11/14. The General Accounting Office (GAO) released a report [36 pages in PDF] titled "Information Security: Improvements Needed in Treasury's Security Management Program".

The GAO, which is an arm of the U.S. Congress, found that "The Department of the Treasury and its key bureaus have not consistently implemented information security controls to protect the confidentiality, integrity, and availability of their information systems and data."

The GAO continued that "longstanding information security weaknesses in access and software change controls, segregation of duties, and service continuity have been consistently identified at certain key Treasury bureaus, such as IRS and the Financial Management Service. Weaknesses at these bureaus place the sensitive information managed by the bureaus at increased risk of unauthorized access, use, disclosure, disruption, modification, or destruction. Moreover, bureaus have not consistently implemented key information security requirements. An analysis of performance data for the 11 Treasury bureaus that reported on these requirements for fiscal years 2002 and 2003 reveals that most Treasury systems did not meet certain key information security requirements in fiscal year 2003 and that the percentage of systems that meet certain requirements has decreased from fiscal year 2002".

The GAO also wrote that "The information security weaknesses and inconsistent implementation of security controls at Treasury bureaus exist, in part, because Treasury’s departmentwide security program, while evolving, has not yet been fully institutionalized across the entire department."

It concludes that "Until Treasury can fully implement its departmentwide program and adequately mitigate known weaknesses, increased risk exists that individuals could gain unauthorized access to critical hardware and software, and intentionally or inadvertently use, disclose, disrupt, modify, or destroy sensitive data or computer programs."

The report was prepared for Rep. Adam Putnam (R-FL) and Rep. William Lacy Clay (D-MO), the Chairman and ranking Democrat on the House Government Reform Committee's Subcommittee on Technology, Information Policy, Intergovernmental Relations and the Census.

11/12. Sen. Chris Dodd (D-CT), Sen. Olympia Snowe (R-ME), and Sen. Richard Durbin (D-IL) introduced S 1854, the "Digital Opportunity Investment Trust Act", a bill to create a trust, funded by 30% of spectrum auction revenues, to support a variety of technology related projects.

This bill provides that "The Secretary of the Treasury shall transfer each fiscal year quarter, through fiscal year 2020, from the general fund of the Treasury to the Trust, an amount equal to 30 percent of the cash payment received by the Federal Government during the preceding fiscal year quarter from (A) auctions of the publicly owned electromagnetic spectrum; and (B) fees derived from the usage of the publicly owned electromagnetic spectrum", excluding fees imposed by the FCC to defray its costs of "operations associated with the electromagnetic spectrum".

The bill provides that the trust shall be managed by a nine member board appointed by the President, and confirmed by the Senate.

The bill also enumerates the uses that may be made of the trust funds. These include, "(A) to help underwrite the digitization of the collections in the Nation's universities, museums, libraries, and cultural institutions; (B) to enable schools, community colleges, universities, libraries, museums, civic organizations, cultural, arts, and humanities centers, and nonprofit agencies or organizations ... to take advantage of innovative telecommunications and information technologies; (C) to support basic and applied research, development, and demonstrations of innovative-based learning systems, including assessment tools and other system components".

The list of permitted uses  also includes "(D) to develop applications of research, including the creation of prototypes, models, and pilot projects, as well as the initial production of content and software for digital and information technologies for use in educational curricula and other educational purposes, including job training, skills training, public safety, civic information, and lifelong learning; (E) to develop innovative technologies for training and dissemination of public information for safety and homeland security; (F) to develop new tools and means of dissemination for innovative advances in job training and retraining; and (G) to conduct assessments of legal, regulatory, and other issues ..."

The bill was referred to the Senate Commerce Committee.

This bill bears some similarities to HR 1396, the "Spectrum Commons and Digital Dividends Act of 2003", sponsored by Rep. Ed Markey (D-MA) and Rep. John Larson (D-CT).

11/13. The Securities and Exchange Commission (SEC) filed a civil complaint [48 pages in PDF] in U.S. District Court (SDCal) against three former officers of Gateway, Inc. -- Jeffrey Weitzen, John J. Todd, and Robert D. Manza. The complaint alleges violation of federal securities laws in connection with a "fraudulent earnings manipulation scheme".

