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Crime United Kingdom

GCHQ Warns It Is Losing Track of Serious Criminals 229

An anonymous reader writes The Telegraph reports, "GCHQ has lost track of some of the most dangerous crime lords and has had to abort surveillance on others after Edward Snowden revealed their tactics ... The spy agency has suffered "significant" damage in its ability to monitor and capture serious organized criminals following the exposes by the former CIA contractor. Intelligence officers are now blind to more than a quarter of the activities of the UK's most harmful crime gangs after they changed their communications methods in the wake of the Snowden leaks. One major drug smuggling gang has been able to continue flooding the UK with Class A narcotics unimpeded for the last year after changing their operations. More intense tracking of others has either been abandoned or not started because of fears the tactics are now too easy to spot and will force the criminals to "go dark" and be lost sight of completely."
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GCHQ Warns It Is Losing Track of Serious Criminals

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  • Lest we forget (Score:5, Insightful)

    by mwvdlee ( 775178 ) on Monday December 22, 2014 @08:59AM (#48651569) Homepage

    Please remember that "serious criminals" included the entire population.

    • by Anonymous Coward on Monday December 22, 2014 @09:09AM (#48651639)

      You're thinking of Australia. That's where UK deported its serious criminals, whereas it deported its religious nutcases to North America.

    • Re: (Score:3, Insightful)

      by AmiMoJo ( 196126 ) *

      Well, they are right that serious criminals have gone unpunished in the last year, i.e. the ones working at GCHQ.

  • Relevant quote (Score:5, Insightful)

    by Anonymous Coward on Monday December 22, 2014 @09:00AM (#48651579)

    "We can't do our jobs, while obeying the law."

    --Gang leadership, er, correction, GCHQ leadership

    • Re: Relevant quote (Score:2, Informative)

      by Anonymous Coward

      You mean the criminals of Ghcq who are infamous of hacking phone companies outside britain are complaining they don't know what there felow criminals are up to?

  • As a former federal inmate (Read my story via The Market is Not Random [tminr.com]), I was able to witness the expanding overcrowding of the system. The United States Sentencing Commission has been stating for many years that prison sentences are too long, and that non-violent criminals (like me) are prime candidates for alternative sentencing. In fact, regardless of crime, the majority of Americans believe a prison sentence of 2.6 years is long enough.

    That said, I don't see that as the complete problem. Once released, federal inmates are subject to supervised release sometimes in excess of 10-15 years. The ability to track the ever expanding populous of inmates does a disservice to tracking the non-reformed. If one was to believe that prison did not lead to reform, then the proper conclusion is that all prisons (including myself) should be executed, regardless of crime.

    • Claim: [tminr.com]

      Despite Mr. Klatch’s success, his young age led to some reckless decisions. Mr. Klatch was indicted in 2011 by the federal government, and he subsequently accepted a guilty plea to four felony counts: Conspiracy to Defraud the United States, Securities Fraud, Wire Fraud, and Money Laundering. Mr. Klatch acknowledges that he engaged in deceptive marketing tactics, which led to some investor losses during the 2008-2010 financial crisis. However, he accepted responsibility for his actions, and successfully served a five-year federal prison sentence. Today, he is actively pursuing various avenues in order to make full restitution to his victims.

      FBI [fbi.gov]:

      Kenyen Brown, U.S. Attorney for the Southern District of Alabama, is pleased to announce that Anthony J. Klatch, II, of Tampa, Florida and Sugarloaf Township, Pennsylvania, has pled guilty to one count each of conspiracy, securities fraud, wire fraud, and money laundering. These convictions all stem from his involvement in a fraudulent investment scheme involving the TASK Capital Partners hedge fund. All the TASK fund investors were located in either the Mobile area or in Florida. Combined, they lost a total of $2.3 million. In addition to spending time in prison, Klatch will be required to forfeit assets associated with his fraudulent activities. As part of his plea agreement, Klatch also agreed to the following facts about his involvement:

      In January 2009, Anthony J. Klatch, II and Timothy Sullivan created the TASK Capital Partners, LP hedge fund, with Klatch serving as the fund’s Senior Managing Director and Chief Investment Officer.

