FBI COUNTERINTELLIGENCE STRATEGIC PARTN ER SHI P NEWSLETTER OCTOBER 2013 James B. Comey, 7th Director of the FBI Article courtesy of www.fbi.gov/news/news.blog/ INSIDE THIS ISSUE: FBI DIRECTOR 1 JAMES B. COMEY MESSAGE FROM SC BLADEL 2 FAREWELL FORMER 2 DIRECTOR MUELLER CI AWARENESS 3 RED DART ONCIX NATIONAL CI AWARD WINNERS 3 BETRAYED AWARDS 2013 4 IGUARDIAN 5 JOINT VENTURE 6 COMBATING INTELLECTUA L PROPERTY THEFT 7 PIRATED SOFTWARE 8 FBI BROCHURES 9 NATIONAL CI AND 9 James B. Comey was sworn in as Director of the FBI during a ceremony at the US Department of Justice (DOJ). Comey becomes the seventh FBI Director in the Bureau‘s modern era. Attorney General Eric Holder administered the oath of office. ―I know Jim brings an impeccable sense of judgment, a commitment to innovative methods and tools, and a lifetime of experience to this new role—which is critical to the protection of our nation and its citizens,‖ said Attorney General Holder. ―As a seasoned prosecutor, a proven leader, and a faithful advocate for the American people—and for the rule of law—I am confident that Jim Comey will continue to uphold the standards of excellence and integrity that the FBI‘s outgoing Director, Bob Mueller, helped to establish.‖ President Barack Obama nominated Comey in June for the FBI‘s top job, and the Senate confirmed his nomination in July. Comey succeeds Robert S. Mueller, III, who served as FBI Director for 12 years. SECURITY AWARDS A Yonkers, New York, native, James Comey gained standing as a champion of the law early in his career. After graduating from the University of Chicago Law School, Comey returned to New York to join the US Attorney‘s Office for the Southern District of New York as a junior attorney. There, he gained credibility by taking on numerous crimes, most notably organized crime, and served as the lead prosecutor in the case of United States v. John Gambino, et al. Afterward, Comey became an assistant US attorney in the Eastern District of Virginia, where he prosecuted the highprofile case that followed the 1996 terrorist attack on the US military‘s Khobar Towers in Khobar, Saudi Arabia. Comey returned to New York to become the U.S. attorney for the Southern District of New York. At the end of 2003, he was tapped to be the deputy attorney general at DOJ under then-US Attorney General John Ashcroft and moved to the Washington, DC, area. Comey left DOJ in 2005 to serve as general counsel and senior vice president at defense contractor Lockheed Martin. Five years later, he joined Bridgewater Associates, a Connecticutbased investment fund, as its general counsel. In early 2013, Comey became a Lecturer in Law, a senior research scholar, and Hertog Fellow in National Security Law at Columbia Law School. ―Jim‘s experience, judgment, and strong sense of duty will benefit the Bureau and the country as a whole,‖ said former Director Robert S. Mueller. ―He is excited about the prospect of leading an agency of individuals who are united by a fierce desire to do something good for their country.‖ ―I have had the opportunity to work with Jim at the Department of Justice,‖ said former Director Mueller. ―He is a man of honesty, dedication, and integrity. These core values make him the right person for this job.‖ COUNTERINTELLIGENCE STRATEGIC PARTNERSHIP NEWSLETTER Page 2 A MESSAGE FROM SECTION CHIEF LOUIS BLADEL, COUNTER ESPIONAGE SECTION The Counterintelligence Strategic Partnership Unit has been busy of late with the production of our next threat awareness video as a follow-up to Betrayed and Game of Pawns. This newest video will also be based on a true story of the attempted illicit acquisition of US trade secrets by individuals from China. The story will highlight some of the common tactics and techniques used by foreign companies to acquire what they, and their country, need to compete in a global market. The target audience for this video will be any business who has something of value it wants to protect that gives it a competitive advantage of foreign competitors. Filming has already started, and the release is on schedule for the end of this year. the FBI to promote the creation of more FBI intelligence products that can be released to a larger audience. This will allow our Strategic Partnership Coordinators in the field to provide you much timelier threat information than in the past. Also, the unit has partnered with the US Department of Commerce (DOC) and the FBI‘s Intellectual Property Rights (IPR) Center in supporting STOPfakes.gov ―Road Shows.