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AI

Congress Sets Limits On Staff ChatGPT Use (axios.com) 15

In a memo to House staffers this morning, the chamber's Chief Administrative Officer Catherine L. Szpindor said it is placing new guardrails around use of ChatGPT by congressional offices. Axios reports: Szpindor wrote that offices are "only authorized" to use the paid ChatGPT Plus. Unlike the free service, she said, the $20-per-month subscription version "incorporates important privacy features that are necessary to protect House data." She said in addition to other versions of ChatGPT, no other large language models are authorized for use. Szpindor also laid out an array of regulations on how to use the tool.

Offices are allowed to use the tool for "research and evaluation only" and can experiment on how it can improve their operations, but are "not authorized to incorporate it into regular workflow." Offices should only input "non-sensitive" data, she added, instructing staffers not to "paste into the chat bot any blocks of text that have not already been made public." She instructed offices to enable privacy settings, which are disabled by default, to "ensure that your history is not preserved and your interactions are not incorporated back into the large language model."

Crime

Twitter Hacker Who Turned Celebrity Accounts Into Crypto Shills Gets Prison Sentence (gizmodo.com) 14

An anonymous reader quotes a report from Gizmodo: One of the cybercriminals behind 2020's major Twitter hack was sentenced to five years in U.S. federal prison on Friday. Joseph O'Connor (AKA "PlugwalkJoe"), a 24-year-old British citizen, previously pleaded guilty to seven charges associated with the digital attack. He was arrested in Spain in 2021 and extradited to the U.S. in April of this year. In addition to the five years of jail time, O'Connor was also sentenced to three additional years under supervised release and ordered to pay back more than $790,000 in illicitly obtained funds, according to a news release from the U.S. Attorney's Office of the Southern District of New York. Previously, Graham Ivan Clark, another one of the hackers involved who was 17 at the time of the attack, pleaded guilty to related charges and was sentenced to three years in prison.

With all charges combined, O'Connor faced a maximum of 77 years in prison, per a Reuters report, while prosecutors called for a seven-year sentence. Ultimately, he will likely only serve about half of his five years, after having already spent nearly 2.5 years in pre-trial custody, Judge Jed S. Rakoff said during the Friday hearing, according to TechCrunch. Along with his fellow hackers, O'Connor "used his sophisticated technological abilities for malicious purposes -- conducting a complex SIM swap attack to steal large amounts of cryptocurrency, hacking Twitter, conducting computer intrusions to take over social media accounts, and even cyberstalking two victims, including a minor victim," according to a previous statement given by prosecuting U.S. Attorney Damian Williams. [...]

An investigation by the New York State Department of Financial Services determined that the breach was made possible because Twitter "lacked adequate cybersecurity protections," according to an October 2020 report. O'Connor and co were able to gain access to the social platform's internal systems through a simple scheme of calling Twitter employees posing as the company IT department. They were able to trick four Twitter workers into providing their login credentials. The FBI launched its own investigation, which found that O'Connor and his co-conspirators had managed to transfer account ownership to unauthorized users -- sometimes themselves, and sometimes to others willing to pay for the accounts. O'Connor himself paid $10,000 to take over one specific, unnamed account, according to a Department of Justice press statement from May. In addition to the Twitter hack, O'Connor also pleaded guilty to stealing nearly $800,000 from a crypto company by SIM swapping at least three executives' phone numbers. He further admitted to blackmailing an unnamed public figure via Snapchat and swatting a 16-year-old girl.

News

'Last Minute' Law Change Bid in Ireland To 'Muzzle' Critics of Data Protection Commission (irishtimes.com) 9

A "last-minute" government amendment to a bill is an effort to "muzzle" critics of the Data Protection Commission (DPC) and will make the commission's decision-making "even more opaque," a civil liberties group has claimed. From a report: The Irish Council for Civil Liberties has urged all parties in the Dail to challenge the proposed amendment to the Courts and Civil Law (Miscellaneous Provisions) Bill 2022 when it comes up for final debate on Wednesday. The amendment provides that the Commission may direct information deemed by it to be confidential not be disclosed. Failure to comply with a non-disclosure notice issued by the commission will be an offence liable on summary conviction to a $5,450 fine. Dr Johnny Ryan of the ICCL said the amendment "will gag people from speaking about how the DPC handles their complaint and from speaking about how big tech firms or public bodies are misusing their data."
United States

Supreme Court Rejects Lawsuit Accusing Google of Stealing Millions of Song Lyrics (bloomberg.com) 35

The US Supreme Court refused to revive a lawsuit by music website Genius Media accusing Alphabet's Google of stealing millions of song lyrics. From a report: The justices left in place a ruling that tossed out the suit, which accused Google of violating a contract with Genius by using its song lyrics in search results without attribution. It's the latest victory at the Supreme Court for Google, which earlier this year won a battle over whether its video-streaming platform YouTube can be held liable for hosting terrorist videos.

