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- Volume Four, Issue Thirty-Seven, File 12 of 14
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- PWN Phrack World News PWN
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- PWN Issue XXXVII / Part Two of Four PWN
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-
-
- Operation Sun-Devil Nabs First Suspect February 17, 1992
- ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
- By Michael Alexander (ComputerWorld)(Page 15)
-
- "Defendant Pleads Guilty To Possession Of Access Codes, Faces 10-year Term"
-
- The U.S. Department of Justice said last week that it had successfully
- completed its first prosecution in the Operation Sun-Devil investigation.
-
- Robert Chandler [a/k/a The Whiz Kid and former bulletin board system operator
- of the Whiz House in 619 NPA], 21, pleaded guilty in federal court in San Diego
- to a single felony for possessing 15 or more access codes, which can be used
- illegally to make toll-free telephone calls, said Scott Charney, who heads the
- Justice Department's computer crime unit in Washington, D.C. Chandler also
- admitted to using the access codes, Charney said.
-
- Chandler will be sentenced on May 11. The legal maximum penalty is 10 years'
- imprisonment, but federal prosecutors will probably recommend probation,
- assuming the sentencing guidelines and the judge handling the case permit it,
- Charney said.
-
- Chandler may also be required to make restitution of a still-undetermined
- amount for telephone calls made with the access code.
-
- On May 7 and 8, 1990, U.S. Secret Service and local law enforcement officials
- executed more than 20 search warrants [more like 27] in 14 cities in a
- nationwide crackdown on computer crime code called Operation Sun-Devil.
- Federal law enforcers said the raid was aimed at rounding up computer-using
- outlaws who were engaged in telephone and credit-card fraud.
-
- Approximately 42 computers and 23,000 disks were swept up in the dragnet, but
- until last week there were no indictments or convictions in the investigation.
-
- The Justice Department has been severely criticized by Computer Professionals
- for Social Responsibility (CPSR), the Electronic Frontier Foundation (EFF), and
- other advocacy groups for its handling of Operation Sun-Devil cases. CPSR has
- charged that federal law enforcers trampled on the First and Fourth Amendment
- rights of those targeted in the raids.
- _______________________________________________________________________________
-
- No More Fast Times For Spicoli
- ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
- By Night Ranger
-
- On November 19, 1991, Spicoli was awaken by Pima County (Arizona) Sheriffs and
- some other agents in his apartment. They showed him their search warrants,
- which was obtained under the suspicion of "Computer Fraud and/or Theft" and
- asked him to step outside. They began dismantling his computer system, which
- ran his bulletin board called "Fast Times." It was not a hack/phreak bulletin
- board and contained no information that would normally be construed as such.
- The main reason he ran the board was because he was writing it himself.
-
- The authorities took many items not related to his computer, including his VCR.
- He was not charged with any crimes and additionally he was informed that he
- was "free to go." This incident is very similar to what happened with the
- hacker "Mind Rape." Late last year, his home was raided and lots of items
- were seized, but no charges followed.
-
- Spicoli attempted to hire private legal counsel, but discovered that it was
- beyond his means financially. Since then, he has chosen to go with the public
- defender's office.
-
- Weeks later, it was revealed that his case concerned an undisclosed, but
- presumably large amount of stolen money and he was charged with various
- felonies. He further learned that the authorities had been monitoring him over
- a period of at least three months. Anyone who had contact with him between
- August and November should be careful. His computer is now in the hands of the
- government.
-
- This is the second major bust in Arizona during the last half of 1991. With
- people like Gail Thackeray residing there and anti-hacker companies such as
- Long Distance For Less and U.S. West it is definitely not the place for any
- kind of hacking.
- _______________________________________________________________________________
-
- U2 Shakes Up New England Bell February 24, 1992
- ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
- By Steve Morse (The Boston Globe)(Page 15)
-
- Irish rockers U2 left local telephone operators hasping for breath. In an
- unprecedented move designed to thwart scalpers, tickets for U2's March 17 show
- at Boston Garden went on sale through telephone charge only -- and the result
- was a long morning for the phone company.