‖ Going forward, when DOC schedules a road show in your area, an FBI agent will be on hand to provide a Trade Secrets and Economic Espionage presentation. This partnership will further promote a unified message to the private sector on the necessity to implement proper trade secrets protections at their businesses. More information on economic espionage, the IPR Center, and the STOPfakes Road Shows can be found at the following locations: IPR Center: www.iprcenter.gov STOPfakes: www.stopfakes.gov/business-tools/stopfakes-roadshows FBI Economic Espionage: www.fbi.gov/about-us/investigate/ conterintelligence/economic-espionage We are also working with our analytical components within FORMER FBI DIRECTOR ROBERT S. MUELLER STEPS DOWN Director Robert S. Mueller stepped down on September 4 after serving 12 years— his original 10-year term plus a two-year extension proposed by the White House and approved by Congress in 2011. “I want to take this opportunity to thank the men and women of the FBI,” Mueller said. “Through their hard work, their dedication, and their adaptability, the FBI is better able to predict and prevent terrorism and crime.” ―I want to commend the president for the choice of Jim Comey as the next director of the FBI,‖ said Director Mueller. ―I have had the opportunity to work with Jim for a number of years at the Department of Justice, and I have found him to be a man of honesty, dedication, and integrity. His experience, his judgment, and his strong sense of duty will benefit not only the Bureau, but the country as a whole.‖ Director Mueller was the 10th Director in the FBI‘s 105-year history—the 6th since the J. Edgar Hoover era. When it began in 1908, the Bureau‘s leader was called ―Chief.‖ Since 1919, the organization‘s top administrator has been called ―Director.‖ The FBI Director has reported directly to the Attorney General since the 1920s, and, by law, is appointed by the president and confirmed by the Senate. In 1976, in reaction to the extraordinary 48-year term of Director Hoover, Congress passed a law limiting the FBI Director to a single term of no longer than 10 years. www.fbi.gov/news/stories/2013/june/presidentnominates-new-fbi-director COUNTERINTELLIGENCE STRATEGIC PARTNERSHIP NEWSLETTER Page 3 Counterintelligence Awareness Teaching Industry How to Protect Trade Secrets and National Security The FBI vigilantly investigates cases of industrial espionage and theft of intellectual property, but the Bureau also places great emphasis on preventing such crimes by educating industry on ways to keep trade secrets safe. One such innovative program in North Carolina‘s Research Triangle is a collaborative effort with other Federal partners called Research and Development Defense Alliance of the Research Triangle (RED DART). RED DART seeks to mitigate the threat by raising counterintelligence awareness. Through briefings to cleared defense contractors and others in technology -rich North Carolina, RED DART makes executives and employees aware of how counterintelligence works and how they can spot suspicious activity both inside and outside their companies. ―Everybody wants to emulate U.S. technology,‖ said Brent Underwood, a special agent with the Naval Criminal Investigative Service who helped create RED DART. ―If countries can shortcut 10 or 20 years‘ worth of research and development (R&D) by stealing our technology, that puts them at an obvious advantage.‖ Despite the occasional high-profile case where a spy accesses highly classified documents, the majority of stolen technology is unclassified, said FBI Special Agent Lou Velasco, who manages the program out of FBI Charlotte. ―With the right amount of information,‖ he explained, ―state actors can reverseengineer our products or build them from scratch.‖ When that happens, our adversaries can be more competitive on the battlefield as well as in the global marketplace. ―A big part of our program is putting information out there about the threat, so that people understand just how serious it is,‖ Velasco said. ―When a company‘s trade secrets are compromised, it can threaten national security, but it can also hurt that company‘s bottom line and its ability to keep people employed.‖ The threat from inside a company may be employees secretly sent by foreign countries to steal secrets. RED DART briefings help employees spot suspicious behavior, such as a staffer working odd hours, asking inappropriate questions, or making frequent trips overseas. Externally, foreign agents may pose as potential investors or customers to gain access to technical information that could compromise a company‘s trade secrets. And weak online security is always an invitation to hackers. Griff Kundahl, executive director of the Center of Innovation for Nanobiotechnology in North Carolina, a state-funded organization that fosters new technology in the region, has worked closely with the RED DART program to help educate the center‘s members. ―Our core constituents are early-stage companies,‖ Kundahl said. ―They developed a product that might treat cancer, for example. They are trying to raise money and get their product to market. They don‘t have much time or the resources to consider security risks. If RED DART can get them to understand these risks, it helps everybody. When they realize that all their efforts could be for naught if their technology is stolen or compromised, it can be eye-opening for them.