There are deep disagreements over how copyright laws apply to online speech and aggregation. The lower court said Genius does not own any of the copyrights to its lyrics -- instead, those are held by the songwriters and publishers. Genius claimed that Google violated its contract by scraping lyrics and boosting them in Google Search results without any attribution. Genius, which claimed the saga caused millions of dollars in losses for the website, initially sued Google in 2019. In order to drum up attention and prove its case, Genius said it used a secret code spelling out the word "red-handed" to prove Google was stealing its lyrics. "We appreciate the court's decision, agreeing with the Solicitor General and multiple lower courts that Genius' claims have no merit," Google spokesman Jose Castaneda said Monday. "We license lyrics on Google Search from third parties, and we do not crawl or scrape websites to source lyrics."

Australia

Turn Your Phone Off Every Night For Five Minutes, Australian PM Tells Residents (theguardian.com) 126

Australia's prime minister, Anthony Albanese, has told residents they should turn their smartphones off and on again once a day as a cybersecurity measure -- and tech experts agree. From a report: Albanese said the country needed to be proactive to thwart cyber risks, as he announced the appointment of Australia's inaugural national cybersecurity coordinator. "We need to mobilise the private sector, we need to mobilise, as well, consumers," the prime minister said on Friday. "We all have a responsibility. Simple things, turn your phone off every night for five minutes. For people watching this, do that every 24 hours, do it while you're brushing your teeth or whatever you're doing." The Australian government's advice is not new. In 2020, the United State's National Security Agency issued best-practice guidelines for mobile device security, which included rebooting smartphones once a week to prevent hacking.
Crime

61-Year-Old Shot, Killed After Tracking Stolen Vehicle With Apple AirTag (bakersfield.com) 236

An anonymous reader shares news from Bakersfield, California: Four men were arrested in the shooting death of a 61-year-old Bakersfield woman who died after police said she confronted suspects who reportedly stole her car, according to a news release issued Wednesday. Victoria Anne Marie Hampton tracked her reportedly stolen car with an Apple air tag on March 19 without telling law enforcement, according to the Bakersfield Police Department.

The coroner reported she was shot at 6:32 p.m.

Two of the four suspects were 19 years old, one was 18, and one was 23.
Social Networks

Russian Coup Aided by Telegram, VPNs as Government Blocks Google News (nytimes.com) 140

Yevgeny V. Prigozhin heads the Russia-backed paramilitary Wagner Group — and was also "a close confidant of Russian president Vladimir Putin until he launched an alleged coup," according to Wikipedia.

The New York Times notes Prigozhin's remarkable ability to bypass government censorship: Despite years of creeping Kremlin control over the internet, the mercenary tycoon Yevgeny V. Prigozhin continued to comment live on Saturday through videos, audio recordings and statements posted on the messaging app Telegram.

His remarkable continued access to a public platform amid a crisis demonstrated both the limits of official restrictions and the rise of Telegram as a powerful mode of communication since the start of the war in Ukraine in February 2022. The app, along with the proliferation of virtual private networks, has effectively loosened the information controls that the Russian authorities had tightened for years.

Russian internet service providers began blocking access to Google News shortly after the authorities accused Mr. Prigozhin of organizing an armed uprising on Friday. But while unconfirmed reports surfaced of Telegram outages in some Russian cities, people within Russia continued to post on the app.

CNN just reported that Prigozhin's paramilitary group "has claimed control of several military facilities and has dispatched some of his troops towards Moscow... Russian security forces in body armor and equipped with automatic weapons have taken up a position near a highway linking Moscow with southern Russia, according to photos published by the Russian business newspaper Vedomosti Saturday."