-
- "It was complete gridlock. I don't know how else to describe it. The bombed
- us right out of the water," said Joanne Waddell, a New England Telephone
- manager. "We expected a lot of calls ... but this was unbelievable. Our
- operators were clicking away like crazy out there."
-
- The Garden show sold out in 4 1/2 hours, said Doug Borg of Tea Party Concerts,
- adding that it took that long because there was a two-ticket limit per person
- -- another step taken to frustrate scalpers.
-
- "The demand was overwhelming. I heard there were a half-million calls in the
- first hour," said Larry Moulter, president of Boston Garden. The telephone
- company said exact figures were not yet available, but Moulter's information is
- consistent with a recent U2 sale in Atlanta, where more than one million calls,
- many from eager fans with automatic redial, were logged.
-
- "I don't really have a number. It's safe to say thousands, many thousands,"
- said Peter Cronin, a spokesman for New England Telephone. He admitted there
- were minor delays in getting a dial tone, but that it was "not a serious
- situation. If people stayed on the line, they'd get dial tone in a few seconds."
-
- There were 100 lines selling sales for the Garden concert. They checked for
- duplicate names, credit card numbers and addresses (to help enforce the limit
- of two per person) and caught 'some' attempts to use a card number more than
- once.
- _______________________________________________________________________________
-
- Federal Agents Raid WCFL; Station Silenced, Forced Off Air January 28, 1992
- ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
- By Patrick Townson (Telecom Digest)
-
- In an unusual move by the Federal Communications Commission, a far southwest
- suburban radio station in the Chicago area has been forced off the air by the
- FCC which alleges illegal activity at the station.
-
- WCFL-FM (104.7), a station licensed in Morris, IL with no connection to the
- station using the same call letters in Chicago several years ago was silenced
- by FCC officials who raided the station accompanied by members of the United
- States Marshall's Office on Friday, January 24.
-
- Prompted by complaints from other broadcasters in the Chicago area, an FCC
- field inspection team on January 16 found WCFL was beaming its signal at more
- than twice its authorized power of 11,000 watts, and was using a nondirectional
- rather than directional antenna as called for in its license to operate.
-
- The effect of the violations was to broacast a more powerful signal toward
- Chicago and elsewhere, and "to increase the likelyhood of interference with
- other stations," acccording to Dan Emrick, chief of investigations for the
- FCC's office in Chicago.
-
- The FCC had cited the station for similar offenses in 1990, and fined the
- owners $3000. Emrick said there was no record of payment.
-
- Tim Spires is the General Manager of WCFL, and an officer of the parent company
- 'MM Group' which is based in Ohio. Neither Mr. Spires nor other officials of
- 'MM Group' would make any response to the FCC action which forced the station
- off the air at 1:00 PM last Friday.
-
- Emrick said federal officers entered the station shortly before 1:00 PM and
- served the appropriate legal papers on employees on duty. FCC staffers then
- siezed the broadcasting studio and transmitting equipment. After giving the
- obligatory sign off message and station identification over the air, power was
- killed to the transmitter. Employees were ordered to leave the premises, which
- was closed with a US Marshall's Seal.
-
- Emrick went on to say the station would not be allowed to return to the air
- until the station settles its account with the FCC and completes construction
- of a directional antenna. At that point, the station would be permitted to
- operate 'in probation' while the Commission did further technical inspections,
- and the probation status would continue for an unspecified period of time
- afterward.
-
- A press release was finally issued by the 'MM Group' yesterday which said in
- part that WCFL " ... went off the air voluntarily in order to install a new
- antenna; bring their transmitter into compliance with FCC regulations and
- better serve their listening area."
- _______________________________________________________________________________
-
- New Cellular Phones Raise A National Security Debate February 6, 1992
- ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
- By John Markoff (New York Times)(Page D1)
-
- Advocates of privacy rights are challenging the nation's most clandestine
- intelligence-gathering agency over how much confidentiality people will have
- when communicating via the next generation of cellular telephones and wireless
- computers.
-
- The issue has emerged at meetings this week of an obscure committee of
- telecommunications experts that is to decide what kinds of protections against
- eavesdropping should be designed into new models of cellular phones. People
- concerned with privacy are eager to incorporate more potent scrambling and
- descrambling codes in equipment to prevent the eavesdropping that is so easy
- and so common in the current generation of cellular phones.