The complaint states that "This case involves a fraudulent earnings manipulation scheme to meet Wall Street analysts' expectations by San Diego-based computer manufacturer Gateway, Inc. ("Gateway" or the "Company") and certain of its senior management during the second and third quarters of 2000. Through this scheme, and by making false statements and concealing from the investing public important information about its financial performance and the success of its personal computer ("PC") business, Gateway gave the false and misleading impression that, unlike many of its competitors, it was outpacing an industry trend of decreasing sales of personal computers. In fact, throughout 2000, Gateway's sales growth from personal computers was declining significantly -- a trend that Gateway's senior management went to great lengths to conceal from the public."

The SEC seeks injunctive relief, civil money penalties, disgorgement of ill-gotten gains, and orders permanently barring the defendants from serving as officers or directors of public companies.

Stephen Cutler, SEC Director of Enforcement, stated in a release that the SEC "continues to be absolutely committed to investigating and bringing complex financial fraud actions like this one. A fraud achieved through numerous small accounting tricks, as here, is just as harmful to investors as any other. We will hold accountable individuals who produce deceptive financial results, no matter what means they use."

The SEC also brought and simultaneously settled a related administrative action against Gateway. See, order instituting cease and desist proceeding. See also, Gateway release.

11/14. The U.S. Court of Appeals (DCCir) issued its opinion [13 pages in PDF] in Ranger Cellular v. FCC (No. 02-1155), an appeal from an order of the Federal Communications Commission (FCC) rejecting Ranger Cellular's and Miller Communication's (appellants) challenge to four licenses issued by the FCC to provide cellular phone service in rural markets.

Previously, on July 1, 2003, the Appeals Court issued an opinion [12 pages in PDF] in Ranger Cellular v. FCC (No. 02-1093), denying petitions for review of the FCC's award of the cellular licenses. This opinion was reported at 333 F.3d 255. See also, story titled "DC Circuit Rules in Ranger Cellular v. FCC" in TLJ Daily E-Mail Alert No. 693, July 8,2003.

The FCC previously awarded licenses for use of spectrum through either a comparative hearing or a lottery. The appellants filed applications in 1988 and 1989 to participate in a lottery for Rural Service Area (RSA) cellular telephone licenses. The FCC awarded most of the licenses, but by the mid 1990s six licenses for RSAs were still pending due to the disqualification or withdrawal of the original winner.

In the present opinion, the Appeals Court held that the appellants lack standing to challenge the validity of the licenses. It dismissed for want of jurisdiction. Also, the Court held that appellants have standing to challenge the FCC's denial of their alternative demand for a refund of their filing fees; however, the Court affirmed that denial because it was based on a reasonable reading of the FCC's regulation.

Judge Garland wrote the opinion. Judges Edwards and Randolph joined.

This case is Ranger Cellular and Miller Communications, Inc. v. FCC and USA, appellees, Commnet of Florida LLC, et al., intervenors, U.S. Court of Appeals for the District of Columbia, No. 02-1155, an appeal of a final order of the FCC.

11/13. Tom DiLenge was named Chief Counsel and Policy Director of the House Select Committee on Homeland Security. He is currently Deputy Chief Counsel for House Commerce Committee's Oversight and Investigations Subcommittee. He has worked for the Commerce Committee for six years. Steve DeVine was named Deputy Staff Director and General Counsel. He is currently the Committee’s Senior Advisor for Intelligence and Information Sharing and a Senior Counsel. He replaces Uttam Dhillon, who went to the Department of Justice in October. See, release.

11/14. The Department of Homeland Security (DHS) issued a release summarizing the activities and operations of its Homeland Security Advanced Research Projects Agency (HSARPA).

11/14. The Federal Trade Commission (FTC) filed a Stipulated Final Order for Permanent Injunction [15 pages in PDF] with the U.S. District Court (SDNY) in FTC v. Tecnozone International, a civil action against con artists purporting to sell products that block harmful radiation from cell phones and video display units. See also, FTC release. This case is FTC v. Tecnozone International, LLC, Tecnozone America LLC, Marvin Jemal, Stephen Jemal, and Jacob Dresdner, U.S. District Court for the Southern District of New York, No. 03 CV 9000.

