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Handling Corporate Laptop Theft Gracefully

Billosaur writes "From NPR, we get a Marketplace story about the theft of corporate laptops and the sensitive data they may contain, specifically how to handle the repercussions. From the story: 'TriWest operates in about 21 states. It's based in Phoenix, Arizona. In December of 2002, somebody broke into the company's offices and stole two computer hard drives.And those hard drives contained the personal information of 550,000 of our customers from privates in the military all the way up to the chairman of the Joint Chiefs of Staff.' How they handled the situation earned them an award from the Public Relations Society of America."

31 of 197 comments (clear)

  1. Encrypt the disks. by base3 · · Score: 4, Informative

    Then there's no data loss, and thus no ethical or legal obligation to tell anyone, and thus no need to handle getting caught with your pants down gracefully.

    --
    One CPU cycle wasted on digital restrictions management is ONE TOO MANY.
    1. Re:Encrypt the disks. by MandoSKippy · · Score: 2, Interesting

      While California's SB1386 specifically mentioned encryption as a reason for not having to disclose to customers under that law, other laws do not. Specifically Wisconsin Act 138 does not mention encryption as a way to preclude disclosure. Basically Wisconsin's law states if someone unauthorized has a clients data, you must tell the client about it. Now, of course I am not a lawyer, nor do I play one on TV, but I know this is a new law (March 16th, 2006) and have any Jurisprudence clarifying this. On the flip side, encrypting the data sure makes the disclosure a lot less painful. I.e. Yes, we had laptops stolen, but all the data was encrypted per our policy and the likelyhood of you data being imporperly used is extremely low. I am currently researching a workstation encryption project, so if anyone (a lawyer perhaps?) has any insight into this stuff, I'd be happy to hear it from the expert.

    2. Re:Encrypt the disks. by winkydink · · Score: 3, Interesting

      It's not perfect. Nothing is perfect. How close to perfect do you have to get to be good enough?

      --

      "I'd rather be a lightning rod than a seismometer." -Ken Kesey

    3. Re:Encrypt the disks. by vertinox · · Score: 2, Interesting

      If they don't report it and the encrytion is broken what recourse do those people with compromised information/identities have?

      A laptop theif isn't going to spend 3 months and 10,000 distributed computers to crack your laptop. Well... Maybe... If he thinks it was really critical, but chances are he might just format the drive and sell it at pawn shop.

      --
      "I am the king of the Romans, and am superior to rules of grammar!"
      -Sigismund, Holy Roman Emperor (1368-1437)
    4. Re:Encrypt the disks. by hazem · · Score: 5, Insightful

      If the data is on an encrypted disk, does the thief really have the data if they steal the encrypted disk?

      Yes. Because the thief may be able to decrypt the data because they also copied down the password/key that was on a post-it note hidden under the keyboard of the computer. Or they might exploit a flaw in the encryption. Or they manage to socially-engineer access to the key needed to decrypt the data. Or they might have installed a key-logger to get the key and then came back a week later to get the drives too.

    5. Re:Encrypt the disks. by shawn(at)fsu · · Score: 4, Insightful

      I think you missed the a 3rd scenario.

      Do not store sensitive data on a laptop.

      --
      500 dollar reward for tip(s) leading to the arrest of the person(s) who stole my sig.
    6. Re:Encrypt the disks. by sgent · · Score: 2, Insightful
      Not an option.

      I don't know what world you live in, but people need access to sensitive data on their laptops -- espcially if they are in an area that doesn't have internet / communications availability.

      You can take precautions such as encrypting the disk -- but many people can't do their jobs without access to that information.

      Before computers, people often put files in their cars, or carried pen / pencil notebooks. The requirements to have that information available away from the office haven't changed.

    7. Re:Encrypt the disks. by Beryllium+Sphere(tm) · · Score: 2, Funny

      >How close to perfect do you have to get to be good enough?

      XOR the data with itself. Since the key is the same length as the data, cryptanalytic attacks don't apply. Anyone who doesn't have the data, by definition, doesn't have the key. The ciphertext contains no clues to the plaintext and, in contrast to most crypto systems, is highly compressible. An additional convenience is that you can generate the ciphertext from one of the standard special devices without even needing the plaintext.

      Some might argue that this is a lossy process, but you can always XOR the ciphertext with the key and get back your original data.

      Pretty perfect, huh?