-
- But privacy advocates contend that the industry committee has already decided
- not to adopt the maximum level of protection because of pressure from the
- National Security Agency, whose intelligence gathering includes listening in on
- phone conversations in foreign countries and intercepting data sent by
- computers. The privacy-rights faction contends that the security agency
- opposes codes that are hard to crack because the equipment might be used
- overseas.
-
- "The NSA is trying to weaken privacy technology," said Marc Rotenberg,
- Washington director of Computer Professionals for Social Responsibility, a
- public advocacy group organized by computer scientists and engineers. "At
- stake is nothing less than the future of our privacy in the communications
- world."
-
- The standards setting group is made up of cellular telephone equipment
- manufacturers and service providers.
-
- The National Security Agency is the Defense Department Agency in charge of
- electronic intelligence gathering around the world for use by many other
- branches of the government. Officials of the agency, who have been
- participating in the meetings as observers, said their only interest in the
- matter was insuring that the government's own secure telephones were compatible
- with the new cellular phones. They said that agency officials have
- specifically been told not to participate in the standards-setting effort, and
- indeed some engineers attending the meetings said they have felt no outside
- pressure.
-
- But other engineers involved in the standards process said the agency's
- presence had loomed large in earlier technical meetings during the past two
- years. "I would talk to people and they would say, 'The NSA wouldn't like
- this, or wouldn't like that,'" said one committee member, who spoke on the
- condition that he not be identified.
-
- The Agency's Long Reach
-
- The debate is important, the privacy advocates say, not just for cellular
- phones but for many other emerging technologies that communicate using radio
- signals, which are easier to intercept than information sent over conventional
- telephone lines. These include wireless "personal communicators" that transmit
- and receive data, and portable "notebook" computers.
-
- But the dispute also illustrates that even as the cold war ebbs, the
- National Security Agency is still wielding influence over many United States
- high-technology industries. Indeed, executives from a number of high-
- technology companies say the agency is hampering their efforts to compete for
- business overseas by forcing them to make products for foreign markets that are
- different from products sold domestically.
-
- The agency exercises this power in evaluating some of the applications by
- companies to export high-technology products. In that role, critics say, the
- agency has opposed exports of equipment fitted with advanced encryption systems
- that are increasingly vital to modern business.
-
- Buyers Can Shop Elsewhere
-
- The agency's critics say it is almost impossible to contain the proliferation
- of encryption technologies and that customers who are deterred from buying it
- in the United States will simply shop abroad or steal the technology.
-
- "The notion that you can control this technology is comical," said William H.
- Neukom, vice president for law and corporate affairs at Microsoft Corporation,
- the big software publisher.
-
- Critics also say that it is ludicrous that encryption systems used in popular
- software programs receive the type of Government scrutiny that might be
- expected for weapons. "The notion that our our products should be classified
- as munitions, and treated that way just doesn't make sense at all," Mr. Neukom
- said.
-
- Privacy advocates have also challenged the committee's intention not to publish
- the algorithm on which the encryption technology is based. Traditionally,
- cryptographers have said that the best way to ensure that encryption techniques
- work is to publish the formulas so they can be publicly tested.
-
- The committee has said that it will not disclose the formula because it does
- not want to criminals an opportunity to crack the code. But publishing the
- formula is only a danger only if the formula is weak, said John Gilmore, a
- Silicon Valley software designer, and privacy advocate. If the formula is
- strong, disclosing it publicly and letting anyone try to crack it would simply
- prove it works.
-
- The code, however, is simple to break, say a number of engineers who have
- examined it. Several committee members said they realized that the security
- agency would never permit the adoption of an unbreakable privacy scheme.
-
- "The cynics in the bar would say that you're never going to get anything by the
- NSA that they can't crack trivially anyway," said Peter Nurse, chairman of the
- authentication and privacy subcommittee of the standards committee and an
- engineer at Hughes Network Systems.
