Analysis Brief 2008

Greetings from Business Stratagem Support Group (BSSG)!
 
This is the first edition of the Analysis Brief for 2008, after our electronic holiday card.  We are excited about sharing and discussing security issues this coming year because we believe this will be an important year for security.  This particular issue starts with information about the New People's Army in the Philippines and is based on a sensitive document published by the Communist Party of the Philippines.  It demonstrates the level of inside expertise we have in the Philippines.  Additionally, we have an article urging those responsible for water system security to make certain they keep their risk assessment up-to-date and more articles on the threat of Industrial Espionage, which BSSG believes is the most significant threat facing businesses today in terms of adverse consequences, and on how utilities are combatting copper wire and metal theft.    BSSG is constantly looking for unique and new approaches to keep the foes of our clients off balance.  We hope this edition will provide some education and awareness and will stimulate discussion of the security challenges we face in the 21st Century, within the United States, and around the globe.  May 2008 be a safe and secure year for all of us.  Flexible innovative solutions for fluid threats!

WWW.INTERNATIONALBSSG.COM
 
 International Waters
 
 
 
IS THE NPA STAGING A RESURGENCE IN THE PHILIPPINES?

 
The Philippine government has been claiming the New People's Army (NPA), the military arm of the Communist Party of the Philippines (CPP), is being destroyed by operations by the Armed Forces of the Philippines (AFP) and the Philippine National Police (PNP).  These government operations have been labeled Oplans Bantay Laya I and II.
 
Through partners in the Philippines, BSSG has obtained a copy of a lengthy manifesto recently issued by the Central Committee of the CPP.  The document provides some keen insights into the thinking, and thus the potential threats, posed by the NPA.  The 20-page document is entitled "Accelerate the Revolutionary Advances of the CPP for the Celebration of its 40th Anniversary."  It indicates the NPA is working hard to deal with the challenges to its existence and it is evident that expectations of its demise might be overstated.
 
This is not the first time the NPA was thought to be collapsing.  The NPA flourished during the 1970's and 1980's but when the Marcos government was toppled and the US military left the Philippines, the NPA lost its raison d'entre and fell on hard times.  But, with corruption thriving in the administrations of Joseph Estrada and Gloria Arroyo, the NPA got a second breath.  Now, once again, the NPA  may be ready to rise from the ashes like the proverbial Phoenix bird.
 
The NPA, of course, is the CPP's military arm.  Many would say it is more accurately described as a terrorist and criminal organization that uses bombings, kidnappings, assassinations and extortion in its repetoire of tactics.
 
This latest manifesto is well written and thoroughly  discusses the history and the founding of the CPP, which is listed in the document as December 26, 1968.  The CPP says it continues to operate on theoretical guidance provide by Marxism-Leninism-Maoism.

According to the manifesto, the CPP/NPA has led, and will continue to lead, the struggle against US imperialism and against the regime of President Arroyo, which the doucment terms a "fake" president.  

 

The document spends five full pages describing the problem with world capitalism, "neoliberal" globalization and "free market" approaches.  It concludes that the US and other imperialist countries such as those in Europe and Japan, have eroded workers' rights and have squashed working people, women, children and the environment.   The document clearly focuses on the US as a major enemy.  It analyzes the problems with the US economy, noting the trade deficit and national debt are huge and predicts a global recession because of the decline of the US dollar, the mortgage meltdown and the rising cost of energy.  It claims the main conflict in the world is still between imperialist powers and oppressed peoples and nations and says that issue is best resolved through "revolutionary armed struggle."

 

In the Philippines, the current government and system are described as rotten/corrupt, weak and unstable.  The document says a semicolonial/semi fuedal system in the Philippines keeps a few in power and oppresses the majority.   This document spends another seven pages to analyzing problems with the Filipino economy and ruling structure of the Philippines.  The document claims that 80 percent of the Filipino people live on the peso equivalent of less than two US dollars a day.  The document also claims the majority of Filipino military officers are contemptuous of Arroyo and her hand-picked officers at the top of the chain of command.  The latter are, the document claims, reactionaires that steal state funds, cheat the troops of their basic supplies, participate or connive with criminal syndicates and participate in drug trafficking, prostitution, urder-for-hire and kidnapping-for-ransom. 

 

The CPP solution?  According to the CPP/NPA manifesto the answer is "armed revolution."

 

Specifically, the CPP/NPA manifesto calls for a socialist revolution in the Philippines.  While the government says the NPA is being destroyed, the NPA claims it has a presence in more than 70 or the 81 provinces in the Phlippines and the that it operates 120-130 guerrilla fronts under the control of the Communist Party.

 

"The reactionary armed forces can cocentrate on no more than 10 percent of guerrilla fronts and no more than 300 to 600 of the more than 18,000 villages" where the guerrillas operate.  The document claims the Armed Forces of the Philippines continues to be "dumbfounded" by the flexible tactics of concentration, dispersal and shifting used by the NPA.  The NPA says it follows the Maoist "People's War strategy" of encircling the cities from the countryside and integrates revolutionary armed struggle, agrarian revolution and base building.  The goal of NPA attacks are to annihilate enemy units and seize their weapons, which will be redestributed so the peasant masses can join the armed revolution.

 

The paper goes on to describe the guerrilla front and tactics of maneuver that involve teams, squads and platoons.  The manifesto acknowledges the NPA needs a broad united front.  In order to achieve this broad front, the paper acknowledges there will be "temporary alliances" with what the CPP/NPA labels as "unstable and unreliable" allies.  Regretfully, it notes, such alliances are needed now but the document implies those issues can be reconciled when the revolution is complete.

 

This particular manifesto calls and all cadres and members of the CPP and NPA to work hard during 2008 so that the 40th anniversary celebration, which will be held this December, will be one of "true joy."  It calls on all NPA units to accelerate tactical offensives, seize more weapons, follow the NPA's Rules of Discipline and Respect for Human Rights and International Humanitarian Law.  It also says the NPA must arrest, investigate, try and punish "feudal tyrants and exploiters" which it says includes the big landholding companies, plantations, mines, logging and similar enterprises that oppress the people.  They were also ordered to increase taxation against the rich, the land owning families and "any entity from which a revolutionary tax can be collected."

 

In addition, every member of the NPA has been challenged to recruit 10 new prospective members who can be trained and readied for the revolutionary battle against the US, Japan, Europe and the Philippine government.  Sources of new membership, according to informants and the document will include the traditional sources of natives, rural people, farmers, fishermen, youth, students, factory workers and government workers.  But it also encourages the leaders to look to new sources of members such as overseas contract workers, immigrants and second and second/third generation Filipinos who live in other countries.