UPDATE: CNN now reports Prigozhin "says he is turning his forces around from a march toward Moscow shortly after the Belarusian government claimed President Alexander Lukashenko had reached a deal with Prigozhin to halt the march."
Crime

US Seeks 70-Month Prison Sentence For YouTube Content ID Scammer (torrentfreak.com) 47

An anonymous reader quotes a report from TorrentFreak: By pretending to be legitimate music rightsholders, two men managed to extract over $23 million in revenue from YouTube's content-ID system. Both were arrested, pleaded guilty (PDF), and now face multi-year prison terms. This week, the U.S. requested a 70-month sentence against the 'number two' of the operation, in part to deter future fraud. [...] Last year, one of the defendants confessed to his part in the copyright swindle by pleading guilty. Webster Batista admitted it was a simple scheme: find Latin American music that wasn't yet monetized on YouTube and claim the content as their own. In February of this year, the second defendant pleaded guilty. Jose Teran signed a plea agreement admitting that he was part of the conspiracy, engaging in wire fraud and money laundering.

The Content ID scam was straightforward, Teran's plea agreement revealed. The defendants simply identified unmonetized music and uploaded those songs to YouTube. [W]e discovered there were recorded songs of musicians and bands on the internet that were not being monetized. We began searching and downloading these songs. Once songs were downloaded, Batista would then upload them to Y.T. as mp3 files." "We falsely claimed legal ownership over these songs to receive royalty payments," Teran adds, noting that the scheme brought in millions. To collect these payments Batista launched the company MediaMuv, which became a trusted YouTube Content ID member through a third-party company referred to by the initials A.R. As the scheme grew, more employees were hired and tasked with finding more unmonetized tracks.

Despite pleading guilty, both defendants face a multi-year stint in prison. Teran will be the first to be sentenced and this week, the defendant and the prosecution announced their respective positions. According to the defense, Teran wasn't the lead of the operation. As an aspiring musician he looked up to his co-defendant, who is portrayed as the brains behind the operation. [...] Teran and Batista at one point had between five and eight people working for them. These employees used special software to find unmonetized music which they would then add to their catalog, to exploit YouTube's Content ID system. "Defendant, Jose Teran, engaged in a concerted effort -- over nearly five years -- to steal royalty proceeds from approximately 50,000 song titles, causing a loss of more than $23,000,000.00," the prosecution writes (PDF). "A 70-month sentence is undoubtedly substantial but given Mr. Teran's conduct and the need to deter future fraud, it is entirely warranted," the Government's sentencing memorandum concludes.

China

Declassified US Intelligence: Still No Evidence for Covid 'Lab Leak' Theory (reuters.com) 167

Reuters reports: U.S. intelligence agencies found no direct evidence that the COVID-19 pandemic stemmed from an incident at China's Wuhan Institute of Virology, a report declassified on Friday said.
America's Director of National Intelligence was responding to March legislation requiring declassification (within 90 days) of any information on possible links between the Wuhan Institute of Virology (or "WIV") and the origin of the COVID-19 pandemic. One key finding in the just-released report?

"We continue to have no indication that the Wuhan Institute of Virology's pre-pandemic research holdings included SARS-CoV-2 or a close progenitor, nor any direct evidence that a specific research-related incident occurred involving WIV personnel before the pandemic that could have caused the COVID pandemic." The information available to the U.S. Intelligence Community "indicates that the WIV first possessed SARS-CoV-2 in late December 2019, when WIV researchers isolated and identified the virus from samples from patients diagnosed with pneumonia of unknown causes."

And in addition, "All Intelligence Community agencies assess that SARS-CoV-2 was not developed as a biological weapon."

Beyond that, the report also emphasizes that "Almost all Intelligence Community agencies assess that SARS-CoV-2 was not genetically engineered," adding "Most agencies assess that SARS-CoV-2 was not laboratory-adapted; some are unable to make a determination." The National Intelligence Council and four other Intelligence Community agencies assess that the initial human infection with SARS-CoV-2 most likely was caused by natural exposure to an infected animal that carried SARS-CoV-2 or a close progenitor, a virus that probably would be more than 99 percent similar to SARS-CoV-2...

The Central Intelligence Agency and another agency remain unable to determine the precise origin of the COVID-19 pandemic, as both hypotheses rely on significant assumptions or face challenges with conflicting reporting.

The only two outliers appear to be the Department of Energy, which gives "low confidence" support to the lab-leak theory, and the FBI (whose Trump-appointed director "said he couldn't share many details of the agency's assessment because they were classified.")

Addressing rumors online, the report notes that the lab has performed public health-related research with the army, such as work on vaccines and therapeutics. This included working "with several viruses, including coronaviruses, but no known viruses that could plausibly be a progenitor of SARS-CoV-2."