-
- NSA Role Denied
-
- But a number of engineers who worked on the technical standard insist that the
- agency has had no overt role in setting it. "The standard was based on the
- technical deliberations of some of the best experts in North America," said
- John Marinho, chairman of the standards committee and an executive at AT&T. He
- said the committee relied on the NSA only for guidance on complying with United
- States regulations.
-
- He also said that the new standard would offer far more privacy protection than
- is available under the present cellular telephone system. Today, although it
- is against the law to eavesdrop on a cellular telephone conversation, many
- individuals modify commercial radio scanners so they can receive the
- frequencies on which cellular calls are transmitted.
- _______________________________________________________________________________
-
- FBI Eavesdropping Challenged February 17, 1992
- ~~~~~~~~~~~~~~~~~~~~~~~~~~~~
- Taken from The Washington Post
-
- WASHINGTON -- Cellular telephones and other state-of-the art telecommunications
- technology are seriously challenging the FBI's ability to listen to the
- telephone conversations of criminal suspects, law enforcement officials say.
- The FBI is seeking $26.6 million next year to update its eavesdropping
- techniques. Normally tight-lipped FBI officials become even more closed-
- mouthed when the subject of investigative "sources and methods" comes up. But
- a review of the bureau's 1993 budget request provides an unusual glimpse into
- the FBI's research on electronic surveillance and its concerns about new
- technologies.
-
- "Law enforcement is playing catchup with the telecommunications industry's
- migration to this technology," said the FBI's budget proposal to Congress. "If
- electronic surveillance is to remain available as a law enforcement tool,
- hardware and software supporting it must be developed."
-
- The new technologies include digital signals and cellular telephones. At the
- same time, there has been an increase in over-the-phone transmission of
- computer data, which can be encrypted through readily available software
- programs, say industry experts and government officials.
-
- The FBI's five-year research effort to develop equipment compatible with
- digital phone systems is expected to cost $82 million, according to
- administration figures.
-
- The FBI effort is just a part of a wider research program also financed by the
- Pentagon's secret intelligence budget, said officials who spoke on condition of
- anonymity.
-
- Electronic surveillance, which includes both telephone wiretaps and microphones
- hidden in places frequented by criminal suspects, is a key tool for
- investigating drug traffickers as well as white-collar and organized crime.
-
- Conversations recorded by microphones the FBI placed in the New York City
- hangouts of the Gambino crime family are the centerpiece of the government's
- case against reputed mob boss John Gotti, now on trial for ordering the murder
- of his predecessor, Paul Castellano.
-
- Taps on the phones of defense consultants provided key evidence in the Justice
- Department's long running investigation of Pentagon procurement fraud, dubbed
- "Operation Ill Wind." But with the advent of digital phone signals, it is
- difficult to unscramble a single conversation from the thousands that are
- transmitted simultaneously with computer generated data and images, industry
- officials said.
-
- "In the old days all you had to do was take a pair of clip leads and a head
- set, put it on the right terminal and you could listen to the conversation,"
- said James Sylvester, an official of Bell Atlantic Network Services Inc. But
- digital signal transmission makes this task much more difficult. Conversations
- are broken into an incoherent stream of digits and put back together again at
- the other end of the line.
-
- John D. Podesta, a former counsel to the Senate Judiciary's law and technology
- subcommittee, said the FBI and other law enforcement agencies are simply
- victims of a technological revolution. For more than 50 years the basic
- telephone technology remained the same.
- _______________________________________________________________________________
-
- Nynex Will Go On-line With Listings February 20, 1992
- ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
- By Adam M. Gaffin (adamg@world.std.com)(Middlesex News, Framingham, MA)
-
- You can now let your fingers do the walking electronically through the Yellow
- Pages.
-
- Nynex yesterday announced an online Yellow Pages available to anyone with a
- computer and modem, becoming the first regional Bell operating company to offer
- an electronic Yellow Pages database. The 1984 court order that broke up AT&T
- had barred such efforts, but that provision was overturned last year.
-
- The service, at least at first, will offer listings only, rather than ads, from
- close to 300 Nynex directories -- the company serves most of New York and New
- England, except for Connecticut.
