Here is the text of the articles concerning the NSA key(s) that
appear to be coded into M$ Windows products.

Regards,
Dale Mentzer

------- Forwarded Message Follows -------

http://www.cryptonym.com/hottopics/msft-nsa.html

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Subject:           [FP] NSA Builds Security Access Into Windows
     Date:           Sat, 4 Sep 1999 14:41:05 -0500
       To:           "ScanThisNews Recipients List" <[EMAIL PROTECTED]>
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SCAN THIS NEWS
9/4/99

[Three articles on Microsoft Windows hidden government-access keys]

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NSA Builds Security Access Into Windows

http://www.techweb.com/wire/story/TWB19990903S0014

(09/03/99
By Duncan Campbell, TechWeb

A careless mistake by Microsoft programmers has shown that special access
codes for use by the U.S. National Security Agency (NSA) have been secretly
built into ALL VERSIONS OF THE WINDOWS OPERATING SYSTEM.

Computer-security specialists have been aware for two years that unusual
features are contained inside a standard Windows driver used for security
and encryption functions. The driver, called ADVAPI.DLL, enables and
controls a range of security functions including the Microsoft Cryptographic
API (MS-CAPI). In particular, it authenticates modules signed by Microsoft,
letting them run without user intervention.

At last year's Crypto 98 conference, British cryptography specialist Nicko
van Someren said he had disassembled the driver and found it contained two
different keys. One was used by Microsoft to control the cryptographic
functions enabled in Windows, in compliance with U.S. export regulations.
But the reason for building in a second key, or who owned it, remained a
mystery.

Now, a North Carolina security company has come up with conclusive evidence
the second key belongs to the NSA. Like van Someren, Andrew Fernandez, chief
scientist with Cryptonym of Morrisville, North Carolina, had been probing
the presence and significance of the two keys. Then he checked the latest
Service Pack release for Windows NT4, Service Pack 5. He found Microsoft's
developers had failed to remove or "strip" the debugging symbols used to
test this software before they released it. Inside the code were the labels
for the two keys. One was called "KEY." The other was called "NSAKEY."

Fernandez reported his re-discovery of the two CAPI keys, and their secret
meaning, to the "Advances in Cryptology, Crypto'99" conference held in Santa
Barbara. According to those present at the conference, Windows developers
attending the conference did not deny the "NSA" key was built into their
software. But they refused to talk about what the key did, or why it had
been put there without users' knowledge.

But according to two witnesses attending the conference, even Microsoft's
top crypto programmers were stunned to learn that the version of ADVAPI.DLL
shipping with Windows 2000 contains not two, but three keys. Brian LaMachia,
head of CAPI development at Microsoft was "stunned" to learn of these
discoveries, by outsiders. This discovery, by van Someren, was based on
advance search methods which test and report on the "entropy" of programming
code.

Within Microsoft, access to Windows source code is said to be highly
compartmentalized, making it easy for modifications to be inserted without
the knowledge of even the respective product managers.

No researchers have yet discovered a programming module which signs itself
with the NSA key.
Researchers are divided about whether it might be intended to let U.S.
government users of Windows run classified cryptosystems on their machines
or whether it is intended to open up anyone's and everyone's Windows
computer to intelligence gathering techniques deployed by the NSA's
burgeoning corps of "information warriors."

According to Fernandez of Cryptonym, the result of having the secret key
inside your Windows operating system "is that it is tremendously easier for
the NSA to load unauthorized security services on all copies of Microsoft
Windows, and once these security services
are loaded, they can effectively compromise your entire operating system".
The NSA key is contained inside all versions of Windows from Windows 95 OSR2
onward.

"For non-American IT managers relying on WinNT to operate highly secure data
centers, this find is worrying," he added. "The U.S government is currently
making it as difficult as possible for 'strong' crypto to be used outside of
the U.S. That they have also installed a cryptographic back-door in the
world's most abundant operating system should send a strong message to
foreign IT managers.

"How is an IT manager to feel when they learn that in every copy of Windows
sold, Microsoft has installed a 'back door' for the NSA -- making it orders
of magnitude easier for the U.S. government to access your computer?" he
said.

Van Someren said he felt the primary purpose of the NSA key might be for
legitimate U.S. government use. But he said there cannot be a legitimate
explanation for the third key in Windows 2000 CAPI. "It looks more fishy,"
he said on Friday.

Fernandez said he believed the NSA's built-in loophole could be turned round
against the snoopers. The NSA key inside CAPI could be replaced by your own
key, and used to sign cryptographic security modules from overseas or
unauthorized third parties, unapproved by Microsoft or the NSA. This is
exactly what the U.S. government has been trying to prevent.

A demonstration "how to do it" program that replaces the NSA key can be
found on Cryptonym's website.

According to one leading U.S. cryptographer, the IT world should be thankful
the subversion of Windows by NSA has come to light before the arrival of
CPUs that handle encrypted instruction sets. These would make the type of
discoveries made this month impossible. "Had the next-generation CPUs with
encrypted instruction sets already been deployed, we would have never found
out about NSAKEY," he said.

------------------------------------------------------

See also "Microsoft, the NSA, and You" posted at
http://www.cryptonym.com/hottopics/msft-nsa.html

------------------------------------------------------

======================================================

-----Original Message-----
Sent: Saturday, September 04, 1999
Subject: More on NSA Key: "Mysterious Component"

Source:  New York Times
http://www.nytimes.com/library/tech/99/09/biztech/articles/04soft.html

September 4, 1999

A Mysterious Component Roils Microsoft

By JOHN MARKOFF

SAN FRANCISCO -- A cryptographer for a Canadian software firm, dissecting a
piece of Microsoft security software, made an unexpected find: an element
in the Windows operating system labeled "NSAKey."

