26-year-old Russian national and founder of Gotbit, on charges of wire fraud and conspiracy to commit market manipulation. Crypto News reports: According to the U.S. Attorney's Office, the indictment alleges that Andriunin and his firm participated in a long-running scheme to artificially boost trading volumes for various cryptocurrency companies, including some based in the United States, to make them appear more popular and increase their trading value. Andriunin allegedly led these activities between 2018 and 2024 as Gotbit's CEO. He could face up to 20 years in prison, additional fines, and asset forfeiture if convicted, according to the U.S. Attorney's Office. Prosecutors say the scheme involved "wash trading," where the firm used its software to make fake trades that inflated a cryptocurrency's trading volume. This practice, called market manipulation, can mislead investors by giving the impression that demand for a particular cryptocurrency is higher than it actually is. Wash trades are illegal in traditional finance and are considered fraudulent because they deceive investors and manipulate market behavior.

Court documents also identify Gotbit's two directors, Fedor Kedrov and Qawi Jalili, as co-conspirators. The indictment claims Gotbit documented these activities in detailed records, tracking differences between genuine and artificial trading volumes. The firm allegedly pitched these services to prospective clients, explaining how Gotbit's tactics would bypass detection on public blockchains, where transactions are recorded transparently. The U.S. Department of Justice has announced that it seized over $25 million worth of cryptocurrency assets connected to these schemes and made four arrests across multiple firms.
If you've been following the crypto industry, you're probably familiar with "pump-and-dump" schemes that have popped up throughout the years. Although it's a form of market manipulation, it's not quite the same as "wash trading."

In a pump-and-dump scheme, the perpetrator artificially inflates the price of a security (often a low-priced or thinly traded stock) by spreading misleading or exaggerated information to attract other buyers, who then drive up the price. Once the price has risen due to increased demand, the manipulators "dump" their shares at the inflated price, selling to the new buyers and pocketing the profits. The price typically crashes after the dump, leaving unsuspecting investors with overvalued shares and significant losses.

Wash trading, on the other hand, involves simultaneously buying and selling of the same asset to create the illusion of higher trading volume and activity. The purpose is to mislead other investors about the asset's liquidity and demand, often giving the impression that it is more popular or actively traded than it actually is. Wash trades usually occur without real changes in ownership or price movement, as the buyer and seller may even be the same person or entity. This tactic can manipulate prices indirectly by creating a perception of interest, but it does not involve a direct inflation followed by a sell-off, like a pump-and-dump scheme.
Government

US Plans $825 Million Investment For New York Semiconductor R&D Facility (reuters.com) 26

The Biden administration is investing $825 million in a new semiconductor research and development facility in Albany, New York. Reuters reports: The New York facility will be expected to drive innovation in EUV technology, a complex process necessary to make semiconductors, the U.S. Department of Commerce and Natcast, operator of the National Semiconductor Technology Center (NTSC) said. The launch of the facility "represents a key milestone in ensuring the United States remains a global leader in innovation and semiconductor research and development," Commerce Secretary Gina Raimondo said. From the U.S. Department of Commerce press release: EUV Lithography is essential for manufacturing smaller, faster, and more efficient microchips. As the semiconductor industry pushes the limits of Moore's Law, EUV lithography has emerged as a critical technology to enable the high-volume production of transistors beyond 7nm, previously unattainable. As the NSTC develops capabilities and programs, access to EUV lithography R&D is essential to meet its three primary goals 1) extend U.S. technology leadership, 2) reduce the time and cost to prototype, and 3) build and sustain a semiconductor workforce ecosystem.
Privacy

Colorado Agency 'Improperly' Posted Passwords for Its Election System Online (gizmodo.com) 93

For months, the Colorado Department of State inadvertently exposed partial passwords for voting machines in a public spreadsheet. "While the incident is embarrassing and already fueling accusations from the state's Republican party, the department said in a statement that it 'does not pose an immediate security threat to Colorado's elections, nor will it impact how ballots are counted,'" reports Gizmodo. From the report: Colorado NBC affiliate station 9NEWS reported that Hope Scheppelman, vice chair of the state's Republican party, revealed the error in a mass email sent Tuesday morning, which included an affidavit from a person who claimed to have downloaded the spreadsheet and discovered the passwords by clicking a button to reveal hidden tabs.

In its statement, the Department of State said that there are two unique passwords for each of its voting machines, which are stored in separate places. Additionally, the passwords can only be used by a person who is physically operating the system and voting machines are stored in secure areas that require ID badges to access and are under 24/7 video surveillance.

"The Department took immediate action as soon as it was aware of this, and informed the Cybersecurity and Infrastructure Security Agency, which closely monitors and protects the [country's] essential security infrastructure," The department said, adding that it is "working to remedy this situation where necessary." Colorado voters use paper ballots, ensuring that a physical paper trail that can be used to verify results tabulated electronically.