-
- Users will also be able to scan UPI news and financial information, according
- to Kurt Roessner, president of Nynex Information Technologies, the subsidiary
- that will run the service. Ultimately, the company hopes to begin offering and
- displaying Yellow Pages-like ads to users, Roessner said yesterday.
-
- Users will require special software to access the information through the
- Minitel network, a French system that has so far failed to catch on in the U.S.
- Nynex will provide the software for free to users of MS-DOS, Macintosh, Apple
- II and Commodore computers, Roessner said.
-
- Roessner said Nynex eventually hopes to offer the service on other, more
- popular computer networks. Minitel was chosen because Nynex has offered its
- Yellow Pages information to French subscribers for almost two years, he said.
-
- Nynex will charge 61 cents a minute -- $36.60 an hour -- the same as French
- users pay. However, Roessner acknowledged this may be more than Americans are
- willing to pay and that the company will look at lowering the rate.
-
- CompuServe, the nation's largest consumer-oriented computer network, charges
- $12.80 an hour -- but drops that to just 50 cents an hour to people who use an
- AT&T directory of national toll-free numbers.
-
- The Nynex project is the latest in a series of efforts by large companies to
- sell information to consumers via computer. Some, such as an effort by Knight-
- Ridder in the mid-1980s, have ended in spectacular failure. Last year, Nynex
- dropped its own information "gateway" service after losing several million
- dollars. CompuServe and several other online services, however, reportedly
- earn sizable profits.
-
- Phone-company information services have been surrounded by controversy.
- Opponents, who include organizations representing newspaper publishers, say it
- is unfair to allow a company that provides the means of distribution to also
- offer services -- a common comparison is to a turnpike authority that also ran
- a trucking company.
-
- Roessner, however, said he hopes the phone company can cooperate with, rather
- than fight, other potential "information providers." He said he has already
- talked with officials at a number of newspapers who seem more willing to work
- with the phone company on joint projects than their national organizations
- would let on.
- _______________________________________________________________________________
-
- Civil Jury Rules Against AT&T in Patent Violation Case February 9, 1992
- ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
- By Paul Deckelman (United Press International/UPI)
-
- NEW YORK -- A jury ruled American Telephone & Telegraph Company infringed upon
- somebody else's patent for telephone switching equipment and awarded the
- plaintiff $34.6 million, an attorney said.
-
- AT&T contends the suit is without merit and said it will appeal the verdict.
-
- The six-member jury at the federal district court in Midland, Texas, returned
- its verdict after having heard six days of testimony in the case, brought
- against the telecommunications giant by Collins Licensing L.P., of Dallas.
-
- The plaintiff's lawyer, Joseph Grear, of the Chicago-based firm of Rolf
- Stadheim Ltd., held out the possibility that the total award could go
- substantially higher, due to interest accruing back to 1985. An AT&T spokesman
- dismissed the possibility.
-
- U.S. District Court Judge Lucius Bunton is considering the jury's
- recommendation.
-
- Grear claimed AT&T's 5ESS digital central office switching device infringed
- upon a 1976 federal patent for a "Time Space Time (TST) Switch" awarded to the
- late Arthur A. Collins.
-
- Collins was the founder of Collins Radio Co., now a division of Rockwell
- International Inc., of El Segundo, California.
-
- "Arthur Collins was a pioneer in the field of digital telecommunications. The
- jury's verdict provides recognition of Mr. Collins' substantial research and
- development investment in, and important technical contributions to, the field
- of digital telephony," Grear said.
-
- AT&T's Network Systems division came out with the device in the early 1980s,
- using it for central-office telephone switching equipment used to route calls
- to the proper exchange and number.
-
- The suit, filed in December 1990, originally named Southwestern Bell, of
- Dallas, as a co-defendent. That portion of the case, however, was dismissed
- when the regional telephone company argued it had not violated the patent
- because it did not make the disputed switching equipment -- it had only bought
- it from AT&T.
-
- But AT&T contends that Collins' patent was not valid.
-
- Spokesman Curt Wilson said the Federal Patent Office is currently examining the
- patent in question in a separate proceeding at the request of both AT&T and
- Collins Licensing. "We think they will invalidate that patent and we won't
- have to pay," he said.
