Encrypted phones biz Sky Global shuts up shop after CEO indictment, police raids on users in Europe
- Reference: 1616137867
- News link: https://www.theregister.co.uk/2021/03/19/sky_global_ecc_shuts_down_indictment_raids/
- Source link:
News of the company shutdown was broken by Vice News after [1]raids in Belgium and the Netherlands on Sky ECC users and resellers.
[2]
We're [3]told Canada's BlackBerry (remember that?) cut off its essential United Endpoint Manager services to Sky following the police crackdown, and that a final message to customers read: "We will shut the services down in 2 hours to allow you find [sic] alternative communications."
Earlier this month, Uncle Sam's legal eagles [4]formally accused Sky Global chief exec Jean-Francois Eap, who lives in Canada, of selling encrypted chat devices to drug dealers with the intent of helping them evade the long arm of the law. He was charged with racketeering and conspiracy to distribute heroin, cocaine and meth, crimes which carry a life sentence in the States.
[5]
As we reported, Sky Global provides Nokia, Google, Apple, and BlackBerry smartphones modified to remove their cameras, microphones, and GPS capabilities, and sells subscriptions for its end-to-end encrypted messaging software Sky ECC that comes bundled with the handsets.
[6]US govt indicted me because I make privacy tools, says crypto-chat app CEO accused of helping drug smugglers
Eap told Vice the allegations were "entirely false" and that Sky was a legitimate operation. The company previously described the Sky ECC devices seized in Belgium and the Netherlands as fakes, operated by people who stole Sky's branding and logos and who were operating without its knowledge.
It seems these claims and counterclaims will end up being tested in courts on both sides of the Atlantic. Police agencies around the Western world have long been keen to paint encrypted mobile phone services as something used exclusively by criminals.
Britain's National Crime Agency (NCA), which [7]falls squarely into the category of "police agencies that campaign against encryption," has previously refused to comment on whether it was involved with the raids on Sky ECC users in continental Europe, or whether it is investigating any UK links from those raids. The Sky Global/ECC case bears similarities to that of encrypted chat service EncroChat, which was also shut down by its operators after police officers gained access to the service.
[8]
Later court rulings in the UK about the NCA's use of EncroChat evidence obtained by those foreign police forces [9]confirmed that the agency could lawfully sidestep key legal protections in the Snoopers' Charter, the law which supposedly regulates online surveillance by organs of the British state. ®
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[1] https://www.theregister.com/2021/03/10/sky_ecc_encrypted_phones_belgium_police_raids/
[2] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_security/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=2&c=2YFSEU3jNhQMcVPV9ctpargAAAEg&t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0
[3] https://www.vice.com/amp/en/article/88aybp/sky-secure-shuts-down-blackberry
[4] https://www.theregister.com/2021/03/15/sky_global_indicted/
[5] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_security/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33YFSEU3jNhQMcVPV9ctpargAAAEg&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[6] http://www.theregister.com/2021/03/15/sky_global_indicted/
[7] https://eandt.theiet.org/content/articles/2018/05/national-crime-agency-believes-encryption-is-hampering-efforts-to-catch-criminals/
[8] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_security/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44YFSEU3jNhQMcVPV9ctpargAAAEg&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[9] https://www.theregister.com/2021/02/08/encrochat_court_appeal_ruling/
[10] https://whitepapers.theregister.com/
Decentralization and compartmentalization
The problem with proper encryption and security is decentralization and compartmentalization. Having a central hub (even with geographic spread) is only good if the hub-admins cannot decrypt the stream/contents. Only single endpoint final recipient should be able to decrypt. From the looks, the system's security could be cracked by cracking one point at the edge. Not good design.
Why do people not use PGP mail? Oh, yes, it is difficult (and old). Well, let me tell you, secure communication is very hard to do right. Even PGP security can suffer, if you send messages to multiple users in the same stream because it can expose the (existence of) other recipients. If you are a smart criminal, then you know what to do. But then, those who get caught are surely not the "smart" criminals.
It sounds like the rule here is not to set up your encrypted phone business if you live in a country with a extradition treaty with the US.
Talk about painting a target on your back
Criminals probably think they're being smart when they use dark web sites, or modified encrypted phones, or money laundering exchanges. Instead it just makes law enforcement super interested & determined to infiltrate these service providers because the effort is worth it. The criminals are merrily discussing and transacting on their "safe haven" so the cops infiltrate, listen in and choose the moment to take them down. All designed to arrest as many people as possible and cause disruption and fear amongst the rest.
A fleeting moment of joy
And then I realised it was not Rupert Murdoch being arrested.