Bloomberg News Investigated for Spying

[waltky]

Granny says dat's what's wrong with dis country - ever'body spyin' on ever'body else...

Justice Dept. Seized Call Records from More Than 20 Associated Press Phone Lines
May 13, 2013 - Gov't obtains wide AP phone records in probe

The Justice Department secretly obtained two months of telephone records of reporters and editors for The Associated Press in what the news cooperative's top executive called a "massive and unprecedented intrusion" into how news organizations gather the news. The records obtained by the Justice Department listed outgoing calls for the work and personal phone numbers of individual reporters, for general AP office numbers in New York, Washington and Hartford, Conn., and for the main number for the AP in the House of Representatives press gallery, according to attorneys for the AP. It was not clear if the records also included incoming calls or the duration of the calls.

In all, the government seized the records for more than 20 separate telephone lines assigned to AP and its journalists in April and May of 2012. The exact number of journalists who used the phone lines during that period is unknown, but more than 100 journalists work in the offices where phone records were targeted, on a wide array of stories about government and other matters. In a letter of protest sent to Attorney General Eric Holder on Monday, AP President and Chief Executive Officer Gary Pruitt said the government sought and obtained information far beyond anything that could be justified by any specific investigation. He demanded the return of the phone records and destruction of all copies. "There can be no possible justification for such an overbroad collection of the telephone communications of The Associated Press and its reporters. These records potentially reveal communications with confidential sources across all of the newsgathering activities undertaken by the AP during a two-month period, provide a road map to AP's newsgathering operations and disclose information about AP's activities and operations that the government has no conceivable right to know," Pruitt said.

The government would not say why it sought the records. Officials have previously said in public testimony that the U.S. attorney in Washington is conducting a criminal investigation into who may have provided information contained in a May 7, 2012, AP story about a foiled terror plot. The story disclosed details of a CIA operation in Yemen that stopped an al-Qaida plot in the spring of 2012 to detonate a bomb on an airplane bound for the United States. In testimony in February, CIA Director John Brennan noted that the FBI had questioned him about whether he was AP's source, which he denied. He called the release of the information to the media about the terror plot an "unauthorized and dangerous disclosure of classified information."

Prosecutors have sought phone records from reporters before, but the seizure of records from such a wide array of AP offices, including general AP switchboards numbers and an office-wide shared fax line, is unusual. In the letter notifying the AP, which was received Friday, the Justice Department offered no explanation for the seizure, according to Pruitt's letter and attorneys for the AP. The records were presumably obtained from phone companies earlier this year although the government letter did not explain that. None of the information provided by the government to the AP suggested the actual phone conversations were monitored.

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Fed, Treasury Examining Bloomberg Use of Terminal Data
Saturday, 11 May 2013 | Both the Federal Reserve and the US Treasury Department are examining the extent to which Bloomberg-terminal usage by top officials might have been tracked by Bloomberg journalists, CNBC has learned.

A Fed spokesperson told CNBC that the central bank is looking into the situation and has been in touch with Bloomberg to learn more. A source said the Treasury Department is taking similar action. Meanwhile, CNBC has learned from a former Bloomberg employee that he accessed usage information of the company's data terminals of Federal Reserve Chairman Ben Bernanke and former U.S. Treasury Secretary Tim Geithner.

The information appeared to concern general functions used by the officials and the frequency with which those functions — such as looking at a bond, equity markets or news — were accessed. The source said all Bloomberg journalists who knew of this capability of the terminal would have had access to the usage information of the officials. However, CNBC has no information that the data were either used by the employees for journalism or shared inappropriately. In response to queries that Bloomberg journalists had access to officials data usage, a Bloomberg spokesman said, "What you are reporting is untrue" but declined to respond when asked what specifically was inaccurate. He also would not say whether the company had investigated journalists' access to this information.

CNBC is a competitor of Bloomberg in reporting and distributing business news on the web and on television. The issue of Bloomberg journalists' access to individual data from the terminals was revealed in recent days when a reporter called a Goldman Sachs Group employee inquiring about a partner's employment status and noting the partner had not logged on to the terminal lately. The incident prompted a complaint from Goldman and led Bloomberg to terminate the ability of reporters to monitor subscribers.

In a statement on its website, Bloomberg said, "Having recognized this mistake, we took immediate action. Last month we changed our policy so that all reporters only have access to the same customer-relationship data available to our clients." The former Bloomberg employee who worked in the editorial section recalled calling up the information on Fed Chairman Ben Bernanke and Treasury Secretary Tim Geithner "just for fun" and displaying the information to new recruits "to show how powerful" the Bloomberg terminals were.

More Fed, Treasury Examining Bloomberg Use of Terminal Data