arifwidiyanto

My Journal

3 August, 2008

Homeownership in disadvantaged neighborhoods linked to increased political participation

by @ 1:07 pm. Filed under Info

BOSTON — Homeowners in disadvantaged neighborhoods are more likely to vote than renters and those who own homes in more privileged communities, according to research to be presented at the annual meeting of the American Sociological Association (ASA).

A University of North Carolina-Chapel Hill research team led by sociologist Kimberly Manturuk investigated the relationship between homeownership and political participation and found that as neighborhood disadvantage increases, homeowners become more likely to vote while renters are less likely to do so.

“In distressed and downtrodden neighborhoods, homeownership is a catalyst for political participation and neighborhood revitalization,” said Manturuk, the study’s primary investigator and a research assistant at the Center for Community Capital. “By engaging residents in local issues, homeownership contributes to the re-empowerment of urban communities.”

Manturuk studied a sample of 1,088 owners and 1,530 renters in 30 metropolitan areas from the Community Advantage Panel (CAP) study. The CAP study follows a group of low- and moderate-income homeowners and a matched comparison group of renters, collecting data on household and community characteristics to assess the social and economic impacts of homeownership. The CAP study is funded by the Ford Foundation through a grant to the Center for Community Capital at the University of North Carolina-Chapel Hill.

Toxic drugs, toxic system: Sociologist predicts drug disasters

by @ 1:06 pm. Filed under Science

BOSTON — Americans are likely to be exposed to unacceptable side effects of FDA-approved drugs such as Vioxx in the future because of fatal flaws in the way new drugs are tested and marketed, according to research to be presented today at the annual meeting of the American Sociological Association (ASA).

“Drug disasters are literally built into the current system of drug testing and approvals in the United States,” said Donald Light, the sociologist who authored the study and a professor of comparative health policy at the University of Medicine and Dentistry of New Jersey. “Recent changes in the system have only increased the proportion of new drugs with serious risks.”

According to a 1999 report for the Institute of Medicine, adverse drug reactions (ADRs) are the fourth leading cause of death in the United States and more than two million serious reactions occur every year. ADRs can occur for a number of reasons, including improper prescribed dosage, drug abuse and drug interactions.

Light’s analysis identifies the organizational foundations of patient risk from prescription drugs and suggests institutional reforms to help avoid or reduce future drug disasters.

According to Light, rather than using current approved drugs as benchmarks of efficacy, the existing testing system evaluates the effectiveness of new drugs based on their effects compared to placebos. Systematic reviews indicate that one in seven new drugs is superior to existing drugs, but two in every seven new drugs result in side effects serious enough for action by the U.S. Food and Drug Administration (FDA), including black box warnings, adverse reaction warnings, or even withdrawal of the drug.

Based on this system, Light asserts that new drugs are twice as likely to harm patients as to provide them with benefits superior to existing drugs.

Light’s analysis suggests another flaw lies within the design of clinical trials. He contends that pharmaceutical companies frequently design their trails to minimize evidence of toxic side effects. To do so, they sample from a healthier population atypical of patients who will actually take the drug, excluding people who are older, poorer or who have multiple health problems. Trials are run long enough to pick up main effects but not to detect some long term side effects. Approvals are based on these data; so drugs with harmful effects sometimes get through.

“Based on our current system, the designation of ’safe and effective’ on today’s new drugs could be replaced with, ‘apparently safe based on incomplete information, and more effective than a placebo,’” Light said.

With regard to government oversight, Light cites serious under-funding of the FDA, which creates a dependency on the pharmaceutical industry—the industry FDA regulates—to pay its staff. In return for drug company funding, Light says, the industry expects faster reviews, but faster reviews potentially fail to identify serious long-term side effects.