      After creating TASK, Klatch, Sullivan, and others solicited individuals to invest in the fund. This was done through a variety of means, including, but not limited to, providing potential investors with investment prospectuses, which contained material misrepresentations and material misleading omissions. At least one potential investor received this prospectus via e-mail.

      From April through October 2009, seven investors invested approximately $2.3 million in the TASK hedge fund. Along with the seven investors, Klatch and Sullivan each invested $1 in TASK. Once investors agreed to invest money in the TASK fund, the investors used interstate wires to transfer, or to authorize a transfer of, money from their accounts into accounts managed by TASK. Wire transfers, or the authorizations to transfer money, for three of the TASK investors originated in the Southern District of Alabama.

      Between April 2009 and December 2009, Klatch and Sullivan managed the $2.3 million of investment capital in TASK. However, only about 60 percent of this amount was ever actually invested. This 60 percent was lost over the course of eight months through a series of investments. In December 2009 and January 2010, all TASK investors were told by Klatch, Sullivan, and others that their entire investment had been lost in a single bad trade.

      The remaining 40 percent of money in TASK was used for non-investment related expenditures. This includes $180,592.45 which ended up in Klatch’s personal bank account. Before ending up in his personal account, this money was moved through different bank accounts, via a series of transactions, which Klatch knew were designed in whole or in part, conceal or disguise the nature, location, source, ownership, or control of the proceeds.

      In addition to his involvement in the TASK scheme, Klatch admits that he was also involved in similar fraudulent investment schemes involving American Private Equities, LLC, ARM Capital Management, LLC, and Vigilant Capital Management, LLC. Furthermore, Klatch agrees that the total fraud amount associated with these other funds will be included as relevant conduct for sentencing purposes. The parties agree that

      • I'm trying to figure out how the man also controls time. He was indicted in 2011, and successfully served a 5 year prison sentence. That means it's 2016 man!!! Where did the last two years go?

        • The same accounting that brought us the banking crisis?

          My guess is that he was given credit for time in custody, and he's now on parole after serving 1/2 of his sentence, so he hasn't "served a 5 year prison sentence."

          And for those who wish to argue this is slightly off-topic, white collar crime has ruined his victims' lives. Surveillance of known white-collar criminals should be fairly easy, since many of them depend on the internet for at least a portion of their scams, and you know who you need to keep an eye on.

          "Oh, but he needs to make a living."

          Sure, but not in anything that can allow him to commit more white-collar crimes while out on parole. Let him pick up garbage, learn how to lay bricks, whatever.

      • by artlu ( 265391 )

        I have done everything possible to show my remorse. I have forfeited every asset. I have accepted my responsibility, and I am working on my books in order to make full restitution to my victims via my "Five Mill to Freedom Campaign."

        The misconception that my criminality did not lead to immense knowledge is wrong. I worked 3am-4pm every single day, as provable by my trading records. That information resulted in me writing, "The Market is Not Random." [tminr.com], and the forthcoming fictional portrayal of how to sav

        • Whoa, cowboy. You did not "forfeit every asset." Those assets weren't yours to begin with, since they were got with stolen money. If you had stolen a car, you couldn't say "well, I got caught and I forfeited my car." If you had fenced that car, and bought a big-screen TV, it's still not something that you rightfully own - it's the proceeds of crime.

          Also, "The misconception that my criminality did not lead to immense knowledge is wrong." Sure, you had to be knowledgeable to defraud people out of millions. Too bad you couldn't do it legally - guess you didn't have enough knowledge or smarts on how to do it right. You set out from the beginning to defraud people, So, why should anyone trust your "immense knowledge", when others in all walks of life make it without resorting to multi-million-dollar frauds?

          Thinking you can just sit on your arse and write a couple of books and that will solve the problem is like the frequent posters here who ask slashdot "I just got laid off and I hear there's big money in programming." You have less credibility in finance than an Ouija board.