11/13. The Federal Communications Commission's (FCC) Office of Engineering and Technology (OET) and the International Bureau reported on implementation of the results of the 2003 World Radiocommunication Conference at the FCC's Commission meeting on Thursday, November 13. See, FCC release [2 pages in PDF] and statement [PDF] by FCC Chairman Michael Powell.

11/13. The Federal Communications Commission (FCC) announced, but did not release, a Notice of Proposed Rulemaking (NPRM) regarding earth stations on board vessels that are used to provide broadband telecommunications services on passenger, government, cargo, and recreational vessels. The FCC issued only a short press release [PDF] summarizing the NPRM. This is FCC 03-286 in IB Docket No. 02-10.

The House will meet at 12:30 PM for morning hour and at 2:00 PM for legislative business. It will consider numerous not tech related items under suspension of the rules. Votes will be postponed until 6:30 PM. See, Republican Whip notice.

The Senate will meet at 12:00 NOON to resume consideration of HR 2861, the Departments of Veterans Affairs and Housing and Urban Development Appropriations Act, Fiscal Year 2004. At 4:30 PM, the Senate will consider the conference report to accompany HR 2115, the Federal Aviation Administration Reauthorization Act, Fiscal Years 2004-2006

11:00 - 12:30 PM. The Heritage Foundation will host an event titled "Preserving Privacy, Providing Security: Information And Technology At The DHS". The speakers will be Nuala Kelly (Chief Privacy Officer of the Department of Homeland Security) and Paul Rosenzweig (Heritage Foundation). See, notice. Location: Heritage Foundation, Lehrman Auditorium, 214 Massachusetts Ave., NE.

1:30 PM. Secretary of Homeland Security Tom Ridge and Under Secretary Charles McQueary will speak at a meeting of the Department of Homeland Security University Scholars and Fellows American Association for the Advancement of Science. Location: 1200 New York Ave., NW.

5:30 PM. The Senate Judiciary Committee will hold an executive business meeting. See, notice. Press contact: Margarita Tapia (Hatch) at 202 224-5225 or David Carle (Leahy) at 202 224-4242. Location: Room S-216, Capitol Building.

5:45 PM. Charles McQueary, Under Secretary of Homeland Security, will speak at the International Mechanical Engineering Congress and Expo. Location: Marriot Wardman Park, Ballroom Salon 3, 2660 Woodley Road, NW.

Deadline to submit written comments to the Trade Policy Staff Committee (TPSC) regarding negotiations with Bahrain on a free trade agreement (FTA). The TPSC seeks comments and testimony to assist the Office of the U.S. Trade Representative (USTR) on many topics, including "Relevant trade-related intellectual property rights issues that should be addressed in the negotiations" and "Existing barriers to trade in services between the United States and Bahrain that should be addressed in the negotiations". See, notice in the Federal Register, August 25, 2003, Vol. 68, No. 164, at Pages 51062 - 51064.

TIME? The Department of Homeland Security's (DHS) Homeland Security Advanced Research Projects Agency (HSARPA) will host a one-day workshop "to obtain feedback from industry on how businesses want to work with the Department's research and development program. The goal is to gather input on best practices and to optimize the solicitation, bid, procurement and program execution process for both industry and HSARPA." See, DHS release. Location?

The House will meet at 9:00 AM for morning hour and at 10:00 AM for legislative business. The House may take up HR 3140, the "Fairness to Contact Lens Consumers Act", a bill that would facilitate the sale of contact lenses in electronic commerce. See, Republican Whip notice.

8:00 AM - 5:30 PM. The Department of Commerce's (DOC) National Institute of Standards and Technology's (NIST), Judges Panel of the Malcolm Baldrige National Quality Award will hold the first day of a four day closed meeting. See, notice in the Federal Register, October 27, 2003, Vol. 68, No. 207, at Pages 61189 - 61190. Location: NIST, Building 222, Red Training Room, Gaithersburg, MD.