‖ ―Our challenge is to show how real the threat is,‖ Velasco said. ―We arm people with tools, so that they can make appropriate business decisions.‖ Michelle Brody, a special agent with the Defense Security Service and a founding member of RED DART, added, ―When RED DART helps a company protect itself a little better, it not only helps them, it helps our national security.‖ www.fbi.gov/news/stories/2012/ november/teaching-industry-how-to-protect -trade-secrets-and-national-security/ Winner at the 2013 Office of the National Counterintelligence Executive (ONCIX) National Counterintelligence and Security Awards for Industrial Security Team For meritorious service and exceptional performance of duty in the field of Industrial Security. The RED DART Team displayed exemplary professionalism, skill, resourcefulness, and interagency collaboration to provide full spectrum Counterintelligence Services to the Defense Research, Development and Acquisition community. The RED DART Team‘s distinctive accomplishments and initiatives have contributed greatly to the security of highly sensitive defense information and reflect great credit upon the individual team members, the participating agencies, and were in keeping with the highest traditions of the US Department of Defense. COUNTERINTELLIGENCE STRATEGIC PARTNERSHIP NEWSLETTER Page 4 Betrayed Awards—2013 Article provided by: Insider Threat Investigations Unit 2013 CINE MASTERS SERIES AWARD The Council on International Nontheatrical Events (CINE) Masters Series Award is presented to the top telecast series and the best CINE Golden Eagle Award-winning production in each CINE Competition division from the previous calendar year, as selected by CINE‘s Board of Directors. These 2013 CINE Masters Series Award recipients represent the nine best CINE Golden Eagle Award-winning productions from across the country in 2012. Betrayed was honored with this award in the "Professional Non-Telecast Non-Fiction‖ Division. Betrayed engages intelligence professionals at an emotional level and encourages change in counterintelligence practices. The award was presented at CINE‘s Annual Award Gala in June 2013 in Washington, DC. EMMY AWARD The Emmy® Award is the premier television production award presented in various sectors of the television industry, including entertainment programming, news and documentary shows, and sports programming. The awards are presented in various area-specific ceremonies held annually throughout the year, honoring excellence in television programming. More than 550 broadcasters from Maryland, Virginia, and the District of Columbia gathered on June 15, 2013, for The 55th National Capital Chesapeake Bay Emmy Awards held in Baltimore, Maryland. Awards for excellence were presented in 93 categories. Betrayed was eligible for an Emmy due to the continuous showing of Betrayed since June 2012 on The Pentagon Channel (TPC). The TPC, which is free in the public domain and accessible 24/7 to all US cable and satellite providers, can be viewed in most Central and Western European countries, Africa, the Americas, and most of Asia via satellite and globally via the Internet. The TPC programs reach the 2.6 million members of the US Armed Forces and an estimated 8 million viewers annually around the globe. Betrayed was nominated for three Emmys in the editor and director categories as follows: Director-Post Production, Editor-Program (Non-News) and Photography-Program (Non-News). Betrayed won the Emmy Award for excellence in Photography. If you are interested in a showing of Betrayed or Game of Pawns, please contact your local Strategic Partnership Coordinator (SPC) or send a request to email address: strategic_partnerships@ic.fbi.gov. COUNTERINTELLIGENCE STRATEGIC PARTNERSHIP NEWSLETTER Page 5 iGuardian Industry-Focused Platform Launched Article courtesy of Special Agent Susan Wright, Strategic Partnership Coordinator, FBI Richmond In an effort to enhance the FBI‗s ability to mitigate and prevent serious cyber threats, the FBI has launched a secure portal allowing industry partners to quickly and safely report actual and attempted cyber intrusion incidents. Called iGuardian, the information portal is similar to eGuardian, a sensitive, but unclassified, platform for our law enforcement partners to provide potential terrorism-related threats and suspicious terrorism-related activity reports. While eGuardian is available for law enforcement users through Law Enforcement Online, iGuardian was developed specifically for trusted industry partners within critical infrastructure sectors (telecommunications, defense, banking and finance, and energy) and is available over the InfraGard network. InfraGard is our public-private coalition of more than 55,000 vetted industry partners and already uses a secure portal to share information and receive alerts from Federal agencies and each other. iGuardian will provide an additional method through which the FBI can receive information. Industry