“Speed-up reviews for safety have more than tripled the number of ‘black box warnings’ of side effects or withdrawals after drugs are on the market,” Light said. “Despite recent reforms to strengthen the FDA’s role in protecting the public from harmful drugs, the harm-benefit ratio is worsening due to these reviews and relaxed rules that allow companies to promote drugs for unapproved uses.”

Source: American Sociological Association

10-Q Watch: Gannett-4Info; Hearst Argyle-Ripe Digital; CBS-Sundance

by @ 1:04 pm. Filed under Info

By Rafat Ali

As the Q208 earnings season progresses, some quarterly 10-Qs filed by companies, and some nuggets of information in them:

Gannett: Lists all its digital media acquisitions and investments done in the last year, most of them disclosed previously. One new thing: “The company also increased its investment in 4INFO subsequent to the end of the period, maintaining its approximate ownership interest.” Translated: The newspaper company has invested more money in the mobile search firm in its latest round, and of course with the higher valuation in the round, evened out at the same amount of equity as it had before. Both Gannett (NYSE: GCI) and NBC’s venture arm Peacock Equity Fund invested about $15 million in the Palo Alto-based company last year.

Hearst Argyle: Some interesting info from the affiliate TV media company: Internet Broadcasting Systems..the TV stations website management company:  “As of June 30, 2008, we owned 41% of Internet Broadcasting Systems…We also have various agreements pursuant to which we paid Internet Broadcasting $4.6 million and $5.2 million during the six months ended June 30, 2008 and 2007, respectively.” Then, during Q208, “we invested an additional $2.5 million in Ripe Digital Entertainment, Inc. (“RDE”) in the form of a Convertible Promissory Note.  As of June 30, 2008, we owned 24.7% of RDE.” Then its digital revenues: “ For the three and six months ended June 30, 2008, the Company recorded net digital media revenue of $5.7 million and $10.6 million, respectively, compared to $5.0 million and $9.0 million for the same periods in 2007.  Digital media expenses in the three and six months ended June 30, 2008 were $4.6 and $9.1 million, respectively, compared to $3.5 million and $6.7 million for the same periods in 2007, reflecting the Company’s commitment to digital media.”

CBS: CBS’s (NYSE: CBS) portion of its sale of Sundance to Cablevision: it 37% investment in Sundance Channel for $168.4 million in cash resulting in a pre-tax gain of $127.2 million, according to CBS’s 10-Q. Main Sundance sale story here.

Wireless Devices May Be Future P2P Battleground

by @ 12:55 pm. Filed under Computer

While AT&T doesn’t use tools to block wireless users from file sharing, it’s clearly not condoning it.

By Judy Mottl: More stories by this author:

While the regulatory debate between the FCC and Comcast over the provider’s tactics for Internet traffic management may have ended today, the issue of what a service provider can and can’t do about users’ network use won’t fade given a new potential battlefront — the mobile wireless broadband environment.

In a letter released today, the U.S.’s largest wireless carrier AT&T told the FCC that while it does not block mobile wireless users from using P2P applications it does prohibit use that causes “extreme network capacity.” The carrier also said it does not use network management tools to block P2P activity.

FCC Commissioner Robert M. McDowell had asked AT&T (NYSE: T) to provide the information regarding its P2P policy during a recent FCC hearing tied to broadband issues.

The aspect of P2P file sharing on wireless devices comes into play as more users flock to smartphones for richer mobile Internet experiences and wireless carriers compete to provide good network services for enticing more subscribers.

“Right now this [wireless device P2P activity] is not a huge problem,” Jeff Kagan, a telecom analyst, told InternetNews.com, describing most mobile device owners as “moderate” Internet users.

But the number of users going online with devices will grow as smartphones provide better experiences.

“Carriers don’t have unlimited bandwidth, and the number of customers using the Internet aggressively will increase,” Kagan said.

According to the analyst, wireless carriers have been reviewing and tracking such network-related issues for years and that policy decisions often end up angering either regulatory agencies or customer bases.