The Courts

Russian Court Fines Google $20 Decillion For Blocking Media Content (theregister.com) 263

A Russian court has fined Google an astronomical sum of around $20 decillion for YouTube's blocking of Russian media channels tied to sanctioned entities. The amount compounds weekly as Google continues to disregard the ruling. The Register reports: To put that into perspective, the World Bank estimates global GDP as around $100 trillion, which is peanuts compared to the prospective fine. Google might be one of the most valuable businesses on the planet, but even if Sundar Pichai rummages around the back of the sofa he won't be able to raise the funds to pay the penalty. The bizarre amount has been calculated after a four-year court case that started after YouTube banned the ultra-nationalist Russian channel Tsargrad in 2020 in response to the US sanctions imposed against its owner. Following Putin's illegal invasion of Ukraine in 2022 more channels were added to the banned list and 17 stations are now suing the Chocolate Factory, including Zvezda (a TV channel owned by Putin's Ministry of Defence), according to local media.

"Google was called by a Russian court to administrative liability under Art. 13.41 of the Administrative Offenses Code for removing channels on the YouTube platform. The court ordered the company to restore these channels," lawyer Ivan Morozov told state media outlet TASS. The court imposed a fine of 100 thousand rubles ($1,025) per day, with the total fine doubling every week. Owing to compound interest (Einstein's eighth wonder of the world), Google is now on the hook for an insane amount of money, or what the judge on Monday called "a case in which there are many, many zeros."

AI

Robert Downey Jr. Threatens To Sue Over AI Recreations of His Likeness (variety.com) 62

Oscar winner Robert Downey Jr. has threatened legal action against future studio executives who attempt to recreate his likeness using AI. "I intend to sue all future executives just on spec," Downey said when asked about potential AI recreations of his performances. He dismissed concerns about Marvel Studios using his likeness without permission, citing trust in their leadership. During the interview, he criticized tech executives who position themselves as AI gatekeepers, calling it "a massive fucking error."
Privacy

Fitness App Strava Gives Away Location of Foreign Leaders, Report Finds 27

French newspaper Le Monde found that the fitness app Strava can easily track confidential movements of foreign leaders, including U.S. President Joe Biden, and presidential rivals Donald Trump and Kamala Harris. The Independent reports: Le Monde found that some U.S. Secret Service agents use the Strava fitness app, including in recent weeks after two assassination attempts on Trump, in a video investigation released in French and in English. Strava is a fitness tracking app primarily used by runners and cyclists to record their activities and share their workouts with a community. Le Monde also found Strava users among the security staff for French President Emmanuel Macron and Russian President Vladimir Putin. In one example, Le Monde traced the Strava movements of Macron's bodyguards to determine that the French leader spent a weekend in the Normandy seaside resort of Honfleur in 2021. The trip was meant to be private and wasn't listed on the president's official agenda.

Le Monde said the whereabouts of Melania Trump and Jill Biden could also be pinpointed by tracking their bodyguards' Strava profiles. In a statement to Le Monde, the U.S. Secret Service said its staff aren't allowed to use personal electronic devices while on duty during protective assignments but "we do not prohibit an employee's personal use of social media off-duty." "Affected personnel has been notified," it said. "We will review this information to determine if any additional training or guidance is required." "We do not assess that there were any impacts to protective operations or threats to any protectees," it added. Locations "are regularly disclosed as part of public schedule releases."

In another example, Le Monde reported that a U.S. Secret Service agent's Strava profile revealed the location of a hotel where Biden subsequently stayed in San Francisco for high-stakes talks with Chinese President Xi Jinping in 2023. A few hours before Biden's arrival, the agent went jogging from the hotel, using Strava which traced his route, the newspaper found. The newspaper's journalists say they identified 26 U.S. agents, 12 members of the French GSPR, the Security Group of the Presidency of the Republic, and six members of the Russian FSO, or Federal Protection Service, all of them in charge of presidential security, who had public accounts on Strava and were therefore communicating their movements online, including during professional trips. Le Monde did not identify the bodyguards by name for security reasons.
Bitcoin

Russia Publishes New Crypto Law Expanding State Control Over Digital Assets 21

Russia has enacted a new law expanding control over cryptocurrency mining, granting multiple federal agencies access to digital currency identifier addresses, among other things. The country is also advancing its regulatory framework and experimenting with crypto in international trade. From a report: Taking effect on Nov. 1, the legislation includes several amendments designed to strengthen oversight and impose limitations on crypto mining activities based on regional needs. The law enables the Russian government to implement mining restrictions by location and define specific procedures and circumstances for banning mining operations. A notable provision in the law gives the government the power to stop digital currency mining pools from functioning in certain areas. Additionally, the government now has the authority to regulate infrastructure providers supporting mining operations.