      (yes of course I'm kidding)

    8. Re:Encrypt the disks. by cmacb · · Score: 4, Insightful

      "I don't know what world you live in, but people need access to sensitive data on their laptops -- espcially if they are in an area that doesn't have internet / communications availability.

      You can take precautions such as encrypting the disk -- but many people can't do their jobs without access to that information.

      Before computers, people often put files in their cars, or carried pen / pencil notebooks. The requirements to have that information available away from the office haven't changed."


      I know what world you live it. It is the world of video games and powerpoint presentations with cute little pie charts.

      In the 60s (the 40s and 50s were before my time) we got access to sensitive data by going to the office, passing an armed guard, signing in and sometimes using several keys or typing in combinations to get into certain rooms. Yes, you could take notebooks (paper ones) and pens and pencils with you in your car. You might also take a printout or so with sensitive data from one place to another, but that was pretty rare. There were telecommunications back then and you could even get to your data over those links, which were a lot more secure than todays WiFi and dial-up.

      What changed is that computers became toys, and many of the people using them now know nothing about the underlying technology other than it's easier than using an adding machine. Ninety nine percent of the problem is that the boobs entrusted with these toys didn't take even common sense precautions with the physical security of the devices. Given the mindset of such people, there is zero hope that they would know enough to take the proper electronic precautions.

      I maintain that if the data is REALLY important, and that includes all the examples given above, the the proper way to use a laptop is as a dumb terminal with a highly encrypted communications link back to the actual data. Such a link can happen over the Internet, or via a satellite link. There is really no excuse for carrying such data around, in the past, now, or in the future.

  2. Handling Corporate Laptop Theft Gracefully by suso · · Score: 5, Funny


    Tip 1: When you make your get away, float above the carpet like a feather caught in the wind.
    Tip 2: If you encounter security or other obstacles, aim for the biscuits.
    Tip 3: Make sure you check the laptop for any homing devices that will help them track you down.
    Tip 4: The password is usually the username with 123 at the end or the their children's ages.
    Tip 5: Get the evidence out of your hands as quickly as possible to beat the feds.
    Tip 6: Relax and enjoy reading the next day's headlines on Slashdot about stolen private information.

  3. Handling Secure Data Loss Gracefully by digitaldc · · Score: 2, Interesting

    Resign with thank you cards, smiles all around and a wonderfully inspiring anecdote about how much you had accomplished in your career up until that day.

    --
    He who knows best knows how little he knows. - Thomas Jefferson
  4. Handled Pretty Well by Wannabe+Code+Monkey · · Score: 3, Interesting

    I actually listened to this story last night on the way home (or the day before, can't remember). Anyway, at first I was shocked when I heard the intro, they lost all this sensitive data, did some stuff and then won a PR award. If the actions they took were so great shouldn't they have won some sort of privacy award. Winning a public relations award makes it sound like you did a great job covering it up. But actually listening to the story I found that they really did handle it in a great way for their customers.

    --
    We always knew Comcast was corrupt, here's the proof: http://tech.slashdot.org/comments.pl?sid=1909890&cid=34545432
  5. Whole Disk Encryption vs. File/Directory by MandoSKippy · · Score: 2, Interesting

    So I am researching encryption for this very reason (laptop encryption) anyone have any links or insights into why anyone would choose file/directory encryption? I am heavily leaning towards whole disk, mainly because how can you be sure you get everything. (i.e. temp files, pagefiles, hibernation files) I have seen some items regarding "inteligent encryption" but I just can't see how any program can "know" what to encrypt and what not to without tons of administrative overhead. That's why I like whole disk. Just do it all. Any thoughts?

    1. Re:Whole Disk Encryption vs. File/Directory by Foolicious · · Score: 2, Informative

      Generally, disk encryption is great if a machine is stolen; however, it doesn't offer you any benefits should the machine be compromised following login of the encyption product (generally at boot). Some products have timeout modes kind of like a screensaver where it forces a login to the encrpytion package following a period of inactivity, but basically disk encryption isn't a safe bet for complete safety. For instance, it can do nothing if someone remotes in to the machine or a "rogue" employee accesses the machine after login. This is where content encryption offers benefits. Disk encryption alone is just a hassle for the user (in terms of an extra password to remember) in order to placate suits who want the company's rear end covered, but don't want to spend the money and resources (which can be substantial) on a complete package that would handle both disk and content encryption. Just my 2 cents.