“The one reason the Internet has grown is that the government has been hands off, but they eventually may have to get involved on issues such as P2P file sharing, as such activity does impact network and network service to other users,” he said.

In its letter AT&T states its terms of service “are similar to those of other wireless providers,” and that it tells users it can terminate any subscriber whose use negatively impacts network service. It has not yet terminated any subscriber, according to a company spokesperson.

Sprint told InternetNews.com that while it “does not restrict applications” on its network, it reserves the right to take action to protect its network.

“This includes placing restrictions on accessing certain content and applications, limiting throughput or the amount of data you can transfer, and taking action to optimize or improve the overall use of our network and services,” Sprint said. In addition, the carrier said it reserves the right to deny or terminate service for any reason.

Calls to Verizon Wireless and T-Mobile regarding their P2P file-sharing policies were not returned by press time.

According to the FCC, McDowell’s request does not indicate any formal agency inquiry into P2P file sharing policy by carriers. The FCC reported that it’s not interested in telling wireless carriers how to manage networks.

“We would review any complaints regarding the network management practices of any Internet service providers,” the FCC told InternetNews.com. “They might choose, for instance, to prioritize voice calls to better manage their networks and ensure critical calls, such as those made to 911 for emergencies, are not held up in the network,” said the agency.

AT&T said its policy is tied to providing best wireless broadband services.

The carrier said that unlike wired broadband networks, where the maximum number of potential simultaneous users in a given neighborhood is known in advance, the maximum number of potential mobile wireless broadband users is not easy to predict.

The number that may simultaneously seek to access a given cell site at any particular time is far less predictable due to the inherent mobility of wireless service, according to an AT&T spokesperson.

2 August, 2008

Liverpool’s American owners must settle their differences for the sake of the club

by @ 1:03 pm. Filed under Sporty

When Tom Hicks and George Gillett first took on the role of ownership at Liverpool, there was an air of excitement and ambition around the club, a genuine hope that the new cash injection could fire the Reds to greater heights - particularly in the Premier League.

But two years on and the pair are barely communicating after months of continuous disagreements. The true identity of one of the greatest football clubs in the world is running the risk of being permanently damaged. Being heavily tarnished has been bad enough.

If the two Americans can sort out their differences in the near future and make sure the club is being run in the correct manner once again, then these embarrassing series of events may just be remembered as a blip in the club’s glorious history. But if the feuds continue, the pair of selfish Yanks may just ruin the worldwide respect that Liverpool have for running their club in the right way, and dealing with off-the-field matters very sensibly and professionally. Because at the moment the club is being run as unprofessionally as I have seen any organisation.

Manchester United supporters were angry when the Glazers took charge of their club, and whilst their views on foreign ownership were very understandable, I’m sure they are very happy now at how their club is being run when they take a look west and see the farce going on at their fiercest rivals. Aston Villa are another example of an American owner taking charge of a Premier League club and actually being a major success.

The problem with Tom Hicks and George Gillett is that they never really knew each other when they agreed to work as a partnership at the top of Liverpool’s hierarchy. The pair didn’t know about the club’s special history, tradition and terrific supporters before they arrived, because they stated their surprise at what a great club they realised it was when they first came.

Looking back on their opening few weeks of being the club’s owners, they seemed to just be two American men looking to make some money and build their global popularity at a club which just happened to be looking for a new buyer.

England take unfair play to whole new level in the third Test

by @ 1:01 pm. Filed under Sporty

Scraping the bottom of the barrel, England lowered the ”fair play” bar to stay in the hunt against South Africa.

Birmingham and Edgabaston play hosts to the form team of 2008, the rejuvenated Proteas. England won the toss and Michael Vaughan decided to exploit the best conditions and open the Test batting.

At 1-0 down going into the third of four Tests against a powerful South African squad, a somewhat undercooked England team know it is a must-win (or musn’t lose) match.