 

COMMENTS:  The CPP/NPA have been under attack by the Philippine National Police and Armed Forces of the Philippines.  Whenever the AFP has been able to conduct continuous military operations, the NPA has been hindered.   The NPA has suffered losses and the AFP have been able to clear some areas and have gained several NPA defectors.  Now the CPP and NPA are motivated by the latest attempted military coup attempts and a general dissatisfaction with the Arroyo government.  Sources indicate the NPA will continue to exist and will strive to mount a spring offensive.  BSSG will continue to monitor the NPA and its actions in the Philippines but unless the government changes its tactics, we expect the NPA to be around for a long time.

More Information

 
 
 CAPP
             Comprehensive Asset Protection Program
 

 

 
COPPER WIRE THEFT - WHEN WILL THEY EVER LEARN?

 

For months and months, BSSG has been reporting copper and metal  theft  is rampant worldwide.  There have been reports virtually every month about copper theft in the Tampa, Florida vicinity or in Denver/Aurora, Colorado areas where BSSG has its offices.  BSSG has tried to explain some new techniques that can be used to reduce these metal thefts. 

 

In spite of our efforts, here we go again.  In January of 2008, the Tampa Tribune again reported that copper-wire thefts.  This time it was from Lakeland electrical substations and the reports said the thefts peaked over the Christmas/New Year's holidays when there what police called a "rash" of thefts.  According to police, seven Lakeland substations have been hit in less than a year and three just during the recent holidays.  In once case, officials estimated it would cost $15,000 to make repairs and replace about $1500 worth of stolen copper wire.

 

Over and over, the police have noted that copper, and other metals, have very high value if sold as scrap.  The problem is that once thieves steal the copper, strip or burn off the insulation, or cut it up, it is extremely difficult to prove ownership at the salvage yard.

 

To solve that dilemma, BSSG developed a Comprehensive Asset Protection Program that includes using covert microdots and a special scent that can be mixed with the adhesive for the dots and which can be uniquely identified by trained dogs.  This CAP Program will provide positive identification capabilities and could help slow the cycle of theft and destruction.  Unfortunately, too many electric companies and construction companies obviously haven't gotten the word or just don't care because the Florida media continue to report metal thefts on a regular basis.

 

While Florida and other U.S. locations continue to have problems, it seems that a number of Canadian electric companies, who were also early victims of copper wire and pipe thefts, have realized the Asset Protection approach can help.  The corporate security director at Hydro One reported the company's annual losses to copper wire theft were about $2 million a year.  He noted there were also other potential costs associated with the attacks on copper wire such as the repairs to facilities, safety issues and the increased risk of blackouts, power surges and even house fires... all attributed to thefts. 

 

But unlike Florida, a number of Canadian power companies decided to take positive and innovative steps to deter the thieves.  Hydro One, Epcor and New Bunswick Power are all among the many Canadian utilities that have started using the covert microdot technology.  Now, if they just integrated the covert scent into their program, they would be using the core technology of BSSG's Comprehensive Asset Protection Program.  But even with just part of our program, they are already seeing positive results.  

 

If you are an electric company, a water company, a utility provider, a construction company, telecommunications company, agricultural company or anyone who has had theft problems because you have valuable metals, contact BSSG and let us help you mitigate the losses and consequences of metal theft.

 

 
www.internationalbssg.com
 
 Water Works
 
 

A LOT OF WATER UNDER THE BRIDGE SINCE THE LAST RISK ASSESSMENT

 

It has been approximately three to five years since most U.S. water systems were required to conduct a risk assessment by the U.S. Environmental Protection Agency.

 

Contact with a number of water systems in the U.S. indicated that many water systems have not formally updated their risk assessment since they completed the initial assessment.  Even though the EPA does not formally require it, most agree an update is overdue.

 

Back a few years ago, when the first assessments were being conducted, the focus tended to be more on terrorism and vandalism.  Those threats should still  be addressed but the diversity of threats faced is likely to have changed.   Metal theft issues, for example, have increased as the price of some metals, such as copper, have sky-rocketed. Thieves may now find it worthwhile to target a pump house just for the metal that can be salvaged.  There have also been multiple instances of accidents or workplace violence adversely impacting water systems and the likelihood of occurrence for these threats has changed as a result.

 

Many water systems implemented some of the recommendations that came out of the first assessment and that means the vulnerability aspect of the risk assessment equation will havechanged.  If a water system added or improved fencing, gates, doors, locks, alarms or CCTV, the vulnerability is undoubtedly different.

 

Then some water systems have seen changes that have resulted in different potential consequences, which is the third leg of the risk assessment approach.  If there has been an increase or decrease in customers, a process or methodology changed (e.g. you changed from using chlorine gas to using sodium hypo chlorite or membrane filters), then the potential consequences aspect of the risk assessment equation will probably have changed.

 

Finally, it is worth noting that the Emergency Response approach certainly has changed in the past several years.  The National Incident Management System (NIMS) and Incident Command Systems (ICS) were barely in existence and were rarely understood or practiced as an all-hazard response option when the initial assessments and response plans were being developed.  In the past several years, it has become important to integrate water systems emergency response plans with the NIMS/ICS approach directed by the Department of Homeland Security.  That means your Emergency Respnse Plan should probably be updated.

 

As a result of all of these potential changes, BSSG is joining with partners to offer water systems an opportunity to update their risk assessment and emergency response plans.  Now is the time!!  If you are interested, please contact BSSG. 

 

 

More Information
 
 Security Corner
   
PHYSICAL AND IT SECURITY - YOU CAN'T HAVE ONE WITHOUT THE OTHER

 

It may have taken them a while, but a victim who learned the hard way is taking steps to try and prevent a repeat problem.  Media reports say that Sumitomo Mitsui Banking Corporation, which was hit for a loss of nearly half a billion US dollars back in 2005, is now going to use a joint physical/IT security approach throughout its facilities in Europe and the U.S.

 

Before the theft, the bank had supposedly determined that since there was no cash at their UK bank offices, they did not need to put many resources into physical security there.  Since many of the transactions were done electronically, the focus was on IT security and certainly IT security was important.

 

However, according to reports, some contract staff were able to use unimpeded and unchecked access to the office areas and plant electronic transmitters on individual computers and record key strokes and passwords.  People who had worked in the industry and had insider knowledge were then able to use that information and electronically move money from the bank to the thieves' accounts.  

 

Now, reports say, physical security and IT security will report to a single focal point who will insure holistic and integrated security.

 

Many people reading this will probably be asking why it took the bank so long and will assume that is routinely being done in most companies, especially after ASIS International pushed for convergence of IT an physical security several years ago. 

 

It has been BSSG's experience that many companies, including a number of very large global corporations, have not, in fact, made that move yet and are subject to the same problems Sumitomo Mitsui Banking Corporation faced.  There is a lot of lip service about convergence and many companies have claimed that their IT and physical security work together "closely." When we examined the effectiveness of the levels of cooperation and integration it was simply not happening to the degree it should be.

