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Click Here: <A HREF="http://cryptome.org/echelon-ch.htm">Did Swisscom Sell
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20 November 2000. Thanks to WM

Source: http://www.dimanche.ch/article.asp?ID=912



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Dimanche (Switzerland)

November 19, 2000



Did Swisscom sell our Secrets to the USA?



Swisscom may have violated an agreement made with the Confederation by
selling sensitive installations to the Americans of Verestar.

The military suspects that this company is related to the Echelon network for
interception.

The Commission of Security of the Council of the States worries about
"sovereignty about Switzerland."

Jean-Philippe Ceppi

Claude Ansermoz

Emmanuelle Marendaz

The Swiss mountains have ears. But who benefits from their listening? A true
wind of panic has blown for a few days at the policies, which fear the
infiltration of our installations of telecommunication by foreign forces. At
an extraordinary meeting Friday of the Commission of Security Policy of the
Council of the States, the senators decided to file a motion at the next
session of the Federal Assembly on November 27, on "the problem of the
sovereignty of the country caused by the sale by Swisscom of its
telecommunications networks," indicated to us yesterday by the advisers to
the States Christiane Langenberger (rad./VD) and Theo Maissen (PDC/GR),
Members of the Commission. "We also wrote the Federal Council to urge it to
take account of the gaps of the legislation," adds the president of the
commission, Pierre Paupe (PDC/JU).

If the sovereignty of Switzerland east is so seriously threatened, it is that
the uncontrolled sale of the installations of Swisscom could be used by other
governments to reveal our secrets. In an official statement emanating October
23 from the commission, the members of Parliament already had declared
themselves "surprised and irritated" by "the speed of the decisions" of
Swisscom in the sale of its inheritance. But this week, like revealed it
Freedom in its edition of Thursday, the Members of the Commission were truly
alerted dangers posed by the sale envisaged of the antennas of Swisscom
following a talk of the chief of the general staff Hans-Ulrich Scherrer.

The army double-crossed by Swisscom?

According to our information, it is a transaction already carried out which
causes truly concern at the Federal Department of Defense: that of the
parabolic aerials of Lo�che, Were worth some, and of seven other stations in
Geneva, Basle and Zurich at the American company Verestar on last 4 October.
According to a high person in charge close to the case, the Federal Council
was informed by twice, this week still, of "strong suspicions" of the
military according to whom this American company would be related to the
National Security Agency (NSA), to as much say the electronic services of
information of the United States, which directs the famous Echelon network.
The risk would exist as well as Switzerland can be spied on thanks to the
installations which it itself built, or which it basic serf with this type of
activities.

Always according to this same source, the Federal Department of Defense "was
doubled-crossed," to some extent, by Swisscom. For an agreement signed on
last 20 March provides that any important sale carried out by Swisscom is to
be preceded by a green light from the Confederation. According to Hugo
Schittenhelm, spokesman of the Federal Department of the Environment,
Transport, Energy and Communication, Swisscom must submit for approval any
contract which can call in question "the public interest and security
policy." However, Dimanche learned that Swisscom would never have informed
the military of the sale of the antennas of Lo�che. What Swisscom question:
for its spokesman, Christian Neuhaus, not only "the military were integrated
in the decision-making process," but in more "the agreement relates to only
the sales representing a certain volume of businesses." In fact, according to
spokesman, the sale of the antennas of Lo�che was not "not a large business."
The mystery remains however on the full price of the transaction. Swisscom
saw a good bargain there, for the station of Lo�che was underused, says a
technician on the spot. Its destruction had even been considered, Swisscom
suggest.

But the concern does not come from the benefit of Swisscom, naturally. What
worries, it is the nature of what the large ears can transmit - and thus
intercept, faith of engineer! Approximately, not only of the radio waves and
the programs of television, but also of the data internet as well as
transmissions of cellular telephony or fixes, in short, all that the ground
sees passing from communications. For Verestar, which is presented in the
form of a specialist in "the transmission of the voice and data as well as
services internet for the American Government and ships of cruising," the
acquisition of the antennas of Lo�che is "a first point of anchoring in
Europe " and will make it possible "to make the connection with all the
satellites located above the Indian Ocean," affirmed at the time of the
purchase Alan Box, vice-president and general manager of Verestar.

New negotiations

As regards Swiss military, it does not go so far as to repeat in public the
suspicions entrusted to the Commission of Secuirty Policy and the Federal
Council. "We do not perform counter-espionage because it is not with the
army, but with the Public Ministry of the Confederation to judge if this
company works for the American intelligence," says Philippe Zahno, spokesman
of the staff.

According to him, all the installations which belonged before to Swisscom
must be the subject of new negotiations between the repreneurs and the
Confederation: "They is tedious, of as much more if these businesses become
foreign properties. There are the psychological side dependent on the loss of
an inheritance, but also the problem of the maintenance of the secrecy as for
the contents and the capacity of these installations. We do not want that
this information becomes public, for they could involve a threat for the
safety of the country." It is thus an open secret: the large ears of Lo�che
can be coveted by the mediums of espionage. The Confederation itself develops
its own monitoring system thanks to antennas similar to Lo�che within the
framework of the project Satos 3, intended to prevent "the threats related on
technology, terrorism and the nuclear proliferation." With still the
installations of the Program of the United Nations for the environment, whose
mission is to supervise the ecological state of planet, that done many
people, in Lo�che, to open large the ears...