South Africa unsurprisingly lead the series thanks to the 10-wicket thumping they handed England in the second Test at Headingley where the team began to hit their straps in strange, unfamiliar conditions (featherbed tracks - aka ”kiwi-roads” - gloomy weather and dodgy unsporting tactics - aka Micheal Vaughan’s captaincy).

Proteas fans who were apprehensive about the tour to England ahead of the all-important Australian series later this year are weighing up the damage and fallout created by battle with the ”gentlemen” of the game, England.

Most seasoned Proteas supporters understand that, win or lose, England will leave a great knife wound in your back as they scramble to manufacture a victory at all cost. In the current Test at Edgbaston it’s England that have enjoyed all the ”A” conditions in the first two days, with mixed results.

The 50 Greatest Sporting Quotes

by @ 12:46 pm. Filed under E-Book

!Favourite and Famous Sporting Lines and Quotes.

This free eBook contains 50 of the greatest sports quotes from sporting legends, coaches and from the sports media! Each quote is on a separate page that has its own border allowing you to print each quote separately. Handout these quotes to your players, athletes, coaching staff or just keep them all to your self.

Submited By:Fred D

Download Here

Male college students more likely than less-educated peers to commit property crimes

by @ 12:33 pm. Filed under Science

BOSTON — Men who attend college are more likely to commit property crimes during their college years than their non-college-attending peers, according to research to be presented at the annual meeting of the American Sociological Association.

Sociologists at Bowling Green State University found that college-bound youth report lower levels of criminal activity and substance use during adolescence compared to non-college-bound youth. However, levels of drinking, property theft and unstructured socializing with friends increase among the college-bound after enrollment at a four-year university, and they surpass the rates of less-educated peers.

“College attendance is commonly associated with self-improvement and upward mobility, yet this research suggests that college may actually encourage, rather than deter, social deviance and risk-taking,” said Patrick M. Seffrin, the study’s primary investigator and a graduate student and research assistant in the department of sociology and the Center for Family and Demographic Research at Bowling Green State University.

The research, co-authored by Peggy C. Giordano and Stephen A. Cernkovich, draws from three waves of data from the National Longitudinal Study of Adolescent Health and examines education, crime levels, substance abuse and socializing among adolescents and young adults.

A sample of 9,246 respondents from grades 7 through 12 was initially surveyed during the 1994-1995 academic year, with the following two survey waves taking place in 1996 and 2001. The study defined “college students” or “college-bound youth” as respondents who were enrolled full-time in a four-year college for at least 12 months by the third wave of the survey. “Non-college students” were defined as those respondents who either did not attend college through the course of the study or were not enrolled full-time or at a four-year university.

All About Pizza

by @ 7:56 am. Filed under Info

by: Sean Lannin

The term pizza covers a lot of territory. If you want to learn all about pizzas, then you should have a bit of a background on pizzas: specifically the history of pizza, pizza origin, pizza facts, and even pizza trivia such as who invented pizza. The subject also delves into the different types and styles of pizzas. The varieties currently existing defy any attempts at enumeration. Thus, most people who attempt such a task stop at a broad categorization of pizza types according to certain attributes such as crust thickness, crust elasticity, crust baking and cooking procedures, toppings, etc. Aside from general, historical or trivial information, other things are of interest to the pizza lovers. For instance, homemade pizza enthusiasts would like to know certain tips and tricks for making pizza. This includes pizza making techniques, the best pizza crust recipes, pizza toppings, homemade pizza sauce, etc. Some other interesting topics will be frozen pizza dough and where best to attain them, what are the criteria for choosing the, what are the methods for preparing them, etc.

It must be obvious that this article is a mite ambitious for wishing to tackle something entitled “all about pizza.” However, an attempt is definitely warranted, so here goes.