 

Yet another example occurred just a few weeks ago in London that demonstrates that a breach of physical security can quickly impact on IT security.  Reports say Verizon's center in London was attacked at night by thieves who initially posed as policemen and pretexted the staff into believing they were the police and there were intruders on the roof of the Verizon building.  Before the staff had time to alert someone, they were overpowered by the thieves, in police clothes, and tied up.  The thieves then made off with computers and data.  

 

Many times we have had companies say they did not need to be that concerned about physical security in the technology oriented environment, especially when they had 24-hour a day manning.  This is yet another example of the importance of physical security being integrated into a holistic security posture. 

 

The truth is that IT and physical security are a lot like the old Campbell's soup commercial:  You can't have one without the other!

 

More Information
 
  Domestic Desk 
 
MORE ON THE POOR, INNOCENT, MISUNDERSTOOD EGYPTIAN STUDENTS AT USF

 

While the U.S. presidential elections are frequently a part of the news these days, we were reminded of the comment made by President Ronald Reagan during an earlier presidential campaign when he chided his opponent with the barb -- "There he goes again."   

 

We believe it applies to the news media, especially in Florida, when it comes to shoddy reporting on two University of South Florida students who were arrested for possession of explosives this past summer.  The Analysis Brief has carried several articles on this duo.

 

It has become evident from past news media reporting that some media outlets did not want to dig too deeply and too analytically into allegations that the two Egyptian students could have been up to no good.

 

The most recent news stories and headlines have screamed that the Federal Bureau of Investigations (FBI) supported claims by the students, who were arrested in South Carolina in August, that the devices found in their trunk were fireworks and not explosives.

 

Is that what the FBI report says?  Not any report we read.  What the report on FBI laboratory tests said is that their test of the mixture inside plastic PVC pipe determined it was a pyrotechnic mixture composed of potassium nitrate and sugar.  The report said the mixture was a "low" grade explosive and then the report gave some examples of how low level explosives are available and are used.  This included black powder (used in antique rifles and cannons), fireworks and road flares.  Anyone who knows anything about worldwide terrorism, knows that black powder - on some occasions possibly extracted from fireworks and ammunition - can become a deadly explosive, especially when incorporated into a pipe bomb.  

 

Every year there is a major campaign around the United States talking about serious injuries sustained by individuals playing with firecrackers.  This occurs in spite of that fact that these "dangerous" firecrackers contain much smaller quantities of this "pyrotechnical" mixture and are not confined as the "low grade" explosives would be when placed in a pipe that has a cap on both ends.

 

The Egyptian students, of course, maintain that the devices were homemade fireworks and they were going to set them off in some unidentified field.  Where they planned on conducting this fireworks show or why they wanted homemade fireworks was unclear.  Of course, we are sure it had nothing to do with that equally innocent video whereby one of the students explains how to use a remote-controlled toy to detonate a bomb and talks about killing Americans.  And then there is their friend who posed with a gun at a firing range but claims he never really used the gun or planned to use it.  He was just holding it for a picture.  How could anyone be so dumb as to believe that any of these students posed any threat to people in the United States?

 

Okay.  And if you believe all of that, we have a bridge to sell you very cheaply!  Reporters from NBC, CNN and the Tampa Tribune feel free to contact us about this bargain!

 
  The World of Industrial Espionage

 

INDUSTRIAL ESPIONAGE IS THE TOP BUSINESS THREAT 

 

The Analysis Brief has regularly been reporting of Industrial Espionage charges that seem to point to the People's Republic of China.

 

Just recently, the director general of the British MI5, Britain's domestic security service, wrote to more than 300 chief executive officers and heads of security at British businesses and warned them they were under attack from "Chinese state organizations."  

 

This is the first time that a British government agency accused the Chinese government directly of espionage in an open source, unclassified manner.

 

The British security service warned banks, accountancy firms, legal firms and companies doing business in China to "be on guard."  MI5 specifically cited the People's Liberation Army for being industrial spies and provided internet addresses the PLA was using to lauch attacks designed to steal sensitive commercial data.

 

The British government is the latest government - joining the U.S., German and French governments - that has openly accused the Chinese, and specifically the PLA, of targeting companies to steal business secrets.

 

In spite of the warnings, more and more companies are moving operations to China and are preparing to send personnel to China.  And, of course, the Olympics are coming up this summer in Beijing.  While there may be a good reason to do business in China, too many companies are not doing anything to develop a program to deal with the Industrial Espionage issues.  That could be a catastrophic mistake

 

In fact, the consulting firm Price Waterhouse Coopers just released the results of a survey that they acknowledged was probably flawed because many companies either don't want to be embarrassed about being victims or don't even realize they are victims. Nonetheless, the study indicates that Industrial Espionage is a major issue and is perhaps the most serious threat faced by businesses today.  According to the study,  businesses are losing nearly US$50 billion a year to Industrial Espionage.  

 

BSSG has a strong record of helping companies of all sizes develop an effective Counter Industrial Espionage program.  If you are interested in learning more, please contact us.

Greetings from Business Stratagem Support Group (BSSG)!
 
This is the second edition of the Analysis Brief for 2008.  We believe we have some interesting inputs to share again this month.   We used some incidents we have dealt with recently to focus on some very important issues in this edition.  For example, there is a case review of a workplace violence stalking incident when a client really did care about the value and safety of its employees and took appropriate action.  It demonstrates that stalkers don't usually go away, even after years of being ignored but a good response can avoid potential loss of life or injury.  We also examine Industrial Espionage and see an incredible level of global activity in just the past month.  And we deal with the fact that protection of information requires physical security, along with IT security.  The bottom line is that encryption along is not the cure-all some would like it to be.  We revisit the potential terrorist threat at the 2008 Olympics.  We talked about the terrorist threat fposed by radical Uyghur separatists back in October of last year.  Now the Chinese government has acknowledged the threat.  While U. S. politicians haggle over the international aspects of terrorism, we highlight some unaddressed terrorism concerns within the borders of the United States.  Our goal is always to promote a professional discussion of security issues and think about how to best solve security problems.  It is the genesis of our motto: Flexible solutions for fluid threats!!  

WWW.INTERNATIONALBSSG.COM
 
  Domestic Desk 
 
RADICAL ISLAMIC TERRORIST IN AMERICA

As the presidential debates heat up, there have been lots of discussions about the radical Islamic terrorist threat to the United States.  Because there has not been a successful attack since September 11, 2001, at least within the United States, some say there is no longer a real threat and we have nothing to be concerned about.  Others say we have to recognize that the true war on terrorism is with Osama bin Laden and al Qaeda in Afghanistan.  This latter comment is usually used to justify opposition to the war in Iraq.