And while several researchers were ill in the fall of 2019, their symptoms "were consistent with but not diagnostic of COVID-19... [T]he researchers' symptoms could have been caused by a number of diseases and some of the symptoms were not consistent with COVID-19... [T]hey experienced a range of symptoms consistent with colds or allergies with accompanying symptoms typically not associated with COVID-19, and some of them were confirmed to have been sick with other illnesses unrelated to COVID-19." And there's no indication any of them were ever hospitalized for COVID-19 symptoms.
EU

US Vendor Accused of Violating GDPR By Reputation-Scoring EU Citizens (theregister.com) 28

TeleSign, a U.S.-based fraud prevention company, has allegedly collected data from millions of EU citizens and processed it in the United States using automated tools without their knowledge. The complaint "alleges that TeleSign is in violation of the GDPR's provisions that ban use of automated profiling tools, as well as rules that require affirmative consent be given to process EU citizen's data," reports The Register. From the report: The complaint was filed by Austrian privacy advocacy group noyb, helmed by lawyer Max Schrems, and it doesn't pull any punches in its claims that TeleSign, through its former Belgian parent company BICS, secretly collected data on cellphone users around the world. That data, noyb alleges, was fed into an automated system that generates "reputation scores" that TeleSign sells to its customers, which includes TikTok, Salesforce, Microsoft and AWS, among others, for verifying the identity of a person behind a phone number and preventing fraud.

BICS, which acquired TeleSign in 2017, describes itself as "a global provider of international wholesale connectivity and interoperability services," in essence operating as an interchange for various national cellular networks. Per noyb, BICS operates in more than 200 countries around the world and "gets detailed information (e.g. the regularity of completed calls, call duration, long-term inactivity, range activity, or successful incoming traffic) [on] about half of the worldwide mobile phone users." That data is regularly shared with TeleSign, noyb alleges, without any notification to the customers whose data is being collected and used. "Your phone provider likely forwards data to BICS who then forwards it to TeleSign. TeleSign generates a 'trust score' about you and sells phone data to third parties like Microsoft, Salesforce or TikTok -- without anyone being informed or giving consent," Schrems said. [...]

When BICS acquired TeleSign in 2017, it began to fall under the partial control of BICS' parent company, Belgian telecom giant Proximus. Proximus held a partial stake in BICS, which Proximus spun off from its own operations in 1997. In 2021, Proximus bought out BICS' other shareholders, making it the sole owner of both the telecom interchange and TeleSign. With that in mind, noyb is also leveling charges against Proximus and BICS. In its complaint, noyb said Proximus was asked by EU citizens from various countries to provide records of the data TeleSign processed, as is their right under Article 15 of the GDPR. [...] Noyb is seeking cessation of all data transfers from BICS to TeleSign, processing of said data, and is requesting deletion of all unlawfully transmitted data. It's also asking for Belgian data protection authorities to fine Proximus, which noyb said could reach as high as $257 million -- a mere 4 percent of Proximus's global turnover.

The Courts

Two Lawyers Fined For Submitting Fake Court Citations From ChatGPT 40

An anonymous reader quotes a report from The Guardian: A US judge has fined two lawyers and a law firm $5,000 after fake citations generated by ChatGPT were submitted in a court filing. A district judge in Manhattan ordered Steven Schwartz, Peter LoDuca and their law firm Levidow, Levidow & Oberman to pay the fine after fictitious legal research was used in an aviation injury claim. Schwartz had admitted that ChatGPT, a chatbot that churns out plausible text responses to human prompts, invented six cases he referred to in a legal brief in a case against the Colombian airline Avianca.

The judge P Kevin Castel said in a written opinion there was nothing "inherently improper" about using artificial intelligence for assisting in legal work, but lawyers had to ensure their filings were accurate. "Technological advances are commonplace and there is nothing inherently improper about using a reliable artificial intelligence tool for assistance," Castel wrote. "But existing rules impose a gatekeeping role on attorneys to ensure the accuracy of their filings." The judge said the lawyers and their firm "abandoned their responsibilities when they submitted nonexistent judicial opinions with fake quotes and citations created by the artificial intelligence tool ChatGPT, then continued to stand by the fake opinions after judicial orders called their existence into question."
Levidow, Levidow & Oberman said in a statement on Thursday that its lawyers "respectfully" disagreed with the court that they had acted in bad faith. "We made a good-faith mistake in failing to believe that a piece of technology could be making up cases out of whole cloth," it said.
The Courts

Coinbase Wins at Supreme Court as Ruling Reinforces Arbitration (bloomberg.com) 65