Some pizza facts and trivia

Accounts of pizza history always begin with the origin of pizza. This one might as well follow the same tack. We have to thank any civilization or race that baked flat bread on hot stones or stone ovens for pizza, for almost certainly, bread like the focaccia was the “mother of the pizza crust.” However, the invention of the pizza is more properly attributed to the Neapolitans - the people of Naples, Italy who were baking and making pizza crust topped with tomatoes, oil, and Italian herbs, and spices. This rudimentary and traditional Italian pizza was common peasant fare in Naples. If you want an individual originator and inventor of pizzas, however, then you won’t be wrong if you cite Rafaelle Esposito - a native of Naples; he modified the basic Neapolitan pizza recipe and came up with three variants that added mozzarella cheese to the rudimentary Italian pizza toppings.

Now, if you are looking for some topics for small conversation, then you must remember the following trivia. One note of caution, though; you shouldn’t blurt these out just to anybody or you’ll sound decidedly corny and geeky. Make sure you’re talking to someone interested in pizzas before you use the following trivia as conversational gambits.

” Most people in the United States love pepperoni; the least liked toppings are anchovies.

” Pizza was called (and is still called) tomato pie and pizza pie in certain parts of the States.

” The first pizzeria in the United States was opened in New York.

” The pizza industry is worth more than 30 billion dollars in the United States alone and Americans consume around three billion units of pizza every year.

” New York pizza is traditionally plain. Supposedly, New York pizza is unique because of the acidity and hardness of the water in New York. New Yorkers therefore claim that only in New York can you make real New York Pizza.

(New Yorkers must admit, however, that if water is the unique characteristic of New York pizzas, one who uses water adjusted for hardness and acidity to reflect New York water conditions, adds all the usual New York pizza ingredients and toppings, follows all the procedures strictly but makes the pizza in New Jersey can conceivably make an authentic, New York style pizza. But such an assertion, some would say, is just plain cheek.)

Pizza types and pizza

stylesThe first step to a great homemade pizza is determining what type of pizza you wish to make. After all, different types of pizza have different attributes and thus call for different types of pizza base, pizza toppings and cooking techniques. Would you like to make an authentic Italian pizza, a New York style pizza, a California style pizza, or a Chicago style pizza?

Italian pizza is generally lean, although when you add cheese, its fat level generally rises in proportion. There are various kinds of Italian pizza, too. There are Neapolitan pizzas, of which there are two general types: the marinara and the Margherita. There are various combinations of these as well. Authentic Italian pizza, moreover, is supposedly baked on wood-fired or even coal-fired, stone ovens.

New York pizza, as abovementioned, is generally plain. The mainstay of New York pizza is mozzarella cheese - fresh mozzarella cheese to be precise. One can add garlic, different types of cheeses, anchovies, shrimp, etc but these are usually optional. The pizza dough recipe for traditional New York pizza, on the other hand, calls for high-gluten flour. The result is firm, usually thin, chewy pizza.

The California style pizza is generally known for gourmet flavors. You can say the California pizza has countless variations. The pizza crust, in this case, is light, crisp and generally well risen. The toppings can be out of this world - generally California pizza makers experiment a lot with all kinds of meat, sea food, breakfast dishes, and vegetable for the toppings.

The Chicago style pizza, on the other hand, is generally crusty and very filling. They are characterized by their raised edges; imagine a pre-baked apple pie crust where you can place the fillings on top. Chicago pizza is usually meaty (some variants come stuffed with cheeses and meat layers) and it is eaten with a knife and fork.

You can also start by deciding on the flavor you want. Do you want to make a cheese pizza, a vegetarian pizza or a fruit pizza? Perhaps you want to make a low fat pizza, a low carb pizza, a healthy pizza? Sourdough pizza is also another variant.

Take your pick among your many options. Once you have decided, choosing the recipe would be much easier. If you have decided on an Italian pizza, for instance, then find your Italian pizza crust recipe, your Italian pizza sauce recipe and the overall Italian pizza recipe that will give you a list of toppings and pizza preparation procedures for making an authentic Italian pizza. For an easier time of it, you can opt to use Italian-style frozen pizza dough then just follow the Italian pizza recipe that you’ve found.