BSSG believes that there are radical Islamic terrorist groups that pose significant threats to the United States.  There are also groups that pose a significant threat within the United States.  The catch is that the threat may not be confined to al Qaeda and bin Laden.  The biggest threat within the United States may actually be posed by a group that most Americans, amazingly, have never heard of and that group is primarily working on developing small groups or lone individuals who operate on their own.

In fact, there are at least 25 documented, and maybe as many as 70+ training sites in the United States that are, or have been, used for training Islamic radicals - mostly Americans - on how to carry out domestic terrorist attacks.  These camps, or "Hamaats" are run by scores of American Muslims who were trained in Pakistan, on a "scholarship" that requires they return to the U.S. and provide this same kind of training to others in the U.S.  These training sites are scattered throughout the United States including:  Hancock and Deposit, New York; Hyattsville, Maryland; Red House and Falls Church, Virginia; Macon, Georgia; York, South Carolina; Dover, Tennessee; Buena Vista, Colorado; Talihina, Oklahoma; Tulane County and Commerce, California; and Onalaska, Washington.

It is also worth noting that the United States continues to see more and more of the radical Islamic movements growing within its borders.  On September 10, 2001, there were approximately 1400 Islamic mosques in the United States - about 80 percent of which were funded by a radical version of Wahabbism.  In the past six plus years, the number of mosques in the United States has grown to 4,800 and the percentage committed to radical Wahabbism has grown to 90 percent of all Islamic mosques in the U.S.  What this means is that radical Islam is not on the retreat in the United States or in the world.  Instead it is growing.

So -- what group is behind many of these radical mosques and why are they advocating a more radical and violent form of Islam?  What group has opened "madrassas" (schools) and is using them to spot potential terrorists, as well as educate followers on the need to kill "unbelieving" Americans?  What group hosts many of the terrorist training centers?

It is a group founded by Sheikh Mubarak Gilani and is known as Jamaat-ul-Fuqra.  In 1997, the author was warning about the threat al Qaeda posed to the United States.  In 2008, the author is concerned about Jamaat-ul-Fuqra in the United States. 

It is worth noting that the late New York Times journalist, Daniel Pearl, was trying to arrange a meeting with Sheikh Gilani in Karachi, Pakistan when he was kidnapped and brutally murdered.  Sources in Pakistan tell us that Pearl recognized there might be a problem with the meeting with Sheikh Gilani.  He called and asked security experts in country about the risks.  But, unfortunately, Pearl ignored advice from these security experts and went to the meeting without any security.  We believe that probably cost him his life.  It is not clear if Pearl truly understood the kind of people he was dealing with when he decided to meet Sheikh Gilani.

It is inaccurate to overly generalize but it is also important to understand that some extremely radical Islamic beliefs, including those of al Qaeda and Jammat-ul-Fuqra, have come from Wahabbism, Salafism and, perhaps even more accurately, Sulfism... especially Qubtism (from the writings of Sayyid Qutb).  It is important to note that many Islamic beliefs are peaceful and honorable but, like many religious and political philosophies, some of these ideas have been co-opted by radical individuals and interpreted in a most extreme and dangerous manners.  If the bottom line is that a particular mosque or teacher advocates violence, we should be concerned.  Unfortunately that is the case with all too many of the mosques in the United States today.  It is certainly the case with all of the training centers.

If you want to better understand the magnitude of the threat from radical Islam within the United States, we highly recommend a book written by Paul L. Williams, entitled:  "The Day of Islam."  This book deals with the 'Day of Islam,' which refers to a Fatwah that authorizes the use of nuclear and/or biological weapons to kill millions of Americans.

BSSG has expertise in assessing the threats posed by radical Islamic terrorists and specializes in threat assessments and training on the modus operandi of radical Islamic terrorists.  If you want to know more about these threats, contact BSSG.
 
 
 Workplace Violence
 
 
Workplace violence still continues to be one of the most significant threats in the business world.  It doesn't seem to matter what the business does or where it is located, there can be a threat of violence associated with it.  There are many faces of workplace violence and the key is to understand that a threat can come from anywhere.  It can be a distraught employee who is being harassed by co-workers in the workplace or is disciplined or terminated.  It can be a spill over from a domestic issue, even from a chance encounter.

This month we will be discussing the issues of staking in the workplace and how a simple, normal encounter can become a dangerous threat. In the Unites States one out of every 20 women will be stalked in their lifetime. Stalking can start as a simple nuisance but it can escalate into a serious workplace violence threat.

A recent study by the National Institute of Justice found that stalking was far more prevalent than many had thought: eight percent of American women and two percent of American men will be stalked sometime within their lifetime. That's 1.4 million American stalking victims every year. The majority of stalkers have been in relationships with their victims, but a significant percentage either have never met their victims, or it started from a simple meeting with a neighbor, friend or someone met on or off the job.  Even if it started off the job, it can impact on the workplace if the threat moves to the workplace location so the employee and other workers are threatened.

When it comes to workplace violence there is no one solution or response.Each incident is unique and should be dealt with properly and promptly. 

Several years ago we had an opportunity to assist a large company with a workplace violence issue that had started from a chance encounter between two people who never met before. Because this was a good example of a stalking incident turning into workplace violence, we want to share that situation with you.

It started on a marketing campaign that took one of the owner's daughters, whom we will call Kim, to another state.  The daughter had met a man during a one of her father's marketing meetings.  She had been sitting in on the meetings in order to learn her father's business so she could eventually take over leadership of the company in the future.  During the meeting she met a young man whom we will call Dan.  He was a very charming and outgoing fellow and he and the daughter exchanged telephone numbers and then went their separate ways. Over the course of the next year, the two talked on the telephone and began to write each other. 

 
The communications were normal in the beginning, but one day Dan had became agitated and threatened to come over and take care of Kim because she did not seem to value their relationship. Kim responded by asking Dan to not call or communicate with her anymore.  But, after a few months, Kim began to again get telephone calls and letters.  At first the letters were apologetic.  After that, they began to become romantic and sexual in nature. Kim chose to simply ignore the letters.  The letters increased in frequency and she then advised some of her associates within the company. They told her to ignore the issue and assured her Dan would tire of being ignored and would stop sooner or later. As time went on the letters slowed down but occasionally she would still receive a letter or telephone call.  

As time went on Kim had realized she had a problem because some of the letters were very suggestive.  They would detail fantasies of sexual encounters. Dan continued as if he was in a relationship with Kim and kept asking for an opportunity to see Kim.  Kim decided to have all her mail and phone calls screened.

This went on for several years and Kim had tried to simply ignore the problem.   She moved on with her life, married and began life with her new husband.  She also took over her father's company.  But the letters continued.  Over time, Dan changed the content of his letters from physical attraction to saying that he was the son of her father (hence, Kim's half-sister). It became clear that there was an problem when Dan tried to contact Kim and showed up at the company headquarters, maintaining he was a part owner.  Fortunately, security denied him access.