          I'm not trying to be mean or anything - but you, and people who thought like you - that they could "take lots of money out and we'll cover it with huge profits" - were part of the reason for the financial crisis. Time to turn to "sweat of the brow" work, even if it will never give you the lifestyle you used to have. Certainly your victims are in the same position because they trusted you.

  • by ggraham412 ( 1492023 ) on Monday December 22, 2014 @09:03AM (#48651597)
    I thought the enhanced NSA and GCHQ surveilance was about combating terrorism. Or is that rationale just given in the United States?
    • You misspelled irrational...

    • You think the folks working at the NSA and GCHQ sat around doing nothing before terrorists showed up on the scene? Their job (at least what they're supposed to be doing) is surveillance of criminal operations and foreign powers, of which terrorists are a subset. What got them into trouble was they started pointing their monitoring apparatus at people outside those categories - i.e. their general population.
    • by AmiMoJo ( 196126 ) * on Monday December 22, 2014 @10:38AM (#48652159) Homepage Journal

      Terrorists, paedophiles, organized crime, bad drivers... Any of the usual suspects can be used interchangeably to justify more powers and surveillance.

      I remember the bad old days, before criminals used the internet for communication and we were unable to spy on them. You could hardly walk down the street without being blown up by a terrorist, and every child was molested by at least two paedophiles on a typical day. It wasn't until GCHQ started monitoring everyone that we could live our lives in relative peace.

  • by Somebody Is Using My ( 985418 ) on Monday December 22, 2014 @09:06AM (#48651613) Homepage

    Maybe if our police forces hasn't been so overbearing in their surveillance methods they wouldn't have had this problem.

    It isn't so much that people are upset that police have the ability to listen in to phone calls or track us. Rather, they are upset that increasingly these powers are being used on everyone all the time, usually without needing a warrant or having any oversight. These powers have been, are and will continued to be abused by the authorities. The citizens - including whistle-blowers like Snowden - are making a fuss because they don't want everyone to be treated like a crook. Had the police and security apparat contented themselves with appropriate measures, there would have been much less impetus for Snowden and Assange to make the great revelations they did.

    But no, we have cameras on every corner, our communications are bugged, our every movement and behavior tracked and analyzed. Don't try to shift the blame onto the people who helped make us aware of your overreach. Stop labeling everyone a criminal, stop depending on gadgets to do your work for you, and stop misusing the tools and powers we-the-people already gave you (and then demanding even more). Only then can you talk about how the bad whistle-blowers are making your job more difficult.

    • by Bob9113 ( 14996 )

      It isn't so much that people are upset that police have the ability to listen in to phone calls or track us. Rather, they are upset that increasingly these powers are being used on everyone all the time, usually without needing a warrant or having any oversight. These powers have been, are and will continued to be abused by the authorities.

      Came here to say this, and you said it better than I could. Thanks!

    • by cardpuncher ( 713057 ) on Monday December 22, 2014 @10:09AM (#48651979)

      Don't forget that the Telegraph is an extremely conservative newspaper which is very cosy with the British establishment.

      The key phrases in the article, "the Daily Telegraph can disclose", and "a senior security official said", imply that the Telegraph has been explicitly briefed knowing that it will big up the story. You know the quotation:

      "You cannot hope to bribe or twist
      (Thank God!) the British journalist.
      But, seeing what the man will do
      Unbribed, there's no occasion to."

      Mind you, the fact that they're talking about drug gangs is especially significant as on the one hand it's an attempt to deflect attention from the political nature of GCHQ spying whereas on the other it's suggesting that GCHQ has a routine role in what would normally be considered police work. They're obviously proud of their mission creep.

    • by AmiMoJo ( 196126 ) * on Monday December 22, 2014 @10:53AM (#48652253) Homepage Journal

      It's not just that they spy on everyone, it's that they actively abuse these powers for their own benefit. For example, in the recent "Plebgate" scandal a police officer was shown to have lied, and was convicted. The police responded by using their RIPA powers to get the phone records of the journalists who exposed them, in order to find out who their confidential sources were.