Some pizza making tips and techniques

Hand tossing will help you minimize the lumps in your pizza dough. However, this should be done only after sufficient pizza dough kneading. This process lets your pizza dough develop into the right kind of consistency - that which is suitable for stretching and hand tossing. Hand tossing, however, is not advisable for thick pizza crust varieties.

If you want a crisp and firm pizza that retains its structure even when the moist toppings are added, you can bake the pizza crust before you add the toppings and the pizza sauce. However, for thin pizza crusts, baking the crust after the toppings and sauce have been added is sufficient. For uniform baking and crisping of the crust, use a pizza stone or a pizza screen.

Finally, remember that the protein content of your flour will influence the end product. High-gluten flour will lead to a crisp but chewy crust. Gluten-free flour, however, may lead to very soft dough; additives may have to be used to give the pizza dough strength.

Quick pizza crust recipes and easy homemade pizza recipes of all kinds and style are easily available online. There are tips for baking and preparing frozen pizza dough, making your own pizza dough, preparing the ingredients for the best pizza crust recipe, etc. All you need to start making your very own pizza recipe is an internet connection, a good source of basic pizza recipe, great pizza equipment, your imagination, and lots of time and resources for experimentation.

About The Author

Sean Lannin

With more than 10 years experience both working and owning pizza restaurants. When he tried to find information about making pizza at home, he noticed that the information was either non-existent or lacked the information he felt was important. He now shares his passion for making pizza with readers of his website.

http://www.homemade-pizza-made-easy.com/

1 August, 2008

Can Data Breaches Be Expected From Bankrupt Mortgage Lenders?

by @ 8:21 pm. Filed under Computer

by: Tim Maliyil

The stock market is in a tumult. Actually, it has been for about a year, ever since the subprime fiasco (anyone take a look at Moody’s performance over the past year?) Now that that particular issue has been beaten to death, other mortgage related issues are cropping up. Most of the stuff covered in the media is financial in nature, but some of those mortgage related issues do concern information security.

It’s no secret that there are plenty of companies in the US that discard sensitive documents by dumping them unceremoniously: leave it by the curb, drive it to a dumpster, heave it over the walls of abandoned property, and other assorted mind boggling insecure practices. In fact, MSNBC has an article on this issue, and names numerous bankrupt mortgage companies whose borrowers’ records were found in dumpsters and recycling centers. The information on those documents include credit card numbers and SSNs, as well as addresses, names, and other information needed to secure a mortgage.

Since the companies have filed for bankruptcy and are no more, the potential victims involved have no legal recourse, and are left to fend for themselves. In a way, it makes sense that companies that have filed for bankruptcy are behaving this way. (Not that I’m saying this is proper procedure.) For starters, if a company does wrong, one goes after the company; however, the company has filed for bankruptcy, it is no more, so there’s no one to “go after.” In light of the company status, this means that the actual person remaining behind to dispose of things, be they desks or credit applications, can opt to do whatever he feels like. He could shred the applications. He could dump them nearby. He could walk away and let the building’s owner take care of them. What does he care? It’s not as if he’s gonna get fired.

Also, proper disposal requires either time, money, or both. A bankrupt company doesn’t have money. It may have time, assuming people are going to stick around, but chances are their shredder has been seized by creditors. People are not going to stick around to shred things by hand, literally.

Aren’t there any laws regulating this? Apparently, such issues are covered by FACTA, the Fair and Accurate Credit Transactions Act, and although its guidelines require that “businesses to dispose of sensitive financial documents in a way that protects against ‘unauthorized access to or use of the information’” [msnbc.com], it stops short of requiring the physical destruction of data. I’m not a lawyer, but perhaps there’s enough leeway in the language for one to go around dropping sensitive documents in dumpsters?