is being asked to submit specific information on computer intrusions of any kind, including malware infections, Web site defacements, and denial of service attacks. Access to the iGuardian system currently requires an InfraGard membership. A telephone help desk has been set up to assist companies with the iGuardian application and submission process, and a frequentlyasked questions page has been posted for members on the InfraGard website. iGuardian will greatly speed up the process of submitting intrusion information to the FBI—it just takes a few minutes to fill out and submit the iGuardian form. Within minutes of submitting the form, agents and analysts will be able to quickly triage the submissions, notify previously unknown intrusion victims, and assign leads as appropriate to field offices for further investigation. The information in iGuardian will also give us a big-picture look at the threat from terrorists, nation-states, and criminal groups conducting complex cyber network operations against the United States. Later this year, partners will be able to submit actual malware to the FBI for quick analysis. Future iGuardian enhancements will include the ability of our industry partners to submit incidents and tips on threats and hazards affecting their companies, like intellectual property rights issues, theft of trade secrets, and potential terrorism-related matters. To find the InfraGard chapter closest to you, please visit https://www.infragard.org or send an email to strategic_partnerships@ic.fbi.gov. iGuardian: a new, secure method to report cyber intrusions and submit malware for analysis and feedback through the InfraGard Network. COUNTERINTELLIGENCE STRATEGIC PARTNERSHIP NEWSLETTER Page 6 JOINT VENTURE—AN OPPORTUNITY TO LOSE Article courtesy of FBIHQ Eurasia Analysis Unit Dmitry Medvedev, former President of the Russian Federation, renovate its military technology, with US businesses the threats and tactics of foreign adversaries, as well as the laws and resources that exist to pushed for modernization of the Russian economy and Russian society by decreasing dependency on oil revenue and creating a more diversified economy based on hightechnology and innovation. Under equipment, and arsenal by 2020. protect individuals and organizations. The FBI will continue to collaborate with the private sector in an effort to better understand and mitigate intelligence threats. A better understanding of the threat is leading away from merely reacting to threats toward proactively protecting national interests. The collaborative partnership established with the private sector is a Medvedev‘s presidency, the Government of Russia showed its commitment to transforming its economy by creating several technical institutions and funding innovative concepts. The results of that effort knocked on the door of Silicon Valley, and other parts of the United States, when new, Russian state-sponsored innovation companies and venture capital firms set up shop on the East and West coasts of the United States. Under the same push for economic and societal modernization, the Russian Government desires to reorganize its entire military under ―State Armament Plan 20112020.‖ The Russian government has already tripled its defense budget to the equivalent of $700 billion US dollars, and is determined to rebuild its aging military infrastructure. Under the Plan, Russia intends to completely As a result of Russia‘s modernization initiative, governmentfunded entities are increasing their footprint in the United States by seeking joint ventures with US companies and academic institutions that possess sensitive R&D facilities, dual-use (commercial and military) technologies, sensitive proprietary information, and classified technologies. Start-up companies that are in need for additional financial investment are particularly vulnerable since some of these joint ventures could compromise these companies‘ intellectual property and sensitive technology ―know-how‖ while saving the Russian Government millions of R&D dollars. It is important to remain vigilant and cognizant of the potential losses and compromises when signing off on a joint venture deal with Russian statesponsored companies. The offer may seem lucrative at first, but it could also mean the permanent loss of intellectual property rights and manipulation of dual -use technologies. The FBI makes it a priority to share key component in the FBI‘s strategy of staying ahead of national security threats through predictive, proactive, and preventive engagement. For any questions or concerns regarding joint ventures and technology development with Russian firms, please contact your nearest FBI field office and speak with the CI Strategic Partnership Coordinator. The FBIHQ point of contact for this matter is embedded with the Counterproliferation Center (CPC-3). Thank you for your cooperation and vigilance. COUNTERINTELLIGENCE STRATEGIC PARTNERSHIP NEWSLETTER Page 7 