Chronology

20 March 2000

March an agreement between Swisscom and the Confederation stipulates that the
sales of installations of the old control will have to be subjected to the
approval of the State.

4 October

The American company Verestar repurchases the parabolic aerials of Swisscom.

23 October

The Commission of the policy of safety of the Council of the States states to
react with "surprised and irritation to the plans of Swisscom ".

8 November

A first oral report/ratio alarms the federal Council on the dangers of the
sales of Swisscom.

13 November

The chief of the general staff informs the Commission of the policy of safety
of the risks posed with the safety of the country.

15 November

The federal Conseil is informed written file.

17 November

The Commission of the policy of safety of the Council of the States decides
in extraordinary session to deposit a motion on "the problem of the
sovereignty of the country in the sale of the installations of Swisscom."

The turbid bonds of Verestar

Verestar is a provider specialist in the internet and communication without
wire. This subsidiary company of American Tower Corporation (Boston,
Massachusetts) does not seem directly not connected, first of all, with the
activities of listening of the American secret service. However, Verestar
acquired, these last years, several earth stations of transmission per
satellite (SNAP). It is one of these SNAP which it bought in Swisscom with
Lo�che. It now has of it ten in the world. Verestar also manages 160 stations
of smaller size, including seven bought by the "blue giant" in Basle, Zurich
and Geneva.

The only collaboration acknowledged between Verestar and the American
Government are a contract between its division of maritime telecommunications
and the US Navy. It provides telephone services to deploy its fleet.
Contacted to comment on its business with the American navy and its purchases
with Swisscom, Verestar, based in Fairfax (Virginia), did not turn over our
calls.

More interesting, Verestar provides connected direct to major hubs of
communication internet, Metropolitan Area Ethernets (MAE). In a recent
report/ratio entitled "Interception Capabilities 2000", the European
Parliament pointed a finger at these MAE and other Internet sites as being
the "eavesdroppers" of the National Security Agency (NSA) on the Internet.

For a former high-ranking civil servant of the American Government, the
contract between Verestar and Swisscom could show that the NSA (National
Security Agency) - American services of listening - decided to "outsource"
some of its activities to private companies. It compares these operations to
a kind of "privatization of the electronic information." Under the name
"operation Groundbreaker," the NSA has already delegated a number of its
"noncritical" activities to the private sector. It anticipates its
privatization which should start in July 2001.

The director of the NSA, Michael Hayden, is determined to concentrate the
activities of the agency on the less traditional modes of communication, like
cellular and digital technologies or optical fibres. The NSA is under
pressure to focus its attention on the activities of terrorists, traffickers
of weapons or drugs, or economic criminality. These efforts of modernization
have a code name: "the pioneer project."

Experts familiar with the operations of electronic interception think that
the multiplication of the telecommunications satellites and the earth
stations is the result of a need increasing for the NSA better covering the
surfaces of reception of less size.

The NSA has today earth stations in Denmark, in the Netherlands, in England,
in Germany, in Norway and Sweden. Undoubtedly, to improve the satellite cover
in Switzerland and in other countries would not displease the NSA, says Wayne
Madsen, Washington.

Switzerland close to Echelon?

Will Switzerland join Echelon, the international interception network
directed by the American National Security Agency (NSA)? For the multiple
Internet sites devoted to the subject, it has already done so. More
seriously, Duncan Campbell, the man who flushed out "the large ears," is
persuaded of it. In a report submitted to the European Parliament in October
1999, he specified already that "the Swiss services of information had
recently announced a plan for the acquisition of two stations of satellite
interception COMSAT (n.d.l.r.: the same system that Swisscom has just sold in
Verestar with Lo�che)." Contacted by Dimanche, the British specialist goes
even further: "I investigated the development of the Swiss system, Satos 3.
In my opinion, that shows indeed that Switzerland is joining the Echelon
system as a minority partner. With less than the Swiss Government does not
make an official statement going in the contrary direction."

But what does it hide behind sibylline Satos 3? A project initiated in the
years 1990 per Peter Regli, the former chief of the secret service put at
foot after the business Dino Bellasi. From here a few months, Switzerland
will thus be equipped with its own system of listening of the
telecommunications satellites. A system identical to that of Echelon, but a
reduced model. The antennas necessary, which come from Great Britain, will be
installed in Lo�che (VS), just beside those of Verestar (!), in Zimmerwald
and Heimenschwand (BE). For an amount estimated between 50 and 100 million
francs. Officially, only for interceptions outside our borders, since the
legislation on the matter was hardened in Switzerland.

In fact, nothing would however prevent Satos 3 from joining the Echelon
network which includes already the United States, Great Britain, Canada,
Australia and New Zealand. Even if Adolf Ogi, chief of defense (DDPS), always
ensured that there would be no collaboration with foreign countries. Today,
Australia already recognized the existence of Echelon. And the American and
European pressures are done increasingly pressing so that the NSA, which has
40,000 employees, recognizes "officially" the existence of such a network. An
existing network since 1971 and which would have the daily capacity to
intercept 3 billion communications and to filter 90% of flows of traffic of
internet. According to Duncan Campbell, even if the targets are primarily
soldiers and diplomatic, nothing prevents the NSA from diverting them at
commercial purposes, in particular in favour of the American companies of
high technology. That tariff, it is worth for Switzerland to be partner, even
minority perhaps better.

Claude Ansermoz



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