 Kim and the company did not know what to do at this time so they contacted our consulting and investigation firm.  We began with a thorough fact-finding.  After all the all the information was gathered and interviews were completed, we recommended that some of the latest letters be sent for analysis by a psychological profile expert. Because we had Dan's name and address, the company authorized a full background investigation to confirm where Dan lived. During the background, an investigator was sent to the most recent known address to obtain a updated photo and clarify Dan's current situation. As the investigation progressed, Kim received a call from a young lady who identified herself as Dan's girlfriend. She said that Dan was seeking professional mental health help but had suddenly stopped taking his medication.  She also said that Dan was getting ready to take a trip and he would be traveling to the city/state where the company's main office was located.  She then explained that Dan was acting very distraught and violent. 

The consultants put a surveillance on Dan to keep track of him. The consultants also dispatched a two teams to the company headquarters location, which was in another state.  One team was a surveillance team and the other was an armed protection team. The surveillance team was to keep track of Dan once he entered the state where the headquarters was located.  The surveillance team at his home advised that Dan had boarded a bus and was bound for a city near the company headquarters location.  Because of licensing/jurisdiction issues, we could not place an investigator on the bus.  Instead we posted teams at several different bus terminals and a protection team was sent to be with Kim and her family.
 
After several days of no contact with Dan we had received a phone call from Dan's girlfriend saying he was back at his home and he was not sharing with here where he had been.  We continued to surveil Dan at his home.   Since we had a person on the inside that was feeding us information, and we had surveillance to confirm actions, we stopped coverage at the company headquarters location and stood down teams there.

At that time we received more letters and forwarded them for analysis.  We also got the assessment from the psychologist.  He explained that we were dealing with a delusional stalker.  According to the expert, this kind of stalker almost always came from a background which was either emotionally barren or severely abusive.   The expert said, these individuals grow up having a very poor sense of their own identities. This, coupled with a predisposition toward psychosis, leads them to strive for satisfaction through another.  They yearn to "merge" with someone who is almost always perceived to be of a higher status (e.g. doctors, lawyers, teachers) or is very socially desirable (e.g. celebrities). It is as if this stalker says, "Gee. If she loves me, I must not be so bad." As Dean Martin compellingly crooned with what could be considered the delusional stalker's anthem: "You're Nobody 'Til Somebody Loves You." It is not unusual for this type of stalker to "hear" the soothing voice of his victim, or believe that the victim is sending him or her cryptic messages through others.

According to the expert, delusional stalkers frequently have had little, if any, contact with their victims. They may have major mental illnesses like schizophrenia, manic-depression or erotomania. What they all have in common is some false belief that keeps them tied to their victims. In erotomania, the stalker's delusional belief is that the victim loves him. This type of stalker actually believes that he is having a relationship with his victim, even though they might never have met. The woman stalking David Letterman, the stalker who killed actress Rebecca Schaeffer and the man who stalked Madonna are all examples of erotomanic stalkers.

Another type of delusional stalker might believe that he is destined to be with someone, and that if he only pursues her hard enough and long enough, she will come to love him as he loves her. These stalkers know they are not having a relationship with their victims, but firmly believe that they will some day. John Hinckley Jr.'s obsession with Jodi Foster is an example of this type of stalker.

Or he can become a vengeful stalker. These stalkers become angry with their victims over some slight, real or imagined. Politicians, for example, get many of these types of stalkers who become angry over some piece of legislation or program the official sponsors. But, disgruntled ex-employees can also stalk, whether targeting their former bosses, co-workers or the entire company. Some of these angry stalkers are psychopaths, i.e. people without conscience or remorse. Some are delusional, (most often paranoid), and believe that they, in fact, are the victims. They all stalk to "get even."

In our example case, the letters continued to talk about how he would get what was rightfully his, Dan also wrote about getting her (his claimed) father back for abandoning him and he would get even with the family. Using the analyses and other information gathered we began to coordinate with law enforcement where Dan lived.  Local law enforcement, in turn, consulted with several mental health organization and other professionals in order to come up with a course of action.  Law enforcement assisted in obtaining a restraining order in his home state and we were also able to obtain a restraining order in the state where the corporate headquarters was located. Dan was ultimately approached by law enforcement in his home community, served and they explained to Dan that he was not allowed within ten thousand yards of the company locations and family members. After the meeting with law enforcement, his girlfriend said Dan had become very angry and violent.  The girlfriend said he told her he was going to take a trip again and would claim his rightful inheritance.  The girlfriend said would not be able to help us anymore because she feared for her life and was leaving Dan.

Once again we dispatched a surveillance team to Dan's home and also reactivated the surveillance and protection team back in the state where the company headquarters was located.   The surveillance team in Dan's home location followed Dan in order to give the teams advanced notice on Dan's actions, especially if it appeared he was, indeed, going to attempt to go to the company location.

Within a day, we received word from the surveillance team that Dan had boarded a bus.  All teams went on high alert.  One team was at the bus terminal and followed Dan when he arrived at a nearby city bus terminal.  After several days, Dan rented a car and the surveillance team said he was enroute to the city where the company was located. Our surveillance team followed Dan as he attempted to contact Kim and her father.  Dan was observed violating the restraining order when he was parked across the street from the family home.  Even though he did not exit the car, he had violated the order and local law enforcement was contacted.  Our surveillance team directed the police to Dan's location.  He was arrested and was mentally evaluated.  He was ultimately released and we again surveilled Dan as he got on a bus and left the state.  Surveillance teams picked him up two days later, arriving home.   With all the evidence we had collected, we had enough to have Dan picked up by local law enforcement and have him committed to a mental health facility where he would be treated.  Even after release, he was compelled to stay on his medication and was monitored. 

This story had a happy ending because the company had a plan, took responsible action and worked with private consultants and law enforcement.  

It goes without saying that not all cases have this type of ending. Rebecca Schaeffer and other workplace deaths are proof that failure to act can have tragic consequences.  A few years later, the senior management at a distribution center refused our recommendations on developing a workplace violence prevention plan.  Within a year, three workers were killed in a tragic shootout at the site.

The sad thing is that many companies have these types of issues but they choose to ignore them, usually because they do not have the background and experience to make good decisions.  Almost every week we hear a manager of some company complain that they just don't know what to do in a potential workplace violence matter.  We will ask:  What does your company plan and training say?  Most of the time, they say:  We don't have a plan and I've never been trained on this.

If your company does not have a workplace violence prevention plan and training, contact BSSG.  We will help you tailor a program that fits your company culture and situation.   If you think this can't happen to you or your company, just open a newspaper or turn on your local news. With the increase in workplace violence threats, situations similar to what took place at Virginia Tech are becoming a regular issue.