The US Supreme Court sided with a Coinbase unit in a ruling that reinforces the ability of companies to channel customer and employee disputes into arbitration. From a report: The justices, voting 5-4, ruled that lawsuits filed in federal court must be put on hold while a defendant presses an appeal that would send the case to arbitration. Writing for the court, Justice Brett Kavanaugh said allowing district courts to move forward as the appeal is ongoing would reduce the benefits of arbitration. "If the district court could move forward with pre-trial and trial proceedings while the appeal on arbitrability was ongoing, then many of the asserted benefits of arbitration (efficiency, less expense, less intrusive discovery, and the like) would be irretrievably lost," Kavanaugh wrote. Business groups rallied behind Coinbase in the case, saying that letting litigation go forward would impose unnecessary costs. Consumer advocates said judges should have the discretion to decide which claims should proceed during appeal, as courts do with other areas of the law. Coinbase is battling claims by Abraham Bielski, who said the crypto company should compensate him for $31,000 he lost after he gave a scammer remote access to his account. In a second suit that was before the high court, Coinbase is accused of holding a $1.2 million Dogecoin sweepstakes without adequately disclosing that entrants didn't have to buy or sell the cryptocurrency.
Security

SMS Phishers Harvested Phone Numbers, Shipment Data From UPS Tracking Tool (krebsonsecurity.com) 12

An anonymous reader quotes a report from KrebsOnSecurity: The United Parcel Service (UPS) says fraudsters have been harvesting phone numbers and other information from its online shipment tracking tool in Canada to send highly targeted SMS phishing (a.k.a. "smishing") messages that spoofed UPS and other top brands. The missives addressed recipients by name, included details about recent orders, and warned that those orders wouldn't be shipped unless the customer paid an added delivery fee. In a snail mail letter sent this month to Canadian customers, UPS Canada Ltd. said it is aware that some package recipients have received fraudulent text messages demanding payment before a package can be delivered, and that it has been working with partners in its delivery chain to try to understand how the fraud was occurring.

"During that review, UPS discovered a method by which a person who searched for a particular package or misused a package look-up tool could obtain more information about the delivery, potentially including a recipient's phone number," the letter reads. "Because this information could be misused by third parties, including potentially in a smishing scheme, UPS has taken steps to limit access to that information." The written notice goes on to say UPS believes the data exposure "affected packages for a small group of shippers and some of their customers from February 1, 2022 to April 24, 2023." [...]

In a statement provided to KrebsOnSecurity, Sandy Springs, Ga. based UPS [NYSE:UPS] said the company has been working with partners in the delivery chain to understand how that fraud was being perpetrated, as well as with law enforcement and third-party experts to identify the cause of this scheme and to put a stop to it. "Law enforcement has indicated that there has been an increase in smishing impacting a number of shippers and many different industries," reads an email from Brian Hughes, director of financial and strategy communications at UPS. "Out of an abundance of caution, UPS is sending privacy incident notification letters to individuals in Canada whose information may have been impacted," Hughes said. "We encourage our customers and general consumers to learn about the ways they can stay protected against attempts like this by visiting the UPS Fight Fraud website."

Transportation

Ford Gets $9.2 Billion To Help US Catch Up With China's EV Dominance (bloomberg.com) 82

The US government is providing a conditional $9.2 billion loan to Ford for the construction of three battery factories, the largest government backing for a US automaker since the 2009 financial crisis. "The enormous loan [...] marks a watershed moment for President Joe Biden's aggressive industrial policy meant to help American manufacturers catch up to China in green technologies," reports Bloomberg. From the report: The new factories that will eventually supply Ford's expansion into electric vehicles are already under construction in Kentucky and Tennessee through a joint venture called BlueOval SK, owned by the Michigan automaker and South Korean battery giant SK On Co. Ford plans to make as many as 2 million EVs by 2026, a huge increase from the roughly 132,000 it produced last year. The three-factory buildout by BlueOval plus an adjacent Ford EV assembly unit have an estimated price tag of $11.4 billion. BlueOval was previously awarded subsidies by both state governments. That means taxpayers would be providing low-interest financing for almost all of the cost.

Ford's cars and SUVs made with domestic batteries will also be eligible for billions of dollars in incentives embedded in the Inflation Reduction Act's $370 billion in clean-energy funding, part of the historic climate measure narrowly passed into law about a year ago. The US government will subsidize manufacturing of batteries, and buyers could qualify for additional tax rebates of up to $7,500 per vehicle.

