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Senator Gregg Speaks to Senate on Encryption and Need for Cooperation

September 17, 2001 -- Senator Judd Gregg (R-NH), speaking in the U.S. Senate on Thursday, proposed tighter restrictions on software that scrambles electronic data and often hinders a government's ability to obtain valuable criminal intelligence. Gregg is now calling for "backdoors" in encryption products, proposing that U.S. government officials have access to decryption tools when the case is deemed to be a matter of national security.

Senator Gregg's statement, excerpted from the Congressional Record, follows:


"We have to set aside our natural inclination as a democracy to limit the type of people we deal with in the area of human intelligence. Unfortunately, the CIA in the 1990s was essentially limited and defanged, for all intents and purposes, in the area of human intelligence gathering because the directives and the policies did not allow us, as a nation, to direct our key intelligence community to basically go out and employ and use people who were individuals who could give us the information we needed. Because of our reticence as a democracy to use people who themselves may be violent and criminal, we found ourselves basically sightless when it came to individual intelligence.

So we have to recognize that in a period of war, which is what I think everyone characterizes this as, and which it truly is, we are, as a nation, going to have to be willing to be more aggressive in the use of human intelligence, and we are going to have to allow our agencies in the international community to be more aggressive.

Equally important, we, as a nation, because of our natural inclination and our very legitimate rules relative to search and seizure and invasion of privacy, have been very reticent to give our intelligence communities the technical capability necessary to address specifically encoding mechanisms.

The sophistication of encoding mechanisms has become overwhelming. I asked Director Freeh at one hearing when he was Director of the FBI--and I remember this rather vividly because I didn't expect this response at all--what was the most significant problem the FBI faced as they went forward. He pretty much said it was the encryption capability of the people who have an intention to hurt America, whether it happened to be the drug lords or whether it happened to be terrorist activity.

It used to be that we had the capability to break most codes because of our sophistication. This has always been something in which we, as a nation, specialized. We have a number of agencies that are dedicated to it. But the quantum leap that has occurred in the past to encrypt information--just from telephone conversation to telephone conversation, to say nothing of data--has gotten to a point where even our most sophisticated capability runs into very serious limitations.

So we need to have cooperation. This is what is key. We need to have the cooperation of the manufacturing community and the inventive community in the Western World and in Asia in the area of electronics. These are folks who have as much risk as we have as a nation, and they should understand, as a matter of citizenship, they have an obligation to allow us to have, under the scrutiny of the search and seizure clauses, which still require that you have an adequate probable cause and that you have court oversight--under that scrutiny, to have our people have the technical capability to get the keys to the basic encryption activity.

This has not happened. This simply has not happened. The manufacturing sector in this area has refused to do this. And it has been for a myriad of reasons, most of them competitive. But the fact is, this is something on which we need international cooperation and on which we need to have movement in order to get the information that allows us to anticipate an event similar to what occurred in New York and Washington.

The only way you can stop that type of a terrorist event is to have the information beforehand as to who is committing the act and their targets. And there are two key ways you do that. One is through people on the ground, on which we need to substantially increase the effort--and this bill attempts to do that in many ways through the FBI--and the other way is through having the technical capability to intercept the communications activities and to track the various funding activities of the organizations. That requires the cooperation of the commercial world and the people who are active in the commercial world."

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