Like I mentioned before, inappropriate disposal of sensitive documents has been going on forever; I’m pretty sure this has been a problem since the very first mortgage was issued. My personal belief is that most companies would act responsibly and try to properly dispose of such information. But, this may prove to be a point of concern as well because of widespread misconceptions of what it means to protect data against unauthorized access.

What happens if a company that files for bankruptcy decides to sell their company computers to pay off creditors? Most people would delete the information found in the computer, and that’s that-end of story. Except, it’s not. When files are deleted, the actual data still resides in the hard disks; it’s just that the computer’s operating system doesn’t have a way to find the information anymore. Indeed, this is how retail data restoration applications such as Norton are able to recover accidentally deleted files.

Some may be aware of this and decide to format the entire computer before sending it off to the new owners. The problem with this approach is the same as deleting files: data recovery is a cinch with the right software. Some of them retail for $30 or less-as in free. So, the sensitive data that’s supposed to be deleted can be recovered, if not easily, at least cheaply-perhaps by people with criminal interests.

Am I being paranoid? I don’t think so. I’ve been tracking fraud for years now, and I can’t help but conclude that the criminal underworld has plenty of people looking to be niche operators, not to mention that there are infinitesimal ways of defrauding people (look up “salad oil” and “American Express,” for an example). An identification theft ring looking to collect sensitive information from bankrupt mortgage dealers wouldn’t surprise me, especially in an environment where such companies are dropping left and right.

The economics behind it make sense as well. A used computer will retail anywhere from $100 to $500. The information in it, if not wiped correctly, will average many times more even if you factor in the purchase of data recovery software. Criminals have different ways of capitalizing on personal data, ranging from selling the information outright to engaging in something with better returns.

Is there a better way to protect oneself? Whole disk encryption is a way to ensure that such problems do not occur: One can just reformat the encrypted drive itself to install a new OS; the original data remains encrypted, so there’s no way to extract the data. Plus, the added benefit is that the data is protected in the event that a computer gets lost or stolen. However, commonsense dictates that encryption is something ongoing concerns sign up for, not businesses about to go bankrupt. My guess is that sooner or later we’ll find instances of data breaches originating from equipment being traced back to bankrupt mortgage dealers.

The stock market is in a tumult. Actually, it has been for about a year, ever since the subprime fiasco (anyone take a look at Moody’s performance over the past year?) Now that that particular issue has been beaten to death, other mortgagerelated issues are cropping up. Most of the stuff covered in the media is financial in nature, but some of those mortgagerelated issues do concern information security.

It’s no secret that there are plenty of companies in the US that discard sensitive documents by dumping them unceremoniously: leave it by the curb, drive it to a dumpster, heave it over the walls of abandoned property, and other assorted mindboggling insecure practices. In fact, MSNBC has an article on this issue, and names numerous bankrupt mortgage companies whose borrowers’ records were found in dumpsters and recycling centers. The information on those documents include credit card numbers and SSNs, as well as addresses, names, and other information needed to secure a mortgage.

Since the companies have filed for bankruptcy and are no more, the potential victims involved have no legal recourse, and are left to fend for themselves. In a way, it makes sense that companies that have filed for bankruptcy are behaving this way. (Not that I’m saying this is proper procedure.) For starters, if a company does wrong, one goes after the company; however, the company has filed for bankruptcy, it is no more, so there’s no one to “go after.” In light of the company status, this means that the actual person remaining behind to dispose of things, be they desks or credit applications, can opt to do whatever he feels like. He could shred the applications. He could dump them nearby. He could walk away and let the building’s owner take care of them. What does he care? It’s not as if he’s gonna get fired.

Also, proper disposal requires either time, money, or both. A bankrupt company doesn’t have money. It may have time, assuming people are going to stick around, but chances are their shredder has been seized by creditors. People are not going to stick around to shred things by hand, literally.