The rush of incentives, government lending and private-sector investment has led to a manufacturing boom in the wake of the IRA. More than 100 battery and electric-vehicle production projects are announced or already under construction in the US, representing about $200 billion in total investments. "Not since the advent of the auto industry 100 years ago have we seen an investment like that," says Gary Silberg, KPMG's global automotive sector leader.

Crime

LexisNexis Is Selling Your Personal Data To ICE So It Can Try To Predict Crimes (theintercept.com) 43

An anonymous reader quotes a report from The Intercept: The legal research and public records data broker LexisNexis is providing U.S. Immigration and Customs Enforcement with tools to target people who may potentially commit a crime -- before any actual crime takes place, according to a contract document obtained by The Intercept. LexisNexis then allows ICE to track the purported pre-criminals' movements. The unredacted contract overview provides a rare look at the controversial $16.8 million agreement between LexisNexis and ICE, a federal law enforcement agency whose surveillance of and raids against migrant communities are widely criticized as brutal, unconstitutional, and inhumane.

"The purpose of this program is mass surveillance at its core," said Julie Mao, an attorney and co-founder of Just Futures Law, which is suing LexisNexis over allegations it illegally buys and sells personal data. Mao told The Intercept the ICE contract document, which she reviewed for The Intercept, is "an admission and indication that ICE aims to surveil individuals where no crime has been committed and no criminal warrant or evidence of probable cause." While the company has previously refused to answer any questions about precisely what data it's selling to ICE or to what end, the contract overview describes LexisNexis software as not simply a giant bucket of personal data, but also a sophisticated analytical machine that purports to detect suspicious activity and scrutinize migrants -- including their locations.

The document, a "performance of work statement" made by LexisNexis as part of its contract with ICE, was obtained by journalist Asher Stockler through a public records request and shared with The Intercept. LexisNexis Risk Solutions, a subsidiary of LexisNexis's parent company, inked the contract with ICE, a part of the Department of Homeland Security, in 2021. The document reveals that over 11,000 ICE officials, including within the explicitly deportation-oriented Enforcement and Removal Operations branch, were using LexisNexis as of 2021. "This includes supporting all aspects of ICE screening and vetting, lead development, and criminal analysis activities," the document says. In practice, this means ICE is using software to "automate" the hunt for suspicious-looking blips in the data, or links between people, places, and property. It is unclear how such blips in the data can be linked to immigration infractions or criminal activity, but the contract's use of the term "automate" indicates that ICE is to some extent letting computers make consequential conclusions about human activity. The contract further notes that the LexisNexis analysis includes "identifying potentially criminal and fraudulent behavior before crime and fraud can materialize." (ICE did not respond to a request for comment.)
"LexisNexis Risk Solutions prides itself on the responsible use of data, and the contract with the Department of Homeland Security encompasses only data allowed for such uses," said LexisNexis spokesperson Jennifer Richman. She says the company's work with ICE doesn't violate the law or federal policy.
The Almighty Buck

US Might Finally Force Cable-TV Firms To Advertise Their Actual Prices (arstechnica.com) 67

The Federal Communications Commission (FCC) has proposed new rules to crack down on hidden fees charged by cable and satellite video providers. "My administration's top priority is lowering the cost of living for the middle class, and that includes cracking down on companies' use of junk fees to hide true costs from families, who end up paying more as a result," Biden said in a statement on Tuesday. Ars Technica reports: As Biden noted, the FCC "proposed a new rule that would require cable and satellite TV providers to give consumers the all-in price for the service they're offering up front." The proposed rule would force companies like Comcast, Charter Spectrum, and DirecTV to publish more accurate prices. Biden continued: "Too often, these companies hide additional junk fees on customer bills disguised as "broadcast TV" or "regional sports" fees that in reality pay for no additional services. These fees really add up: according to one report, they increase customer bills by nearly 25 percent of the price of base service."

FCC Chairwoman Jessica Rosenworcel first floated pricing transparency rules for the TV services offered by cable and satellite companies in March. That effort took a step forward on Tuesday when the commission approved a Notice of Proposed Rulemaking (NPRM) that seeks public comment on rules that would force video providers to offer accurate prices in advertising. "Consumers who choose a video service based on an advertised monthly price may be surprised by unexpected fees related to the cost of video programming that raise the amount of the bill significantly," the NPRM said. The cable and satellite TV companies' practice of listing "Broadcast TV" and "Regional Sports Network" fees separately from the advertised price "can be potentially misleading and interpreted as a government-imposed tax or fee, instead of a company-imposed service fee increase," and make it hard for customers to compare prices across providers, the FCC said.