This legislation also grants multiple federal agencies, beyond the Federal Financial Monitoring Service (Rosfinmonitoring), access to digital currency identifier addresses. This expansion includes federal executive agencies and law enforcement, bolstering their capability to track transactions that may be linked to money laundering or terrorist financing activities. Moreover, the amendments transfer responsibility for the national mining register from the Ministry of Digital Development to the Federal Tax Service, which will now oversee mining registrations for businesses and remove those with repeated infractions. While individual miners can continue without registering if they adhere to specific electricity consumption limits, companies and individual entrepreneurs must comply with new registration requirements.
Software

Can the EU Hold Software Makers Liable For Negligence? (lawfaremedia.org) 132

When it comes to introducing liability for software products, "the EU and U.S. are taking very different approaches," according to Lawfare's cybersecurity newsletter. "While the U.S. kicks the can down the road, the EU is rolling a hand grenade down it to see what happens." Under the status quo, the software industry is extensively protected from liability for defects or issues, and this results in systemic underinvestment in product security. Authorities believe that by making software companies liable for damages when they peddle crapware, those companies will be motivated to improve product security... [T]he EU has chosen to set very stringent standards for product liability, apply them to people rather than companies, and let lawyers sort it all out.

Earlier this month, the EU Council issued a directive updating the EU's product liability law to treat software in the same way as any other product. Under this law, consumers can claim compensation for damages caused by defective products without having to prove the vendor was negligent or irresponsible. In addition to personal injury or property damages, for software products, damages may be awarded for the loss or destruction of data. Rather than define a minimum software development standard, the directive sets what we regard as the highest possible bar. Software makers can avoid liability if they prove a defect was not discoverable given the "objective state of scientific and technical knowledge" at the time the product was put on the market.

Although the directive is severe on software makers, its scope is narrow. It applies only to people (not companies), and damages for professional use are explicitly excluded. There is still scope for collective claims such as class actions, however. The directive isn't law itself but sets the legislative direction for EU member states, and they have two years to implement its provisions. The directive commits the European Commission to publicly collating court judgements based on the directive, so it will be easy to see how cases are proceeding.

Major software vendors used by the world's most important enterprises and governments are publishing comically vulnerable code without fear of any blowback whatsoever. So yes, the status quo needs change. Whether it needs a hand grenade lobbed at it is an open question. We'll have our answer soon.

The Almighty Buck

Europe's Crooks Keep Blowing up ATMs (cnn.com) 98

"In the early hours of Thursday, March 23, 2023, residents in the German town of Kronberg were woken from their sleep by several explosions," reports CNN .

"Criminals had blown up an ATM located below a block of flats in the town center..." According to local media reports, witnesses saw people dressed in dark clothing fleeing in a black car towards a nearby highway. During the heist, thieves stole 130,000 euros in cash. They also caused an estimated half a million euros worth of collateral damage, according to a report by Germany's Federal Criminal Police Office, BKA.

Rather than staging dramatic and risky bank robberies, criminal groups in Europe have been targeting ATMs as an easier and more low-key target. In Germany — Europe's largest economy — thieves have been blowing up ATMs at a rate of more than one per day in recent years. In a country where cash is still a prevalent payment method, the thefts can prove incredibly lucrative, with criminals pocketing hundreds of thousands of euros in one attack.

Europol has been cracking down on the robberies, carrying out large cross-border operations aimed at taking down the highly-organized criminal gangs behind them. Earlier this month, authorities from Germany, France and the Netherlands arrested three members of a criminal network who have been carrying out attacks on cash machines using explosives, Europol said in a statement. Since 2022, the detainees are believed to have looted millions of euros and run up a similar amount in property damage, from 2022 to 2024, Europol said...

Unlike its European neighbors, who largely transitioned away from cash payments due to the Covid-19 pandemic, cash still plays a significant role in Germany. One half of all transactions in 2023 were made using banknotes and coins, according to Bundesbank. Germans have a cultural attachment to cash, traditionally viewing it as a safe method of payment. Some say it allows a greater level of privacy, and gives them more control over their expenses.

Google

'We Took on Google and They Were Forced to Pay Billions' (bbc.com) 58

"Google essentially disappeared us from the internet," says the couple who created price-comparison site Foundem in 2006. Google's search results for "price comparison" and "comparison shopping" buried their site — for more than three years.

Today the BBC looks at their 15-year legal battle, which culminated with a then record €2.4 billion fine (£2 billion or $2.6 billion) for Google, which was deemed to have abused its market dominance. The case has been hailed as a landmark moment in the global regulation of Big Tech. Google spent seven years fighting that verdict, issued in June 2017, but in September this year Europe's top court — the European Court of Justice — rejected its appeals.