      I'm afraid that human nature being what it is the security services can't be trusted with these powers. No amount of oversight will fix it, they just can't have them.

  • by Anonymous Coward on Monday December 22, 2014 @09:06AM (#48651617)

    Intelligence officers are now blind to more than a quarter of the activities of the UK's most harmful crime gangs after they changed their communications methods in the wake of the Snowden leaks.

    So the intelligence officers let three quarters of the UK's most harmful crime gangs operate peacefully in spite of being in on their communications? If they are not doing anything about them, it can't be that important.

    At any rate: if the criminals avoid the eavesdropping anyway, how about stopping the eavesdropping on the law-abiding citizens?

    • Re: (Score:2, Funny)

      by Anonymous Coward

      You couldn't be more wrong. Before the Snowden leaks, you could not buy recreational drugs in the UK. Nobody in the entire country did any drugs because they were impossible to get.

  • by king neckbeard ( 1801738 ) on Monday December 22, 2014 @09:07AM (#48651625)
    Don't worry, while they may have lost track of serious criminals, silly criminals are still being closely monitored.
  • I really doubt it, if anything this shows the inability of the police to adapt to changing situations, and for those already busted the word got out how it was done so if anything the Snowden revelations drew a line under it, not actually revealing anything unknown.

  • by Anonymous Coward on Monday December 22, 2014 @09:12AM (#48651665)

    > One major drug smuggling gang has been able to continue flooding the UK with Class A narcotics unimpeded

    And how is this different from the last 40 years?

  • Boohoo (Score:4, Insightful)

    by Vlijmen Fileer ( 120268 ) on Monday December 22, 2014 @09:12AM (#48651667)

    Damn.
    That's exactly like criminals whining that police is interrupting the normal flow of their criminal operations.
    Disgusting. And very easy to see through, what a nonsense.

  • by ihtoit ( 3393327 ) on Monday December 22, 2014 @09:16AM (#48651687)

    the BBC
    Parliament
    Buckingham Palace

    Just three of many places where criminals operate with impunity.

    Evidenced and in the public domain.

  • by rossdee ( 243626 ) on Monday December 22, 2014 @09:18AM (#48651697)

    But its keeping a close eye on the humourous ones.

  • by sce7mjm ( 558058 ) on Monday December 22, 2014 @09:20AM (#48651709)

    This just shows that gchq have lost track of some of the criminals it knew about but had not gained enough intelligence to form a case (or the crimes were not considered serious enough). It has not lost track of the criminals that weren't using the communications channels it had a viewport on because it didn't have them tracked in the first place.

    Seems like they became complacent and sat waiting for the evidence to appear in front of them. Rather than following up the leads in the old school methods.

    Essentially: c+ must try harder.

    • Re: (Score:2, Insightful)

      by Anonymous Coward

      Snowden let us know that GCHQ was busy carrying out DDOS attacks [bbc.co.uk] on websites suspected of being used by Anonymous. Without due process, without any tested proof of wrongdoing, without any judicial oversight of what they were doing or consideration of collateral damage. Legal only because GCHQ has pretty much carte blanche to do whatever they want. Maybe if GCHQ spent more of their time doing what most people think they should be doing, instead of playing script kiddy and DDOSing random chat rooms, they woul

    • This just shows that gchq have lost track of some of the criminals it knew about but had not gained enough intelligence to form a case (or the crimes were not considered serious enough). It has not lost track of the criminals that weren't using the communications channels it had a viewport on because it didn't have them tracked in the first place.

      Seems like they became complacent and sat waiting for the evidence to appear in front of them. Rather than following up the leads in the old school methods.

      Essentially: c+ must try harder.

      Seems like they became complacent and sat waiting for the evidence to appear in front of them. Rather than following up the leads in the old school methods.

      GCHQ are signals intelligence, not human intelligence. If MI5 and National Crime Agency aren't following up it isn't on them.