      --
      Please don't use "umm" or "err" or "erm".
    2. Re:Whole Disk Encryption vs. File/Directory by woolio · · Score: 2, Insightful

      This is because I also do not trust my employer. The notebook is theirs, but not all the data is.

      Would your life be a lot simpler if you stored only company data on the company laptop and non-company data on a non-company laptop/storage device???

  6. Quite impressive... by GillBates0 · · Score: 3, Funny
    How they handled the situation earned them an award from the Public Relations Society of America.

    You mean they handled the situation (and the laptop) with a single three-fingered hand? That is quite impressive.

    Creepy though.

    --
    An Indian-American Hindu committed to non-violent thought/speech/action alarmed by the global explosion of radical Islam
  7. Marketplace != NPR by Palshife · · Score: 2, Informative

    ARGH. This is the second time this has been done. NPR does not produce or distribute Marketplace. NPR has nothing to do with Marketplace. It's produced by American Public Media. Please get it right. You're even LINKING TO APM!

    --
    Attention deficit disorder is a complicated issue, spanning several major... HEY LET'S GO RIDE BIKES!
  8. Explosives by Infernal+Device · · Score: 4, Funny

    All laptops with sensitive information should be equipped with a remote detonation device and 10 grams of C4.

    Not to stop the criminals.

    For the entertainment value ...

    --
    "My God...it's full of trolls!"
  9. Conscientious Capitalism by Doc+Ruby · · Score: 4, Insightful

    Capitalists know that PR is cheaper than security. Never trust them.

    --

    --
    make install -not war

  10. Re:Worst. Article. Ever. by ZombieRoboNinja · · Score: 4, Informative

    FYI, this story was a followup to a longer story about laptop and identity theft. The original story did indeed focus a lot on data encryption.

    From the original article:
    "This is Jonathan Zittrain, a co-founder of the Berkman Center for Internet and Society at Harvard Law School. He says he's not surprised that all of this information is walking around on portable computers. People want to be productive on the run, he says. But he says there are pretty sure-fire ways to protect sensitive information. Like, encrypting it, or leaving the data on the main server and remotely tunneling through the Internet to work with it."

    Way to declare this the "worst article ever" in the same post you brazenly declare you didn't read it, by the way. A bold move, even by Slashdot standards.

  11. bad headline by Anonymous Coward · · Score: 2, Insightful

    This isn't about laptop theft, it's about how the company handled potential identity theft and loss of sensitive data. The hardware is irrelevant.

  12. Encryption? Priceless. by mythosaz · · Score: 5, Interesting

    I work as the senior engineer for the desktop engineering department of a large west-coast healthcare organization with over 20,000 PCs.

    Not only do we encrypt EVERY laptop, regardless of if we think it contains PHI; theft of desktop equipment has prompted us to encrypt EVERY desktop, regardless of if we think it may contain PHI. We also encrypt and monitor every PDA (including phones with sync).

    The software: Millions of dollars.
    Support: Millions of dollars.
    Not being sued in California for losing PHI: Priceless.

  13. Interesting theft by Anonymous Coward · · Score: 2, Interesting

    Breaking into an office and stealing two hard drives, which contains all that data may point to a sophisticated, targeted hit, maybe using hired pros.

  14. Corporate policies needed by MarkusQ · · Score: 5, Funny

    There's very little you can do after the fact (though the C4 idea above was cute). The key is to do what somewhere I once worked did: make sure that there are effective corporate policies in place long before hand to make sure that laptop thieves don't profit when they get their hands on sensitive information.

    For example:

    • Have policies that make corrupting corporate data easy, but correcting it tedious/impossible.
    • Give different departments "ownership" of different data and encourage them to distribute it to people who need it via e-mail (hand copied from the application), screen shots, or exported spreadsheets that do not correctly propagate column names.
    • Encourage employees to edit the e-mails to produce versions of the data that they think are more accurate, and distribute them with names like "New (revised) revision of Q4 draft data dump--updated, with corrections by MQR for some of the errors introduced by BC in Q3"
    • Have data retention policies that assure that every laptop has at least twenty such interpretations of any key data on it at any time.
    • Prevent the addition of new columns to databases, and instead encourage users to reuse existing columns (Title, Address_line_2, Retirement_date, ROI_projection, Collateral_damage, NSA_contact_name etc.) that are otherwise underutilized.
    • Make test data by permuting fields (and words/digits within fields) between rows of live data. Do not clearly distinguish live data from test data, to assure that some of these will end up on laptops as well.