The docket is available here, and comments will be accepted for 60 days after the NPRM is published in the Federal Register. The FCC said its proposal "would require cable operators and DBS [direct broadcast satellite] providers to clearly and prominently display the total cost of video programming service." The FCC is also seeking comment on whether it has the authority to impose similar requirements on other types of video providers. But Rosenworcel reportedly said in a congressional hearing that the FCC's authority under US law doesn't extend to streaming services.

Piracy

Korea Will Deploy 'Anti-Piracy AI' After Major Piracy Site Reincarnation (torrentfreak.com) 10

An anonymous reader quotes a report from TorrentFreak: With tens of millions of regular monthly visitors, South Korean piracy site Noonoo TV made powerful enemies. The stand-off reached the boiling point in March when broadcasters formed a new anti-piracy coalition and warned of punishing legal action. Noonoo TV responded by throwing in the towel but after clone site 'Noonoo TV Season 2' appeared online, the government says it will develop an AI anti-piracy system that will stop any 'Season 3' variants in their tracks.

Alongside a promise to work closely with the Ministry of Culture, Sports and Tourism, the Korea Communications Commission, and the National Security Agency to protect 'K' content from unlawful distribution, the Ministry of Science says the time is right to enhance manual work carried out by humans with automated systems better suited to the job. "Since the detection and response to illegal sites is currently centered on manual work based on human resources, to overcome this limitation, we plan to develop technology that can automatically detect and verify new versions and substitute sites," the Ministry said. "Online video service (OTT) content is a precious asset created with the blood and sweat of many people. It's a growth engine that will be responsible for the future of our country, so it is very important for mature citizens to refrain from using these illegal sites."

Businesses

Amazon Faces Senate Probe Over Warehouse Safety (cnbc.com) 34

An anonymous reader quotes a report from CNBC: Amazon's warehouse working conditions, which have come under increased scrutiny in recent years, are now at the heart of a congressional probe being led by Sen. Bernie Sanders of Vermont. In a letter (PDF) to Amazon CEO Andy Jassy, Sanders, who chairs the Senate's Health, Education, Labor and Pensions (HELP) Committee, said the e-retailer's "quest for profits at all costs" has caused warehouse employees to experience unsafe working environments without access to adequate medical attention.

"Amazon is well aware of these dangerous conditions, the life-altering consequences for workers injured on the job, and the steps the company could take to reduce the significant risks of injury," wrote Sanders, an independent who caucuses with the Democratic party. "Yet the company has made a calculated decision not to implement adequate worker protections because Jeff Bezos, Amazon's founder, and you, his successor as Chief Executive Officer, have created a corporate culture that treats workers as disposable."

Sanders called on Jassy to turn over more information related to Amazon's injury and turnover rates, as well as data on its on-site medical clinic, called AMCARE, dating back to 2019. He also asked Jassy to say whether Amazon has, internally or through a third party, examined "the connection between the pace of work of its warehouse workers and the prevalence or cost of injuries at its warehouses." Sanders said Jassy has until July 5 to respond to the inquiry. The HELP committee posted a form on its website seeking testimonials from current and former Amazon employees about their experiences at the company.
An Amazon spokesperson said the company strongly disagrees with Sanders' claims in the letter. "There will always be ways for our critics to splice data to suit their narrative, but the fact is, we've made progress and our numbers clearly show it," said the spokesperson.
Bitcoin

Mastercard Submits Fresh Trademark Application For Crypto Tech (crypto.news) 18

According to a recently discovered patent application, Mastercard plans to develop software optimized for bitcoin and blockchain transactions. The second-largest payment-processing corporation also aims to facilitate crypto-based transactions by reducing connections between virtual asset service providers. Crypto News reports: The trademark application is a fascinating window into Mastercard's plans for the future of digital currency. Details have been revealed about creating a downloadable application programming interface (API) designed to verify transactions inside blockchain networks and ease the handling or trading of cryptocurrency. By standardizing this API software, communication between VASPs may be streamlined and crypto transactions easier. Mastercard wants to set up a platform for financial institutions to exchange customer information to verify compliance. This new step is significant for Mastercard's fast-growing presence in the cryptocurrency sector. The corporation announced its intention to offer a limited number of cryptocurrencies on its network in February 2021.
The Courts

Trial Lawyer Went After Crypto Companies. Then Someone Went After Him. (sfgate.com) 49

Trial lawyer Kyle Roche has led an interesting life, according to the New York Times. He once earned $100 million selling bitcoin. He helped win a case against Craig Wright (who claims to be Bitcoin creator Satoshi Nakamoto) through his law firm Roche Freedman. And Roche also founded a startup that lets people bet on the outcome of (civil) lawsuits, "to make access to justice more affordable."

