MfD: BIS offers "tax-free money" for encryption system

[InfoSec News <alerts () infosecnews org>]

http://www.praguemonitor.com/2010/09/14/mfd-bis-offers-tax-free-money-encryption-system

Czech News Agency
14 September 2010

Prague, Sept 13 (CTK) - The Czech counter-intelligence service (BIS) has 
offered "tax-free money" to the CircleTech private firm for an 
encryption system, the daily Mlada fronta Dnes (MfD) writes Monday.

CircleTech co-owner Jiri Satanek succeeded in recording three meetings 
with BIS officers secretly, the paper adds.

BIS spokesman Jan Subert told MfD that the service would investigate the 
case.

CircleTech is developing and selling programmes for mobile phones that 
enable to encrypt SMS text messages and phone calls, which complicates 
the work of the police and secrete services.

BIS met the firm's representatives five times in various restaurants in 
Prague, MfD says.

BIS officers first offered to Satanek that his firm would supply an 
encryption system with "a defect" to the market which would help the 
secret service find out the content of encrypted messages.

[...]


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