Many companies assume they are safe from
data breaches simply because there is no evidence of an attack.
As a result they are going without such vital defences as
encryption, former White House cybersecurity czar Richard
Clarke told a gathering of IT security professionals at a recent
breakfast.
 |  |  |  |  | Stop worrying about protecting
the network and worry instead about protecting what's on the
network. Richard Clarke
former White House cybersecurity
czar |
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The growing data breach risk and need for encryption was the
main focus of the breakfast, hosted by vendor Liquid Machines
during teh recent Gartner IT Security Summit in Washington D.C.
Michael Ruffolo, CEO of Liquid Machines, said in his opening
remarks that his customers live in constant fear that they will
lose data and become the focus of a
TJX-style media firestorm.
"They tell me they're afraid to push send because when they push
send, they lose control" of the information, he said. "If your
business is such that you have to share information, you're in a
difficult position because of the data loss epidemic. There's
constant concern about information getting out because of insiders
-- not necessarily malicious insiders."
Clarke, who has kept a high profile as a writer and security
consultant since his
well-documented falling out with the Bush
Administration a few years back, said that while many
companies fear the prospect of a data breach, not all are doing
what's necessary to prevent one.
"It typically costs someone 100 hours of time to deal with the
theft of their identity," said Clarke, who is currently chairman of
Arlington, Va.-based Good Harbor Consulting. "Companies need to
remember that identities are stolen every day and no network is
100% secure."
Clarke compared the attitude of some corporate executives today
to that of U.S. defence Department officials 10 years ago when
White House cybersecurity officials pushed the Pentagon to adopt
intrusion defence systems (IDS). The Pentagon added the IDS and
the service chiefs came back annoyed because, as they put it, the
IDS technology had caused them "a hell of a problem." They ranted
that they were being attacked all the time and that they weren't
being attacked before IDS was deployed, Clarke said.
"That illustrates the problem," he said. "It's about what you
don't know, or what you don't see or can't prove. Industrial and
national espionage is happening daily on a massive scale. Your
databases are being stolen and copied, and just because the
evidence isn't in front of you doesn't mean it's not a
problem."
There may never be 100% security, he said, but companies can
minimise the damage with encryption. If data is encrypted, it's of
no use to the person who steals it. Unfortunately, he said, some
companies fail to take encryption seriously until after they've
been compromised.
"You have enormous companies like DuPont where an insider is
able to copy information and commit industrial espionage," Clarke
said, referring to the case of
former DuPont senior chemist Gary Min, who
stole approximately $400 million worth of information from the
company and attempted to leak it to a third party. Min joined
DuPont in 1995 but began exploring a new job opportunity in Asia
in 2005 with Victrex, a DuPont competitor. Shortly after opening
the dialog with Victrex, Min reportedly proceeded to download
approximately 22,000 abstracts from DuPont's data library and
accessed about 16,700 documents. After Min gave his notice,
DuPont discovered what he was up to and brought in the FBI. He
eventually acknowledged his guilt in the matter.
Clarke said companies must find ways to detect where data is
sitting on the network and establish rules for who can or can't
access certain documents.
"Stop worrying about protecting the network and worry instead
about protecting what's on the network," Clarke advised the
breakfast attendees. "Putting a barrier around that information --
credit card numbers, designs, customer lists and the like -- will
help prevent a compromise."
Also at the breakfast was Michael Sheehan, former deputy
commissioner of counterterrorism for the New York Police
Department. During his tenure, he said the department investigated
an attack against a cyber institution that to this day has not been
disclosed. Investigators ultimately found that the attack came from
six to eight countries and was exceptionally sophisticated and
coordinated.
Clarke said people think the catastrophic event will never
happen. Sheehan and other investigators told Clarke the company
would have been brought to its knees if the attack had been 5-10%
more sophisticated.
"The bad guys are a little bit behind the good guys, but they're
catching up," he said. "People think the catastrophic event will
never happen, but we've seen that it does."