The Justice Department is Determined to Protect Our Economy by Combating Intellectual Property Theft Excerpts from a speech delivered by Attorney General Eric Holder on June 21, 2013 American companies are among the most innovative in the the seizure of 3.7 million doses of potentially life-threatening world. They‘re responsible for important technological substandard, spurious, falsely-labeled, falsified, or counterfeit advances that benefit consumers, create jobs and support our medicines. In January 2012 – in collaboration with law economy. But today, this prosperity inevitably attracts global enforcement leaders in New Zealand, Hong Kong, Germany, rivals – including individuals, companies and even countries the United Kingdom, Australia, Canada, and the Netherlands – that are eager to use illicit means to tilt the playing field to their we arrested five individuals for allegedly engaging in massive advantage. worldwide online piracy, executing more than 15 search warrants and seizing approximately $50 million in assets in the Fortunately, the women and men of the US Department of United States and abroad. Justice, which holds primary responsibility for the enforcement of intellectual property rights – including laws prohibiting the Thanks to the creation of the Department‘s Task Force on theft of trade secrets, the trafficking of counterfeit goods and Intellectual Property, we‘ve ensured that this work will services, and the pirating copyrighted music, movies, books continue to be a top priority. As a result of the hard work of and software – are working to prevent, combat, and punish members of the Computer Hacking and Intellectual Property these serious crimes. Thanks to the release of a new 2013 Joint Network, we‘ve established a promising institutional Strategic Plan (JSP) on Intellectual Property Enforcement, the framework for standing vigilant against these crimes long into Department and its partners stand poised to take these critical the future. efforts to a new level. Last year, the Department launched a new network of Federal This document identifies 26 specific actions to protect prosecutors with special training in computer crimes and intellectual property, increase enforcement against national security to support law enforcement agencies in the counterfeiting networks, and encourage multi-national investigation of, among other things, economic espionage and cooperation to protect rights holders. It will provide invaluable trade secret theft. And our Office of Justice Programs has guidance to US agencies and private sector leaders who are partnered with the National Crime Prevention Council to enlist striving to protect intellectual property rights. And it will the help of members of the public in this fight – by enable us to capitalize on the momentum that‘s been spearheading a wide-ranging public education campaign to established; to bolster the international enforcement of rights; educate millions of Americans on the prevalence and dangers to secure our supply chain and prevent illegal products from of intellectual property theft. entering the country; and to step up our domestic enforcement activities, so we can focus on investigations and prosecutions We can all be proud of these, and many other, significant that protect America‘s businesses, disrupt piracy and achievements in our fight against a wide range of intellectual counterfeiting operations, and safeguard the health and safety property crimes. And I‘m confident that the new Joint of our citizens. Strategic Plan will enable us to continue this important work – and to ensure that our nation can remain at the forefront of These efforts have resulted in numerous high-profile successes. A multi-agency initiative resulted in 79 arrests and technology, innovation, and job creation. COUNTERINTELLIGENCE STRATEGIC PARTNERSHIP NEWSLETTER Page 8 PIRATED SOFTWARE MAY CONTAIN MALWARE You decide to order some software from an unknown online seller. The price is so low you just can‘t pass it up. What could go wrong? Plenty. Whether you‘re downloading it or buying a physical disc, the odds are good that the product is pirated and laced with malicious software, or malware. Today, the National Intellectual Property Rights Coordination Center—of which the FBI is a key partner—is warning the American people about the real possibility that illegally copied software, including counterfeit products made to look authentic, could contain malware. Our collective experience has shown this to be true, both through the complaints we‘ve received and through our investigations. It‘s also been validated by industry studies, which show that an increasing amount of software installed on computers around the world—including in the United States—is pirated, and that this software often contains malware. As in our above scenario, pirated software can be obtained from unknown sellers and even from peerto-peer networks. The physical discs can be purchased from