Speaking to Radio 4's The Bottom Line in their first interview since that final verdict, Shivaun and Adam explained that at first, they thought their website's faltering start had simply been a mistake. "We initially thought this was collateral damage, that we had been false positive detected as spam," says Shivaun, 55. "We just assumed we had to escalate to the right place and it would be overturned...." The couple sent Google numerous requests to have the restriction lifted but, more than two years later, nothing had changed and they said they received no response. Meanwhile, their website was "ranking completely normally" on other search engines, but that didn't really matter, according to Shivaun, as "everyone's using Google".

The couple would later discover that their site was not the only one to have been put at a disadvantage by Google — by the time the tech giant was found guilty and fined in 2017 there were around 20 claimants, including Kelkoo, Trivago and Yelp... In its 2017 judgement, the European Commission found that Google had illegally promoted its own comparison shopping service in search results, whilst demoting those of competitors... "I guess it was unfortunate for Google that they did it to us," Shivaun says. "We've both been brought up maybe under the delusion that we can make a difference, and we really don't like bullies."

Even Google's final defeat in the case last month did not spell the end for the couple. They believe Google's conduct remains anti-competitive and the EC is looking into it. In March this year, under its new Digital Markets Act, the commission opened an investigation into Google's parent company, Alphabet, over whether it continues to preference its own goods and services in search results... The Raffs are also pursuing a civil damages claim against Google, which is due to begin in the first half of 2026. But when, or if, a final victory comes for the couple it will likely be a Pyrrhic one — they were forced to close Foundem in 2016.

A spokesperson for Google told the BBC the 2024 judgment from the European Court of Justice only relates to "how we showed product results from 2008-2017. The changes we made in 2017 to comply with the European Commission's Shopping decision have worked successfully for more than seven years, generating billions of clicks for more than 800 comparison shopping services.

"For this reason, we continue to strongly contest the claims made by Foundem and will do so when the case is considered by the courts."
Cellphones

Inside the U.S. Government-Bought Tool That Can Track Phones At Abortion Clinics (404media.co) 235

Slashdot reader samleecole writes: Privacy advocates gained access to a powerful tool bought by U.S. law enforcement agencies that can track smartphone locations around the world. Abortion clinics, places of worship, and individual people can all be monitored without a warrant.

An investigation into tracking tool Locate X shows in the starkest terms yet how it and others — based on smartphone location data sold to various U.S. government law enforcement agencies, including state entities — could be used to monitor abortion clinic patients. This comes as more states contemplate stricter or outright bans on abortion...

Electronic Frontier Foundation

Egyptian Blogger/Developer Still Held in Prison 28 Days After His Release Date (eff.org) 51

In 2004 Alaa Abd El Fattah answered questions from Slashdot's readers about organizing the first-ever Linux installfest in Egypt.

In 2014 he was arrested for organizing poltical protests without requesting authorization, according to Wikipedia, and then released on bail — but then sentenced to five years in prison upon retrial. He was released in late March of 2019, but then re-arrested again in September by the National Security Agency, convicted of "spreading fake news" and jailed for five years...

Wikipedia describes Abd El-Fattah as an "Egyptian-British blogger, software developer and a political activist" who has been "active in developing Arabic-language versions of software and platforms." But this week an EFF blog post noticed that his released date had recently passed — and yet he was still in prison: It's been 28 days since September 29, the day that should have seen British-Egyptian blogger, coder, and activist Alaa Abd El Fattah walk free. Egyptian authorities refused to release him at the end of his sentence, in contradiction of the country's own Criminal Procedure Code, which requires that time served in pretrial detention count toward a prison sentence. [Human Rights Watch says Egyptian authorities are refusing to count more than two years of pretrial detention toward his time served. Amnesty International has also called for his release.] In the days since, Alaa's family has been able to secure meetings with high-level British officials, including Foreign Secretary David Lammy, but as of yet, the Egyptian government still has not released Alaa...

Alaa deserves to finally return to his family, now in the UK, and to be reunited with his son, Khaled, who is now a teenager. We urge EFF supporters in the UK to write to their MP to place pressure on the UK's Labour government to use their power to push for Alaa's release.

Last month the EFF wrote:: Over 20 years ago Alaa began using his technical skills to connect coders and technologists in the Middle East to build online communities where people could share opinions and speak freely and privately. The role he played in using technology to amplify the messages of his fellow Egyptians — as well as his own participation in the uprising in Tahrir Square — made him a prominent global voice during the Arab Spring, and a target for the country's successive repressive regimes, which have used antiterrorism laws to silence critics by throwing them in jail and depriving them of due process and other basic human rights.

Alaa is a symbol for the principle of free speech in a region of the world where speaking out for justice and human rights is dangerous and using the power of technology to build community is criminalized...

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