Workplace Violence has to do with any kind of violence, or threat of violence, in the workplace.  The workplace violence threat should be addressed by advanced training and planning.  The planning should be based on what we term a Workplace Violence Planning and Response Plan.  There should be training provided with the plan.  Management should be responsible for coordinating an approach, in accordance with local laws, for locations within their areas of responsibility.  The local management should use a Threat Assessment and Management (SECTAM) or similar approach.  That team will be chartered with the identification, intervention and mitigation of physical threats to people and your company's facilities wherever they are located.

Managers, with the assistance of the SECTAM approach, may become involved in matters such as assault, sabotage, fighting, terminations/hostile meetings, bomb threats, domestic violence, extortion, kidnapping, missing employees, physical harassment, stalking, suicide, terrorism and other significant threat matters.

Our approach recommends using a three-tier system to consider risk factors in workplace violence situations

Tier 1:  Low violence potential (e.g. an anonymous, unfriendly email from an external origin; court protection order notification; security assistance for a possibly hostile meeting).
Tier 2:  Medium violence potential (e.g. Some physical intimidation and/or verbal threats has occurred).
Tier 3: High violence potential (e.g. urgent/immediate response required for intervention when an actual assault has occurred, hostile actions have been carried out or are in progress.  If there has been a combination of threatening actions, including specific threats, long-standing harassment or stalking, or an actual assault).
Almost every company we talk with says their most valuable resource is their people.  Unfortunately for a lot of companies that is just rhetoric because they ignore issues like workplace violent.  There are many ways to get started, but the important thing is to be prepared in advance.  If you really want to protect your people, contact BSSG and we'll share how to prove to your people that they truly are your most valuable assets.

 

www.internationalbssg.com

 
 International Waters
 
 
 
OLYMPIC THREAT FOLLOW-UP (We Told You So) 

 

China Warns of Terrorist Threat to the Olympics in Beijing

 

Back in October, the Analysis Brief warned that there was a significant potential for a terrorist threat in Beijing during the 2008 Olympics.  We detailed the potential threat vectors and reported that sources had advised us that some of the different radical Islamic terrorist groups in Xinjiang Province, Turkey and Afghanistan were, at that time, debating whether or not to try and launch a terrorist attack during the Olympic Games in Beijing, China in August, 2008.

According to the latest announcements by security agencies within the People's Republic of China, apparently we were right.  They now say that at least some of these terrorist groups have made the decision to go ahead with an attack during the Olympics.  In an effort to disrupt these terrorist plans, the Chinese People's Armed Police raided a terrorist center in Xinjiang two weeks ago and killed two alleged terrorists and arrested another 15.

Earlier this month, a Foreign Ministry official of the People's Republic of China officially announced what we had reported nearly five months ago... namely that militants in northwestern China were plotting attacks on the Beijing Olympic Games.  According to the Foreign Ministry, the culprits were Uyghur separatists who were planning attacks on Chinese institutions overseas and within China.  The attacks within China would include terrorist attacks during the Olympics.

Xinjiang is home to more than eight million Uyghurs, a Turkic, mainly Islamic people who share linguistic and cultural ties with Central Asia. Many Uyghurs resent the growing Han Chinese presence in the oil-rich region.  The Han Chinese were injected into the area by the central government in China to try and dilute the strong Islamic influence there.

China says it intends to work with the international community to ensure the safety of the Olympics. The Games open in Beijing on August 8 of this year.  "The Chinese government attaches great importance to the fight against the terrorists and takes active measures to safeguard the security of our people, economy and infrastructure," a Chinese spokesperson added.

In February, Xinhua news agency also announced that special units in the People's Liberation Army would get counter-terrorism training to help deal with possible biological and chemical terrorist threats during the Olympics. 

We will conclude by reiterating what we recommended five months ago.  Namely that companies and visitors to the Olympics should keep this potential terrorist threat in mind when planning for attending or participating in the Olympics or doing business in China.

CRIME IN THE PHILIPPINES

Terrorism and political instability are often what come to mind and what we focus on when assessing the security situation in the Philippines.  But, according to a survey conducted by the Social Weather Stations (SWS) there, the biggest issue in the Philippines remains common crime.

In fact, the overall level of some kinds of crime remains relatively high in the Philippines, especially in the Metro Manila area.  The survey revealed that nearly 12 percent of all Filipinos said they had been a victim of a common crime during the last six months of calendar year 2007. The survey also found that almost the same number (10 percent) lost some property to criminals and 1.3 percent reported they had been victims of criminal physical violence.

When it comes to property related crimes, the survey reported that 8.6 percent of the respondents, nation-wide, said they were victimized by pickpockets.  This was the most prevalent type of property crime.  Three percent said they had personally experienced a burglary and almost two percent said they had their motor vehicle stolen.

Common crime victimization rates were at nearly double digits every month (ranging from 10 to 14 percent) during 2007.  During the 4th quarter of 2007, the SWS survey showed the average Filipino family was victimized by some type of crime, 1.2 times.

The most prevalent problem reportedly was pick pocketing. According to the Philippine National Police, cellular telephones are the most frequently snatched item, followed by pocketbooks/bags, then wallets and jewelry, in that order.

The survey determined that five percent of families living in Metro Manila suffered from break-ins, while 5.2 percent of vehicle-owning families in Manila were victimized by car theft. The proportion of Metro Manila families who reported having a family member hurt by criminal violence during the period was 2.3 percent.

Outside Metro Manila, picking pockets was typically in single-digits: 8.7 percent in the 'balance' of Luzon, 6.7 percent in Mindanao and 5.3 percent in the Visayas and the percentage of families who suffered break-ins was 3.3 percent in Luzon, outside of Metro Manila, 2.3 percent in Mindanao and 1.7 percent in the Visayas.

Of vehicle-owning families surveyed in Luzon, outside of Metro Manila, 2.3 percent of the respondents reported having suffered car theft.  The proportion of families who reported having any member of their family hurt from physical violence for the period was 1.3 percent in Luzon, outside of Metro Manila, 1 percent in Mindanao and 0.7 percent in the Visayas.

The SWS survey was conducted from during the period from November 30 to December 3, 2007, using face-to-face interviews with more than1,200 adults, who were divided into random samples of 300 each in Metro Manila, the rest of Luzon, Visayas and Mindanao. The survey had a margin of error of plus-minus three percentage points.

The bottom line of the survey made it clear that people living in or traveling to the Philippines should remain most concerned and vigilant about criminal activities.  They should pay attention to their surroundings and limit the valuables they carry or wear.  When you are in public, women should carry their purses and cell phones tucked under their arms.  Men should wear their wallets in a front trouser pocked and no one should wear their cell phone just clipped on their belt or purse.  These measures will reduce the chance you might join the list of crime victims in the Philippines.