    With a few simple precautions like these, you can be sure that the bad guys may steal the laptop, and the data, but they won't have any more idea what to do with it than you do.

    --MarkusQ

  15. Re:Wrong, wrong, wrong... by zakezuke · · Score: 4, Funny

    I think we all know that the real question here is, in a straight, clean fight, who wins, Airwolf or Bluethunder?.

    Remember kids

    Red Dawn + Bluethunder = Purple Rain

    --
    There is no sanctuary. There is no sanctuary. SHUT UP! There is no shut up. There is no shut up.
  16. why is computer-theft still an issue? by schweini · · Score: 5, Interesting

    i fail to see why computer theft is still an issue - even i implemented a relativly simple, yet, as far as i can see, 'secure enough' system for these situations:
    all 'interesting' files are inside AES256 encrypted container-files wich are mounted via loop-devices.
    if, for some reason, a server or machine reboots, it asks the next higher server for the password it needs to decrypt itself via an encrypted network connection. if a machine is reported as stolen, the server that has the task of sending the passwords gets advised of this, and simply wont send the corresponding password anymore. the peak of this pyramid of trusted machines is an off-site server far, far away. thus, if the hierarchy is broken (e.g. by computer theft) anywhere along the way, it's a matter of seconds to render all information contained on the stolen machine completly useless.
    if i came up with this, surely the admins of REALLY important data can?

  17. Re:Aack! Just buy a Mac already! by wyip · · Score: 2, Informative

    Windows 2000 and XP Pro are able to encrypt files and folders out of the box. You could just encrypt your profile in 'Documents and Settings' for essentially the same effect as Filevault on Mac. Setup the Administrator account as a Data Recovery Agent for the same effect as the File Vault master password. This is what we're doing for the Windows users in our department who won't or can't switch to Mac. (We're actually using this as a temporary solution while we look at PGP)

  18. Foreign Intelligence Operation? by CodeBuster · · Score: 4, Interesting

    There is one other possibility that has not been considered and that is that the break-in was organized by a foreign intelligence agency in an apparently successful operation to capture records relating to United States military personnel. If this is true then it ups the ante significantly because foreign intelligence agencies have the resources and expertise to organize these types of raids despite the best private security and especially if the operatives are willing to kill for the information. They could have infiltrated across the Mexican border, where security is sorely lacking, and gone anywhere in the US without attracting much attention. Most corporations do not employ the types of security measures that the military does and so they would probably be caught off guard by a commando style raid in the middle of the night. The night watchmen doesn't get paid enough to be killed over a couple of hard drives and all he saw were men in balaclavas before he was knocked over the head with the butt of an mp5 and tied up...you get the idea. This may have been a professional job.

  19. Re:Encryption? Priceless. by mythosaz · · Score: 2, Informative

    Products from Guardian Edge
    http://www.guardianedge.com/

    I'm quite pleased with the encryption product itself, but the guys who package their MSIs need shot :)

  20. Re:What about external HDs? by suwain_2 · · Score: 2, Interesting

    Given that these external hard-drives are alot easier to pick-up and walk away with

    Isn't that exactly why the external hard-drives are more prone ot being stolen?

    but rarely, due to training, do we find an unattended hard-drive

    If your training works, why not just train them not to leave laptops unattended?

    Your post raises another interesting point, though: what if people use internal hard drives, encrypted, but a user brings in their own external drive? That seems like a potential security flaw waiting to happen.

    --
    ________________________________________________
    suwain_2 :: quality slashdot p
  21. Re:Why store data on latop at all? by Zemran · · Score: 4, Interesting

    Why not take it further and have 5 locations using VPN and set the physically seperate location up like RAID 5 so no location actually has the data. If any hard drive gets stolen it has a maximum of every 4th chunk of data (4 chunks and a check chunk = 5 locations). A thief would need to break into all locations at the same time to get the data. If one location is broken into the data can still be recovered using the check chunks but the thief cannot recover any data. Encryption can easily be broken but a thief cannot see what he does not have.

    --
    I love stacking my barbecues in the shed at the end of summer - you can't beat a bit of grill on grill action.