    • by Matheus ( 586080 )

      C- ... shows distinct lack of ability coupled with severe behavior issues and a complete lack of respect for authority.

  • by Nexion ( 1064 ) on Monday December 22, 2014 @09:26AM (#48651743)

    We have to actually work instead of sitting back and letting the computer do our jobs, boohoo.

    Yeah, respecting the rights of the people makes tyranny difficult. Maybe you shouldn't have partnered with the colonies. :P

    I know! Lets throw a pity party for the oppressor!

  • Yes? (Score:5, Interesting)

    by bickerdyke ( 670000 ) on Monday December 22, 2014 @09:26AM (#48651745)

    a) They shouldn't have overdone the surveillance to an extent that made it neccessary to have a Snowden to restore protection of those who the three letter agencies are supposed to protect and

    b) this is based on the fallacy that before Snowden, criminals did not know about the surveillance protocols. Well, obviously, SOME didn't know. But those criminals who managed to bribe or blackmail a someone on a Snowden-like position into sharing their Snowden-like knowledge wre never monitored by the GHCQ.

    • by mikael ( 484 )

      The information disclosed by Snowden can be reduced down to "The three letter agencies can convert any electronic device with a microphone into a hidden tape recorder" and "anything sent down The Tubes can also be recorded". So they meet in person and just leave their smartphones in the room outside.

  • "One major drug smuggling gang has been able to continue flooding the UK with Class A narcotics..."

    What do they want, Class B narcotics?

  • If they had been monitoring all their drug and other illegal activities... why haven't they arrested them long ago ?
    • To jail a criminal you have to provide real proof then win in court.

      To harass innocent citizens they just have to avoid going anywhere near a court.

  • by spacefight ( 577141 ) on Monday December 22, 2014 @09:37AM (#48651789)
    fearmongering. Stop it, thanks.
  • by idji ( 984038 ) on Monday December 22, 2014 @09:39AM (#48651803)
    Ongoing GCHQ & MI5 operations in December 2014 are not related to this info. This is out of date info thrown into the public arena to gain political support for new policies, that will cover what they are really after.
  • by MagickalMyst ( 1003128 ) on Monday December 22, 2014 @09:42AM (#48651823)
    Had GCHQ/NSA, etc. been spying ONLY on terrorists, drugs dealers, etc., then we wouldn't be reading this.

    But they broke the law and got caught. Don't blame Snowden for having some integrity and doing the right thing. These agencies could learn a lot from Snowden.

    As for the 'war on drugs', the Taliban declared opium poppy cultivation illegal just before the US/UK invasion of Afghanistan. Opium production - and by extension heroin production - was reduced to almost nothing.

    In effect, the Taliban dealt the single most effective blow to the so-called "war on drugs" since its inception decades ago.

    Since then the UK/USA invaded and allowed opium to be produced again - and now they produce record levels of opium and heroin. Billions of dollars of drugs. All controlled by UK/USA.

    Now it seems that GCHQ can't monitor all of the drug dealers they'd like to. Are they worried that someone might be taking a slice of their pie?

    You reap what you sow.
  • So, (potentially) a quarter more class A narcotics entered the country due to (potentially) a quarter of the communications intercepted no longer being so. For one, I highly doubt those numbers translate to effective raise in class A narc. consumption or even availability. Let's not forget Snowden's actions also alerted the criminals, so they are EFFECTIVELY more aware, and thus LESS active since.

    In any case, the number of drug addicts does not always increase with availability. Some studies actually indica

  • The spy agency has suffered "significant" damage in its ability to monitor and capture serious organized criminals

    can't they just pick up the trail again when they come out of the mosque?

  • by Richy_T ( 111409 ) on Monday December 22, 2014 @09:48AM (#48651849) Homepage

    The cops who blew the OJ case probably thought they were doing a good job too.

    The best way to avoid getting caught (and ruin everything you're working towards) is not to break the law.