BSSG strives to accurately capture the all-hazards, holistic threats you can face in the Philippines and help you plan your security accordingly.  If you have any security or investigative needs in the Philippines, please contact BSSG.

 

 

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 Security Corner
   
IT and Physical Security Go Hand-in-Glove

 

BSSG's Analysis Brief has long tried to stress the importance of physical security measures in protecting a company's sensitive information.  In many companies, however, the IT department has been placed in charge of information protection.  That is not necessarily a bad approach but, if IT security is to be completely effective, they must include physical security in their overall risk-based approach.  BSSG believes there cannot be good IT security without good physical security and visa versa.

 

Many companies we have dealt with have said they were not that concerned about someone stealing a laptop or getting access to a computer in their office because their data is encrypted.  Recently some research from Princeton University added more evidence to prove that our premise about the need for physical security is still valid.

 

The Princeton report shows that encryption, long considered the perfect shield against hacker attacks, can be overcome by defeating and manipulating the way memory chips function.  Their tests indicate that the security of laptop computers, or even PC's or servers, is at risk if the hacker has physical access to the computer/PC.

 

According to the hackers, freezing the Dynamic Random Access Memory, or DRAM chip, causes it to retain data for many minutes, perhaps even hours after the machine loses power.  Unless frozen, the DRAM chip will lose its contents within seconds. Freezing the DRAM allows hackers the time they need to get critical information and overcome encryption.

 

In the experiments, attackers sprayed an upside down canister of duster spray directly onto the memory chips, freezing them at minus 60 degrees Farenheit.  The attackers then used small, special-purpose programs known as memory-imaging tools, which can be loaded from a USB memory chip.  Other special programs corrected errors in the recovered memory and reconstructed the key strokes used for encryption.  In most cases, the hackers were able to get to all the information or into a network, as a result of their efforts because they had the data they needed to overcome the encryption.

 

The study concluded:  "The use of encryption is not, by itself, necessarily an adequate defense and the data in stolen laptops may be compromised even when encryption is used."

 

The bottom line is clear.  Encryption is a good layer of protection but it cannot be the only protection afforded laptops, PC's or servers.  If someone with expertise in encryption and hacking into computers has unimpeded physical access to your computer for a reasonable period of time, you are in trouble.  

 

The only way to protect extremely valuable information is to have a convergence of physical and IT security.  All security should be risk-based, which includes truly understanding the modus operandi of the industrial spies and the threats. It should include layers of protection tailored to the threat.  Clearly, one important layer of portection for critically vital information is to have good physical security measures in place to prevent unauthorized individuals from easily gaining access to a computer or device that stores sensitive information.

 

 

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 Chemical Corner
 
 

CHEMICAL FACILITY ANTI-TERRORISM STANDARDS (CFATS)
 

 

On October 4, 2007, Section 550 of the Homeland Security Appropriations Act of 2007 established the Chemical Facility Anti-Terrorism Standards (CFATS) and made the U.S. Department of Homeland Security, (DHS), the authority to regulate "high risk" chemicals at facilities and prevent terrorists from using these chemicals as weapons.

 

We thought it would be good to take this opportunity to provide a basic understanding of CFATS so our readers will be knowledgeable of the security environment that will flow from CFATS.  

 

DHS has identified some 325 chemicals, and determined threshold quantity levels for each chemical, as potentially being "high risk."

 

The chemicals that pose threats are broken into three categories:

 

Those that can cause problems due to a toxic release from storage (e.g. chlorine, gasoline, Liquid Petroleum Gas, etc.)
Those that can be used for sabotage or contamination from storage (e.g. water reactive chemicals)
Those that can be easily stolen or diverted for release elsewhere (small tanks or vials of chemicals)
 DHS has established a process that started with identifying the potential sites that store these chemicals, and then required everyone to submit a "Top Screen" computer data sheet.  The deadline for submitting that (unless a written waiver was obtained) was January 22, 2008.

 

Now, DHS is in the process of evaluating the information from up to 40,000+ sites nationwide that submitted data, and will issue letters back to everyone.  DHS estimates that up to 5000 sites in the U.S. will be designated "high risk" and the owners of those sites will have to continue the process.

 

The next step calls for conducting a Security Vulnerability Assessment (SVA).  That SVA methodology has not been formally released but will undoubtedly follow the risk-based standards approach dictated by law.  Risk being defined as a combination of Threat (an evaluation of likelihood of occurrence and capabilities), Vulnerability (any gaps in the effectiveness of existing security measures) and Consequences (the impact of an adverse incident).  Based on that, DHS will determine the final "Tier Level" for the site.  There are four Tier Levels for high risk sites... Tier I being the highest risk level and Tier IV the lowest level among the high risk sites.

 

Within 120 days of receiving their final Tier ranking, each site must submit a "performance based" Site Security Plan that will detail how the owner will deal with the risk components and lower the vulnerabilities and consequences (risk).  With chemical facilities that can be a process change or can involve spreading out the concentration of chemicals - which is an engineering oriented concept.  It can be based on computer (SCADA) vulnerabilities (computer security).  And, it can be physical security improvements.  A performance based security approach will, by definition, put a lot of emphasis on the response portion.  This would primarily be security officers - or law enforcement/first responders from local, state and federal levels.  But the inability of the latter categories to guarantee timely response will mean an opportunity for contract security to fill that gap.  Of course, the response will ultimately have to be integrated with the government agencies and requires a knowledge of the newly revised National Response Plan (NRP), National Incident Management Systems (NIMS) and Incident Command System (ICS) - and where private companies and private security fit into the overall response approach.

 

So, who possesses these chemicals?  The list of 325 chemicals is available from DHS as Schedule A to Section 550.  Where those chemicals are located and who has them is, naturally, sensitive information.  In fact, there is a new category of classified information -- Chemical Vulnerability Information (CVI) -- that protects this information from the public and establishes a need-to-know control.  Unless we were contracted to assist in the security of a chemical, we will (at least should) not get access to CVI.  That makes it difficult to determine potential business targets.  But we believe the most likely targets will be:

 

Companies that use quantities of chemicals in manufacturing
Oil and gas companies, refineries and storage/distribution centers
Those involved in storage of oil, gasoline, aviation fuel or Liquid Petroleum Gas (peak shaving and storage) or natural gas
Hospitals and medical facilities
Colleges/universities (research areas)
 Why should anyone be concerned?  This law has teeth and it is not a one-time thing.  The law requires all Tier I and II sites to reaccomplish their assessments every two years.  Tier III and IV sites must do it every three years.  Plus, every time a process is changed or a new chemical or quanitity of chemicals is introduced, the whole CFATS process must be accomplished again.  Companies can be fined $25,000 a day for violations so there is an incentive to do it right!!  DHS will be out to inspect all locations to see if their Top Screen, SVA and SSP matches reality.