But something very bad for his career happened in January of 2022 when two businessmen flew Roche from Miami to the U.K. to discuss an investment. When he woke up the next morning, Roche said, he felt groggy... The brain fog was odd because he didn't think he'd had all that much to drink. As he flew back to Miami a few days later, Roche couldn't shake the feeling that something was amiss.

Months passed. Then, one day last summer, Roche's world detonated. A website called Crypto Leaks posted two dozen videos of him that had been secretly recorded during his meetings with Villavicencio and Ager-Hanssen. The videos portrayed Roche and his law firm, Roche Freedman, as being in the pocket of one of their crypto clients [Ava Labs]... In other clips, Roche made it sound like his sole concern, even when representing other clients, was to promote Ava Labs' interests...

One after another, companies that Roche Freedman had sued filed motions to disqualify the firm from their cases. In October, the first of those motions succeeded: A federal judge in New York tossed Roche Freedman from a case it had filed against Tether, the operator of the world's most used "stablecoin." Within days, Roche was forced to resign from the law firm he had founded. With his career in tatters, he said, he enrolled in ethics classes and began to see a therapist.

Roche calls the recorded remarks baseless bluster to impress a prospective investor (and alleges in court there are signs of deep fake alterations). While Roche "was felled by his own loose lips and his overly cozy relationship with a client," the Times reports "he also was the victim of an elaborate international setup." On April 3, 2020, Roche Freedman filed lawsuits seeking class-action status against seven issuers of digital coins, alleging they had pumped what amounted to unregistered securities with false statements and then dumped them, leaving retail investors holding the bag... Those suits were just an opening salvo: Sixteen months later, Roche filed his biggest securities fraud case yet. It alleged that a British entrepreneur, Dominic Williams, and entities he controlled had swindled investors out of billions of dollars by aggressively promoting, and then dumping, a digital coin tied to a grandiose plan to revolutionize computing. Williams had boldly proclaimed that his Internet Computer blockchain — a decentralized network of computers powered by a digital token called ICP — would supplant the big cloud services offered by Amazon and Microsoft and become humanity's primary computing platform. But after an initial surge that briefly made it one of the most valuable cryptocurrencies, ICP had plummeted 92% — a collapse that Roche's lawsuit attributed to "massive" selling by Williams and other insiders. (Williams denied the allegations.)
The Times reports that Roche's prospective investor Ager-Hanssen, "in addition to running his venture capital firm, has long had a sideline digging up dirt on behalf of wealthy clients entangled in business disputes in Britain and Scandinavia. On multiple occasions, he has secretly recorded his targets. For example, in a 2014 interview, he recounted how he had snared the adversary of a Swedish financier with a hidden microphone and boasted that he employed former intelligence officers from the CIA, MI6 and Mossad..." Roche believes them because he thinks he knows who hired Ager-Hanssen: Williams, the British entrepreneur who was the target of Roche Freedman's biggest pump-and-dump lawsuit... On May 12, 2022, Williams wrote on Twitter that he was "coming for" his critics. That was the same day the cryptoleaks.info domain name was registered. That was the same day the cryptoleaks.info domain name was registered. Then, on June 9, 2022, the Crypto Leaks website went live. Billing itself as the defender of "the honest crypto community," it posted two reports that aligned with Williams' interests...

The first espoused a complicated theory about the ICP token crash that Williams had previously floated on Twitter. The second attacked the Times for an article it had published about the crash. Williams tweeted a link to that Crypto Leaks report, calling it "Gobsmacking." The Dfinity Foundation, a Swiss nonprofit that Williams created to oversee his blockchain, has since sued the Times for defamation in New York. The Times is seeking to dismiss the suit. The videos of Roche were the crux of Crypto Leaks' third exposé. After they were published, Williams and Dfinity filed a motion to disqualify Roche Freedman as plaintiffs' counsel in the pump-and-dump lawsuit, saying Roche's comments demonstrated "a disregard for the integrity of the judicial system...."

Last month, the judge overseeing the pump-and-dump case granted Williams' motion and disqualified Freedman Normand Friedland as plaintiffs' counsel.

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