online auction sites, less-thanreputable websites, and sometimes from street vendors and kiosks. Pirated software can also be found pre -installed on computers overseas, which are ordered by consumers online and then shipped into the United States. Who’s behind this crime? Criminals, hackers, and hacker groups, and even organized crime rings. And the risks to unsuspecting consumers? For starters, the inferior and infected software may not work properly. Your operating system may slow down and fail to receive critical security updates. But the greater danger comes from potential exposure to criminal activity—like identity theft and financial fraud—after malware takes hold of your system. Some very real dangers: Once installed on a computer, malware can record your keystrokes (capturing sensitive usernames and passwords) and steal your personally identifiable information (including Social Security numbers and birthdates), sending it straight back to criminals and hackers. It can also corrupt the data on your computer and even turn on your webcam and/or microphone. Malware can spread to other computers through removable media like thumb drives and through e-mails you send to your family, friends, and professional contacts. It can be spread through shared connections to a home, business, or even government network. Criminals can also use infected computers to launch attacks against other computers or against websites via denial of service attacks. To guard against malware and other threats, read our tips on how to protect your computer. If you think you may have purchased pirated software (see sidebar on how to spot it), or if you have information about sellers of pirated software, submit a tip to the IPR Center or the Internet Crime Complaint Center. And know this: Pirated software is just one of the many threats that the IPR Center and the FBI are combating every year. The theft of U.S. intellectual property—the creative genius of the American people as expressed through everything from proprietary products and trade secrets to movies and music—takes a terrible toll on the nation. It poses significant (and sometimes life-threatening) risks to ordinary consumers, robs businesses of billions of dollars, and takes away jobs and tax revenue. Learn more by visiting the IPR Center website and the FBI‘s Intellectual Property Theft Web page. http://www.fbi.gov/news/ stories/2013/august/piratedsoftware-may-contain-malware/ Software Buying Tips for Consumers - When buying a computer, always ask for a genuine, pre-installed operating system, and then check out the software package to make sure it looks authentic. - Purchase all software from an authorized retailer. If you‘re not sure which retailers are authorized, visit the company Web site of the product you‘re interested in. - Check out the company‘s Web site to become familiar with the packaging of the software you want to buy. - Be especially careful when downloading software from the Internet, an increasingly popular source of pirated software. Purchase from reputable Web sites. We are on the web www.fbi.gov/about-us/investigate/ The FBI Counterintelligence Strategic Partnership Program’s Mission: counterintelligence/strategic-partnerships FBI 935 Pennsylvania Avenue, NW Room 4439 Washington, DC 20535 Phone: 202-324-3000 strategic_partnerships@ic.fbi.gov To work with academia, private industry and the intelligence community to foster proactive strategies to negate attempts by foreign adversaries to victimize US interests. Each of the FBI‘s 56 field offices has a Counterintelligence Strategic Partnership Coordinator (SPC) who works locally to further this mission. For additional information, assistance, or training, contact your local FBI office‘s SPC. FBI brochures http://www.fbi.gov/about-us/investigate/counterintelligence-brochure Winner for the 2013 National Counterintelligence and Security Awards for Education and Training: Game of Pawns The Game of Pawns DVD is a dramatic account of the Glenn Duffie Shriver investigation. Shriver, an American college student studying overseas in China, was targeted, recruited, and paid by the PRC Intelligence Services (PRCIS) to penetrate the US Intelligence Community (USIC) on behalf of the PRC Government. The Shriver case study shown in Game of Pawns demonstrates the ongoing, organized effort by the PRCIS to infiltrate the US Government to commit espionage. Importantly, the Shriver investigation reveals a relatively new technique employed by the PRCIS in targeting American students for applicant-seeding operations against the USIC. Current FBI investigations indicate the PRCIS continues to actively target American students overseas in China for USIC-focused applicant seeding operations. The Shriver case study represents one among many such operations. If you are interested in a showing of Betrayed or Game of Pawns, please contact your local SPC or send a request to email address: strategic_partnerships@ic.fbi.gov.