8:30 - 10:30 AM. The Center for Strategic and International Studies (CSIS) will host a panel discussion titled "Cybersecurity, Disclosure and the role of Government". The speakers will include Robert Holleyman (Business Software Alliance), Art Coviello (RSA Security), Robert Dix (Staff Director, House Government Reform Committee, Subcommittee on Technology and Information Policy), Bruce Heiman (Preston Gates), Greg Garcia (Information Technology Association of America), Cary Klafter (Intel), Tiffany Jones (Symantec), James Lewis (CSIS), and Rep. Zoe Lofgren (D-CA). Location: Room 2203, Rayburn Building.

9:00 AM - 4:15 PM. The Federal Communications Commission (FCC) will hold electronic licensing and filing systems training (ECFS, EDOCS, ULS, CDBS and IBFS). Location: FCC, 445 12th Street, SW, Room TW-C305 (Commission Meeting Room).

9:30 AM. The U.S. Court of Appeals (DCCir) will hear oral argument in Mountain Communications, Inc. v. FCC, No. 02-1255. Judges Sentelle, Garland and Silberman will preside. Location: 333 Constitution Ave., NW.

9:30 AM. The Senate Judiciary Committee will hold a hearing "to examine America after the 9/11 terrorist attacks". The witnesses will include former Rep. Bob Barr (R-GA), Viet Dinh (Professor at Georgetown University Law Center, and former Assistant Attorney General in charge of the Office of Legal Policy), James Zogby (Arab American Institute), James Dempsey (Center for Democracy and Technology), Robert Cleary (Proskauer Rose), Nadine Strossen (ACLU), and Muzaffar Chishti (New York University School of Law). See, notice. Press contact: Margarita Tapia (Hatch) at 202 224-5225 or David Carle (Leahy) at 202 224-4242. Location: Room 226, Dirsksen Building.

10:00 AM. The Senate Finance Committee will hold a hearing on the nomination of Arnold Havens to be General Counsel for the Department of the Treasury. Location: Room 215, Dirksen Building.

12:00 NOON - 2:00 PM. Progress & Freedom Foundation (PFF) will host a panel discussion on "communications sector regulations". The speakers will be Kenneth Arrow (Stanford University), Robert Solow (MIT), and Dennis Carlton (University of Chicago). See, notice. Arrow is an emeritus professor of economics whose Nobel prize winning career is built upon his "Arrow's Theorem"; see, Social Choice and Individual Values, first published in 1951. Location: Room 124, Dirksen Building.

12:15 PM. James Rogan, head of the U.S. Patent and Trademark Office (USPTO) will give a speech titled "USPTO's 21st Century Strategic Plan and its Benefits to Independent Inventors and Entrepreneurs" at the 8th Annual Independent Inventors Conference. See, notice. Location: The Franklin Institute, 20th Street and the Benjamin Franklin Parkway, Philadelphia, PA.

12:15 PM. The Federal Communications Bar Association's (FCBA) Cable Practice Committee will host a brown bag lunch. The speaker will be Stacy Fuller, Legal Advisor to FCC Commissioner Kathleen Abernathy. RSVP to ttruong@dlalaw.com. Location: Dow Lohnes & Albertson, 1200 New Hampshire Ave., NW, 8th Floor.

2:30 PM. The Senate Governmental Affairs Committee will hold a hearing on the nomination of James Loy to be Deputy Secretary of Homeland Security. Room 342, Dirksen Building.

4:00 PM. The Senate Armed Services Committee will hold a hearing to examine the nomination of Michael Wynne to be Under Secretary of Defense for Acquisition, Technology, and Logistics. Location: Room 222, Russell.

The House will meet at 10:00 AM for legislative business. The House may take up HR 3140, the "Fairness to Contact Lens Consumers Act", a bill that would facilitate the sale of contact lenses in electronic commerce. See, Republican Whip notice.

8:00 AM - 5:30 PM. The Department of Commerce's (DOC) National Institute of Standards and Technology's (NIST), Judges Panel of the Malcolm Baldrige National Quality Award will hold the second day of a four day closed meeting. See, notice in the Federal Register, October 27, 2003, Vol. 68, No. 207, at Pages 61189 - 61190. Location: NIST, Building 222, Red Training Room, Gaithersburg, MD.