 

BSSG has expertise in chemical risk-based assessments and plans.  We also have parnters with specialized expertise in chemical engineering, chemical related IT/SCADA security and the latest emergency response planning approaches.  If you want to be prepared for CFATS or just want to protect your facilities and people, contact BSSG for more information.

 

 

 

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  The World of Industrial Espionage

 

INDUSTRIAL ESPIONAGE IS RAMPANT GLOBALLY

 

This past month, a series of events has demonstrated that Industrial (or Business) Espionage is rampant globally.  While there are different figures and estimates of the losses, one thing is clear - Industrial or Business Espionage is costing companies dearly.  The average figure we are seeing is approximately US$500 Billion a year.  It might be more or slightly less but regardless of the exact amount, all experts agree that the cost is huge.  We believe it is the single greatest threat to businesses that exists.

 

In spite of the magnitude of the consequences posed by this threat, Industrial/Business Espionage is one of the least understood and most ignored threats for most businesses.

 

During the past month, here is a sampling of what has been happening where in the world of Industrial/Business Espionage: 

 

United States/China - In two separate cases, authorities have arrested individuals in the United States who were charged with trying to steal sensitive technology and information.  In one case, a weapons system policy analyst, Gregg Bergersen of Alexandria, VA, allegedly sold classified information to a  New Orleans furniture salesman from Taiwan, who had become a naturalized U.S. citizen.  That individual, Tai Kuo, in turn, supposedly passed the information to the PRC through a PRC citizen, Yu Xin Kang.  In a second case, a former Boeing engineer, Dongfan Chung was arrested as an "unregistered agent" for the PRC government.  He is accused of stealing trade secrets on aerospace programs.  Chung is a also a naturalized U.S. citizen and allegedly was passing the trade secrets on to PRC intelligence services.

 Philippines - In early February military personnel dismantled what authorities are calling a covert spy camera which was concealed in a makeshift courtroom in Camp Aguinaldo, in the Metro Manila area, where a court martial was hearing the mutiny case against 28 Army Scout Ranger and Marine officers linked to an alleged February 2006 coup plot.  The black device, about the size of a clenched fist, was concealed in a green plastic garland with blue ribbons and was hung over the door of the room where the hearing was being held.  The general officer who serves as the court president, Maj . Gen. Jogy Leo Fojas seemed surprised at the discovery and said no one was authorized to put cameras or record anything in the court room.  He ordered it removed.
 

 

Czech Republic -  According to sources in the Czech Interior Minister's Inspection (IMV), a member of the local police leaked information that a Social Democrat lobbyist was being bugged and his telephone conversations were being monitored.  Miroslav Slouf, the lobbyist, supposedly met with a Czech presidential candidate just before the early February elections in the Czech Republic..  What is interesting is that the  Czechoslovak Communist secret service StB had an office in the Savoy Hotel during the Cold War and regularly bugged rooms.   The alleged electronic spying caused former Czech intelligence agents to talk about how extensively hotels were bugged and monitored under the Communist government.   The Czechoslovakian secret service, the StB allgedly had installed microphones in every hotel room where Westerners were to stay.  They also had mobile bugs that were in ashtrays, vases, books and other objects.  In fact, the "Alcron" was the nickname the StB had for a glass octagonal ashtray used to both intercept and record.  The Alcron came from the name of a luxurious Prague hotel where many Westerners stayed.  According to sources, the StB had hidden offices in each hotel that housed Westerners.  The StB recruited receptionists and maids to help monitor their targets and, of course, had the keys to all rooms so they could go through a visitor's baggage, etc.  In the Hotel International, it was well known that all foreigner's baggage was take to room 323 where they would be analyzed by the StB.  In addition to microphones, certain rooms also had cameras installed.  It seems that some of this "cold war" capability lingers on today. 

 

Rio de Janeiro, Brazil - Suspected industrial spies broke into a container owned by the energy giant Petrobras.  Several different computers were left in the container and had information detailing recent oil and gas discoveries.  This, after Petrobras spent a large amount of money and effort in conducting the exploration searches.  Initially authorities and company officials had hoped the theft was only a criminal theft but as the investigation continued it was apparent the theft was specific and targeted to get the valuable exploration information.

 

United Kingdom/France - A leading British Member of Parliament, Patrick Mercer, says that less than two years ago, the French intelligence services bugged the offices of then Defense Secretary, Lord Drayson.  Drayson was responsible for awarding defense business contracts worth more than US$45 billion.  Counterintelligence services were able to find electronic eavesdropping equipment that had been planted in Lord Drayson's offices.  The devices were later allegedly traced back to French intelligence services.

South Africa - The head of the opposition to the current government, Democratic Alliance leader Helen Zille (who is also the mayor of Cape Town)  says she has proof, which was confirmed by sources of the country's largest newspaper, that her cell phone, home telephone and office were "bugged."  According to the newspaper, the mayor is being surveilled and all of her acquaintences and meetings are photographed.  President Thabo Mbeki said he has ordered the Minister for Intelligence Services, Ronnie Kasrils, to look into the matter.  Sources say that former National Intelligence Agency operatives, with links to the African National Congress, are behind the bugging.   Durban's Democaratic Alliance leader John Steenhuisen advised that he has also been tipped off that he is under covert surveillance.

Kenya - United Nationals officials and ambassadors of an African and European country have all confirmed that the hotel room in Nairobi, belonging to former Secretary General Kofi Annan, was bugged.  Annan arrived in Nairobi on January 15 on an African Union invitation to head up talks around Mwai Kibaki's disputed election victory in Kenya.  Annan was joined by Graca Machel and former Tanzanian President Benjamin Mkapa, under the banner of the Panel of Prominent African Personalities.  Together, they brought members of both sides of the political spectrum together at the Serena Hotel.  Annan was staying in the hotel.  On February 5, security personnel accompanying Annan were tipped off and subsequently discovered covert electronic listening devices that were monitoring both the business and personal conversations as well as the telephone calls of Annan.  No one is saying who is responsible but the Kenyan intelligence services would have the capability and support Kibaki.

You can see from this summary of Industrial Espionage events reported in just one month, that Industrial/Business Espionage is occurring in the United States, Asia, Europe, Africa and Latin America.  It involves the People's Republic of China, Taiwan, the Philippines, Kenya, South Africa, Brazil, France, the United Kingdom, the Czech Republic and the United States - either as perpretrators of espionage or as victims.  Past articles in the Analysis Brief have talked about Industrial Espionage involving the PRC and many other locations in Asia such as Vietnam, India and Japan; the new intelligence school in Africa where African business people are being taught how to conduct Industrial Espionage; and, of course, the stepped up espionage efforts by Venezuela in Latin America. 

 

Industrial/Business Espionage poses a huge global threat to businesses.  If you do not understand the threat or are not confident that you know how to best protect your business, contact BSSG.