    • by ihtoit ( 3393327 )

      I'll be sure and tell Melanie Shaw that. She tried to expose systemic child abuse during her time in Beechwood Children's Home, last week she was convicted by a directed jury of causing a shed fire that did not happen and sentenced to time served (in horrific conditions during which time she developed a stage 3 ulcer on her leg which also threated her foot) and three years probation.

      The State fucking hate it when people try to expose their criminality, they can and will pull every dirty trick imaginable (an

  • Lets take this complaint by the GCHQ, and lets assume that the NSA/FBI may have similar issues, if indeed it's really a problem.
    Then lets look at the Google/Apple/Microsoft complex offering up encryption for their users, as though to say "you're safe with us now".

    These Snowden revelations crippled the "security" agencies, so what's the natural response?
    "How do we get users to become complacent again?"

    Easy, have the Google/Apple/Microsoft complex offer up encryption, then have the FBI come out publicly and c

  • by PPH ( 736903 ) on Monday December 22, 2014 @10:41AM (#48652173)

    ... if you've got all your cops surrounding the Ecuadorian Embassy, you don't have time for anything else.

  • One major drug smuggling gang has been able to continue flooding the UK with Class A narcotics unimpeded for the last year after changing their operations.

    As if Class A narcotics weren't available in the UK when these excuse-stuffed buffoons did have unimpeded access to everyone's private communications.

  • The serious ones were already "dark" on the internet and phone networks... they had already taken steps to secure their comms channels... what the GCHQ are really complaining about is that a lot of the slow ones have now wised up and changed their ways...
    • Which means that GCHQ need to make a lot of noise about it now, to secure funding. In 10 years time these guys and people like them working for governments around the world will have driven up the level of security in criminal (and foreign gov.) communications so high that they are unable to figure out what messages are passing back and forth, so governments will have to rely on actual police/spy work instead of electronic eavesdropping and that makes GCHQ practically obsolete, or at least subject to being
  • - Oh noes, we can't spy on people so now we don't have enough to blackmail politicians, companies and business owners to do our bidding. Quickly, prep a press release about crime-lords and terrorists!
    - Should we add a "think of the children" type paragraph in it sir?
    - Neah, not this time.
  • Big Britter (Score:3, Insightful)

    by js096467 ( 3960353 ) on Monday December 22, 2014 @11:44AM (#48652641)
    The UK has probably done more than the US in terms of spying on it's citizens and now they are running a piece to place blame on the person who literally just said "what you are doing is illegal, i'm going to tell" It's not surprising that the original telegraph.uk article names the overlords as "spy bosses" because they have been illegally spying.
  • I read the headline as "GCPD Warns It Is Losing Track of Serious Criminals" and immediately thought to myself "Damn it! Someone call Batman!". (http://en.wikipedia.org/wiki/Gotham_City_Police_Department)

  • by ThatsNotPudding ( 1045640 ) on Monday December 22, 2014 @01:21PM (#48653479)

    One major drug smuggling gang has been able to continue flooding the UK with Class A narcotics unimpeded for the last year after changing their operations.

    Simple: legalize it all. Now, you've removed the massive profits, reduced the associated violence of the sellers, the theft and robbery crimes of the users, while also reducing the amount of ODs, allied health costs, and even deaths, ala Portugal.

    But they have no idea of allowing these solid, provable benefits to society, as it would be a detriment to their power and money (i.e., they're just another criminal organization).

  • So it seems to me that GCHQ are admitting that mass surveillance is no longer effective after Edward Snowden.

  • ..Blame yourselves for abusing dangerous power that we the people entrusted you with. Now we don't trust you and the power is gone. If you had used it sparingly and for real need you'd still have it. Now the world is indeed more dangerous because you failed to constrain yourselves.

  • by ogdenk ( 712300 ) on Monday December 22, 2014 @04:14PM (#48655217)

    Awww... cry me a river. UK cops actually have to engage in police work to catch criminals instead of resorting to outright criminal or at least very shady methods to catch them. I guess the UK and US govts shouldn't have abused the power we entrusted them with.

    Want an easier time catching criminals? Stop BEING criminals.

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