9:00 AM. Day one of a two day meeting of the Department of Commerce's (DOC) Bureau of Industry and Security's (BIS) Information Systems Technical Advisory Committee. This meeting will be partially closed. The agenda of the open portion of the meeting on November 19 includes a discussion of field programmable gate arrays. See, notice in the Federal Register, November 3, 2003, Vol. 68, No. 212, at Pages 62279. Location: DOC, Hoover Building, 14th Street Pennsylvania and Constitution Avenues, Room 3884.

9:30 or 10:00 AM? The Senate Judiciary Committee will hold a hearing on pending judicial nominations. The agenda includes William Haynes, who has been nominated to be a Judge of the U.S. Court of Appeals for the 4th Circuit. See, notice. Press contact: Margarita Tapia (Hatch) at 202 224-5225 or David Carle (Leahy) at 202 224-4242. Location: Room 226, Dirsksen Building.

10:00 AM. The House Commerce Committee's Subcommittee on Commerce, Trade, and Consumer Protection will hold a hearing titled "Cybersecurity & Consumer Data: What's at Risk for the Consumer?". The witnesses will include FTC Commissioner Orson Swindle. The hearing will be webcast. See, notice. Press contact: Ken Johnson or Jon Tripp at 202 225-5735. Location: Room 2123, Rayburn Building.

10:30 AM. The House Commerce Committee's Subcommittee on Telecommunications and the Internet will hold a hearing titled "Digital Dividends and Other Proposals to Leverage Investment in Technology". The hearing will be webcast by the Committee. Press contact: Ken Johnson or Jon Tripp at 202 225-5735. See, notice. Location: Room 2322, Rayburn Building.

12:00 NOON. The Federal Communications Bar Association's (FCBA) Transactional Practice Committee will host a brown bag lunch. For more information, contact Laurie Sherman laurabsherman@hotmail.com. Location: Latham & Watkins, 555 11th Street, NW.

12:15 PM. The Federal Communications Bar Association's (FCBA) Online Communications Committee will host a brown bag lunch. The topic will be "FCC's Cable Broadband Access Order". The speakers will be Mike Schooler (NCTA), Cheryl Leanza (Media Access Project), and Geoff Cook (Cole Raywid). RSVP to Evelyn Opany at 202 689-7163. Location: Piper Rudnick, 1200 19th Street, NW.

The House will meet at 10:00 AM for legislative business. The House may take up HR 3140, the "Fairness to Contact Lens Consumers Act", a bill that would facilitate the sale of contact lenses in electronic commerce. See, Republican Whip notice.

8:00 AM - 5:30 PM. The Department of Commerce's (DOC) National Institute of Standards and Technology's (NIST), Judges Panel of the Malcolm Baldrige National Quality Award will hold the third day of a four day closed meeting. See, notice in the Federal Register, October 27, 2003, Vol. 68, No. 207, at Pages 61189 - 61190. Location: NIST, Building 222, Red Training Room, Gaithersburg, MD.

8:30 AM - 4:00 PM. The Federal Communications Commission's (FCC) Consumer Advisory Committee (CAC) will hold a meeting. See, notice and agenda [4 pages in PDF] and notice in the Federal Register, October 31, 2003, Vol. 68, No. 211, at Pages 62078 - 62079. The FCC has stated that the start time is 8:30 AM and 9:00 AM. Location: FCC, Room TW-C305, 445 12th Street, SW.

8:30 AM. The Computing Research Association will hold a press conference on "Cyber Security Research and Development". For more information, contact Carla Romero at 234-2111 x 107. Location: Holeman Lounge, National Press Club, 529 14th St. NW, 13th Floor.

9:00 AM. Day two of a two day meeting of the Department of Commerce's (DOC) Bureau of Industry and Security's (BIS) Information Systems Technical Advisory Committee. This meeting will be partially closed. See, notice in the Federal Register, November 3, 2003, Vol. 68, No. 212, at Pages 62279. Location: DOC, Hoover Building, 14th Street Pennsylvania and Constitution Avenues, Room 3884.