-
- There is no firm time frame for the anticipated Patent Office ruling.
-
- Wilson added that even if the patent is found by the government to have been
- valid, AT&T does not believe its equipment used Collins' discovery, and thus
- feels it did not infringe upon the patent.
-
- "The jury found in our favor on seven of the original eight counts of the
- suit," Wilson said, "and on the remaining claim, awarded them $34 million, 70
- times less than the amount they had originally sought."
-
- We believe this suit is totally without merit," the spokesman asserted. "The
- patent is not valid -- and we expect the patent office to agree."
- _______________________________________________________________________________
-
- User "Bill Of Rights" Introduced January 23, 1992
- ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
- TAMPA, FLORIDA.-- .The North American Directory Forum (NADF) introduced a "User
- Bill of Rights" to address security and privacy issues regarding entries and
- listings concerning its proposed cooperative public directory service. NADF
- members also approved continuing efforts on an experimental publish directory
- pilot at their eighth quarterly meeting.
-
- The "User Bill of Rights" addresses the concerns of the individual user or the
- user's agent, and is in response to issues brought to the attention of the
- NADF.
-
- Final plans were completed for the X.500 directory pilot scheduled to begin in
- the first quarter of this year. The pilot will be used by the NADF to validate
- its technical agreements for providing a publich directory service in North
- America. The agreements have been recorded in standing documents and include
- the services that will be provided, the directory schema and information
- sharing required to unify the directory. It will test the operation of X.500
- in a large-scale, multi-vendor environment.
-
- All NADF members are participating in the pilot. The members are AT&T, Bell
- Atlantic, BellSouth Advanced Networks, Bellcore representing US West, BT North
- America, GE Information Services, IBM, Infonet, MCI Communications Corp.,
- Pacific Bell, Performance Systems International, US Postal Service and Ziff
- Communications Co. Joining the NADF at this meeting are Canada Post
- Corporation and DirectoryNet, Inc.
-
- The NADF was founded in 1990 with the goal of bringing together major messaging
- providers in the U.S. and Canada to establish a public directory service based
- on X.500, the CCITT recommendation for a global directory service. The forum
- meets quarterly in a collaborative effort to address operational, commercial
- and technical issues involved in implementing a North American directory with
- the objective of expediting the industry's transition to a global X.500
- directory.
-
- This quarter's meeting was hosted by the IBM Information Network, IBM's
- value-added services network that provides networking, messaging, capacity and
- consulting services.
-
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
-
- USER BILL OF RIGHTS (for entries and listings in the Public Directory)
-
- The mission of the North American Directory Forum is to provide interconnected
- electronic directories which empower users with unprecedented access to public
- information. To address significant security and privacy issues, the North
- American Directory Forum introduces the following "User Bill of Rights" for
- entries in the Public Directory. As a user, you have:
-
- I. The right not to be listed.
- II. The right to have you or your agent informed when your entry is created.
- III. The right to examine your entry.
- IV. The right to correct inaccurate information in your entry.
- V. The right to remove specific information from your entry.
- VI. The right to be assured that your listing in the Public Directory will
- comply with US or Canadian law regulating privacy or access information.
- VII. The right to expect timely fulfillment of these rights.
-
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
-
- Scope of Intent - User Bill of Rights
-
- The North American Directory Forum is a collection of service providers that
- plan to offer a cooperative directory service in North America. This is
- achieved by interconnecting electronic directories using a set of
- internationally developed standards known as the CCITT X.500 series.
-
- In this context, the "Directory" represents the collection of electronic
- directories administered by both service providers and private operators. When
- an entry containing information about a user is listed in the Directory, that
- information can be accessed unless restricted by security and privacy controls.
-
- A portion of the Directory -- The Public Directory -- contains information for
- public dissemination. In contrast, other portions of the Directory may contain
- information not intended for public access. A user or user's agent may elect
- to list information in the Public Directory, a private directory, or some
- combination. For example, a user might publicly list a telephone number or an
- electronic mail address, and might designate other information for specific
- private use.
-
- The User Bill of Rights pertains to the Public Directory.
- Source: NADF, January 1992
-
-