Aren’t there any laws regulating this? Apparently, such issues are covered by FACTA, the Fair and Accurate Credit Transactions Act, and although its guidelines require that “businesses to dispose of sensitive financial documents in a way that protects against ‘unauthorized access to or use of the information’” [msnbc.com], it stops short of requiring the physical destruction of data. I’m not a lawyer, but perhaps there’s enough leeway in the language for one to go around dropping sensitive documents in dumpsters?

Like I mentioned before, inappropriate disposal of sensitive documents has been going on forever; I’m pretty sure this has been a problem since the very first mortgage was issued. My personal belief is that most companies would act responsibly and try to properly dispose of such information. But, this may prove to be a point of concern as well because of widespread misconceptions of what it means to protect data against unauthorized access.

What happens if a company that files for bankruptcy decides to sell their company computers to pay off creditors? Most people would delete the information found in the computer, and that’s that-end of story. Except, it’s not. When files are deleted, the actual data still resides in the hard disks; it’s just that the computer’s operating system doesn’t have a way to find the information anymore. Indeed, this is how retail data restoration applications such as Norton are able to recover accidentally deleted files.

Some may be aware of this and decide to format the entire computer before sending it off to the new owners. The problem with this approach is the same as deleting files: data recovery is a cinch with the right software. Some of them retail for $30 or less-as in free. So, the sensitive data that’s supposed to be deleted can be recovered, if not easily, at least cheaply-perhaps by people with criminal interests.

Am I being paranoid? I don’t think so. I’ve been tracking fraud for years now, and I can’t help but conclude that the criminal underworld has plenty of people looking to be niche operators, not to mention that there are infinitesimal ways of defrauding people (look up “salad oil” and “American Express,” for an example). An identification theft ring looking to collect sensitive information from bankrupt mortgage dealers wouldn’t surprise me, especially in an environment where such companies are dropping left and right.

The economics behind it make sense as well. A used computer will retail anywhere from $100 to $500. The information in it, if not wiped correctly, will average many times more even if you factor in the purchase of data recovery software. Criminals have different ways of capitalizing on personal data, ranging from selling the information outright to engaging in something with better returns.

Is there a better way to protect oneself? Whole disk encryption is a way to ensure that such problems do not occur: One can just reformat the encrypted drive itself to install a new OS; the original data remains encrypted, so there’s no way to extract the data. Plus, the added benefit is that the data is protected in the event that a computer gets lost or stolen. However, commonsense dictates that encryption is something ongoing concerns sign up for, not businesses about to go bankrupt. My guess is that sooner or later we’ll find instances of data breaches originating from equipment being traced back to bankrupt mortgage dealers.

About The Author

Timothy Maliyil is CEO and founder of Data Guard Systems, Inc., a leading developer and marketer of endpoint managed security services and online business management software, based in New York City. Data Guard Systems is an Application Service Provider (ASP) and offers intuitive business management software to various industries. Data Guard’s flagship product is the AlertBoot data security managed service. AlertBoot offers full disk encryption and a comprehensive suite of disk security solutions as a centralized, managed service. Deployment times and support are significantly reduced, thus resulting in a lower overall total cost of ownership for an organization. Prior to founding Data Guard Systems, Mr. Maliyil served as the Director of IT at HarborTech, a privately-held supply chain house for the semiconductor industry. He also held various positions at Netegrity (now Computer Associates). Mr. Maliyil holds a B.S. in Computer Science from Tufts University. For more information on full disk encryption go to http://www.alertboot.com/

[powered by WordPress.]

journal n. A personal record of occurrences, experiences, and reflections kept on a regular basis; a diary.

internal links:

categories:

search blog:

archives:

September 2008
M T W T F S S
« Aug    
1234567
891011121314
15161718192021
22232425262728
2930  

other:

95. We are waking up and linking to each other. We are watching. But we are not waiting.
The Cluetrain Manifesto

23 queries. 0.268 seconds