9:30 AM. The U.S. Court of Appeals (DCCir) will hear oral argument in CA Metro Mobile Communications v. FCC, No. 02-1370. Judges Sentelle, Henderson and Garland will preside. Location: Courtroom 20, 333 Constitution Ave. NW.

9:45 - 11:00 AM. The Republican Technology Council (RTC) will host an event titled "Stock Options; To Expense or Not". The speakers will include Sen. John Ensign (R-NV) and Sen. Michael Enzi (R-WY). RSVP to David Miller at 202 467-0045 or Miller@fedgovlink.com. Location: TBA.

10:30 to 11:30 AM. Dane Snowden, Chief of the Federal Communications Commission's (FCC) Consumer & Governmental Affairs Bureau, will hold a media briefing on consumer issues, including the soon-to-be implemented wireless local number portability rules. Location: Conference Room 5, 8th floor, FCC Headquarters, 445 12th St., SW.

12:00 NOON - 1:30 PM. The Congressional Internet Caucus Advisory Committee will host a panel discussion titled "Internet in Asia: Is the US Falling Behind?". The speakers will include Motohiro Tsuchiya (Senior Research Fellow, Center for Global Communications, International University of Japan), Yasu Taniwaki (Economic Counselor and Telecom Attaché, Embassy of Japan) and Jonas Neihardt (VP for Federal Government Affairs, Qualcomm). Lunch will be served. RSVP to rsvp@netcaucus.org or 202-638-4370. Location: Room HC-5, Capitol Building.

12:00 PM. The Department of Commerce's (DOC) Technology Administration (TA) will release a report on federal laboratory practices that are contributing to local economic development efforts. Assistant Secretary Bruce Mehlman will speak. Location: ?

6:00 - 9:15 PM. The D.C. Bar Association will host a CLE course titled "How to Litigate an Intellectual Property Case Series: Part 1 How to Litigate a Patent Case". Prices vary. For more information, call 202 626-3488. Location: D.C. Bar Conference Center, 1250 H Street NW, B-1 level.

TIME? Neil Netanel (University of Texas Law School) will give a lecture titled "Copyright and First Amendment: Eldred v. Ashcroft and Beyond". See, Supreme Court opinion [89 pages in PDF], and TLJ story titled "Supreme Court Upholds CTEA in Eldred v. Ashcroft", January 15, 2003. This is a part of Georgetown University Law Center's (GULC) Colloquium on Intellectual Property & Technology Law Series. For more information, contact Julie Cohen at 202 662-9871. Location: GULC, 600 New Jersey Ave., NW.

The House will meet at 9:00 AM for legislative business. The House may take up HR 3140, the "Fairness to Contact Lens Consumers Act", a bill that would facilitate the sale of contact lenses in electronic commerce. See, Republican Whip notice.

8:00 AM - 3:00 PM. The Department of Commerce's (DOC) National Institute of Standards and Technology's (NIST), Judges Panel of the Malcolm Baldrige National Quality Award will hold the fourth day of a four day closed meeting. See, notice in the Federal Register, October 27, 2003, Vol. 68, No. 207, at Pages 61189 - 61190. Location: NIST, Building 222, Red Training Room, Gaithersburg, MD.

2:00 PM. The Federal Communications Commission (FCC) International Bureau (IB) will host a public meeting "to officially kick off the design phase for planned enhancements to its electronic filing system, IBFS". Location: FCC, 445 12th Street, SW, Room, Room CYB418/511.

Deadline to submit comments to the Department of Commerce's Bureau of Industry and Security (BIS) regarding its foreign policy-based export controls. This category includes high performance computers, encryption items, as well as chemical and biological agents, missiles, and "implements of torture". See, notice in the Federal Register, October 21, 2003, Vol. 68, No. 203, at Pages 60050-60052.

The Department of State's (DOS) United States International Telecommunication Advisory Committee, Telecommunication Standardization Sector (ITAC-T), will meet electronically from November 21 through November 26, 2003 to comment on and approve normal contributions to the ITU-T Study Group 13 meeting, which will be held February 3-13, 2004. See, notice in the Federal Register, October 31, 2003, Vol. 68, No. 211, at Pages 62158.