When his discovery was made known on his company's Web site Friday, it set
off a firestorm of Orwellian visions in Internet discussion groups.

Was the buried software component, as the cryptographer surmised, a Trojan
horse that gave the National Security Agency a hidden back door into the
world's computers? Or was it merely a Microsoft programmer's remarkably bad
choice of language in a software system designed to protect electronic
communications and commerce?

Microsoft executives insisted that there was no Big Brother feature in the
software. "The big answer is that these charges are completely false," said
Scott Culp, a security product manager at Microsoft.

And the National Security Agency, which gathers electronic signal
intelligence worldwide and is responsible for the security of the
Government's computers, issued a terse three-sentence news release
distancing itself from the controversy, saying, "Questions about specific
products should be addressed to the company."

Microsoft officials acknowledged that the episode was in any case a black
eye for the world's largest software publisher.

"We're going to pay and pay and pay for this," said one of the company's
security experts, who spoke on the grounds that he not be identified.

In recent months Microsoft has become a lightning rod for criticism of its
products' security and has had to deal with several gaffes, including the
discovery last week of a security flaw that exposed the e-mail of users of
its Hotmail service.

The latest uproar was set off by Andrew Fernandes, a mathematician in
Research Triangle Park, N.C., who is chief scientist of the Cryptonym
Corporation, a small Canadian software firm that is developing computer
security products.

Fernandes first presented his findings at a technical meeting last month in
Southern California, but word did not spread more broadly until today, when
a news release was posted on the Cryptonym Web site.

In a telephone interview, Fernandes said he had made his discovery while
exploring and trying to replicate the security software in Microsoft's
Windows and Windows NT operating systems.

The operating systems make use of a key -- a large number -- to
authenticate software components, providing confidence that a component is
correctly identified and has not been tampered with. For example, when new
encryption functions are added for security, the key verifies that they
comply with Government regulations.

Cryptographers had previously noted the existence of a second key whose use
they could not account for. What Fernandes found in the program was an
identifying tag, disguised in earlier versions. And the label was "NSAKey."

The discovery shocked him, Fernandes said, adding, "It doesn't make any
sense why they would put in a second key."

He concluded that the key represented a serious security flaw that would
leave Microsoft's operating system vulnerable to intrusion. "The result is
that it is tremendously easier for the N.S.A. to load unauthorized security
services on all copies of Microsoft Windows, and once these security
services are loaded, they can effectively compromise your entire operating
system," his news release asserted.

But at Microsoft, Culp said the key labeled NSAKey was a backup permitting
Microsoft to authenticate encryption components if the first key was
damaged. And he said the name was simply unfortunate.

Because the key insures compliance with Federal export laws, and the
National Security Agency is the authority responsible for reviewing
software and hardware products intended for foreign use, the component has
been referred to colloquially at Microsoft as the "NSA key," he said. But
Culp insisted that the key was not shared with any outside party, including
the N.S.A.

"We protect it with dobermans and barbed wire," he said. "Conspiracy
theorists are worked up about this, but real life is more boring."

Security and privacy experts were generally skeptical about the notion that
Microsoft was cooperating with the nation's electronic intelligence agency.

Microsoft has vocally opposed proposals by law-enforcement and intelligence
agencies that would give them electronic back doors to monitor computer
data.

Some security experts said that even if there was no sinister explanation
for the NSAKey, Microsoft should not add components to its security
software system without publicly identifying them.

"They've debased their currency once again by not disclosing this," said
Mark Seiden, chief consultant for the information security group
Kroll-Ogara.

Microsoft executives said there had been no reason to publicize the backup
key. "It was not something that anyone had expressed any interest in," Culp
said.

And in any case, the Big Brother that Fernandes said he had discovered
turned out to have an Achilles heel. He said he had been able to develop a
small program that strips out the second key.

 Copyright 1999 The New York Times Company

========================================

Crypto expert: Microsoft products leave door open to NSA

http://cnn.com/TECH/computing/9909/03/windows.nsa/

September 3, 1999

(CNN) -- A cryptography expert says that Microsoft operating systems include
a back door that allows the National Security Agency to enter systems using
one of the operating system versions.

The chief scientist at an Internet security company reported the flaw at a
recent conference in Santa Barbara where he discussed a "key" entrance into
the cryptographic standard used in Microsoft Windows products. That includes
Windows 95, Windows 98, Windows NT4 and Windows2000.

"It turns out that there are really two keys used by Windows; the first
belongs to Microsoft, and it allows them to securely load (the cryptography
services)," said Andrew Fernandes in a press release. Fernandes works for
Cryptonym, a company based in Ontario.

The press release states "the second belongs to the NSA. That means that the
NSA can also securely load (the services) on your machine, and without your
authorization."

The discovery "highly suggests" that the NSA has a key it could use to enter
encrypted items on anybody's Windows operating system, said Ian Goldberg,
chief scientist at Zero-Knowledge Systems. Goldberg was among a few dozen
people in the audience at the conference when Fernandes dropped his bomb.

The session occurred just before midnight so no one saw it coming, he said,
but the audience was shocked.

"If you're trying to keep messages private, it's possible that they are not
as private as you thought they were," Goldberg said.

Zero-Knowledge Systems is about to release a security product built
specially to make such security flaws impossible, he said.

Microsoft was not immediately available for comment.

It is unclear why or if Microsoft cooperated with the NSA on the key to its
"CryptoAPI," the standard interface to its cryptography services, Goldberg
said.

[end forwarded articles]
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