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Its not just the brits

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http://www.washingtonpost.com/wp-dyn/articles/A26517-2000Apr16.html

State Dept. Computer With Secrets Vanishes


A laptop computer containing top-secret information vanished from the State 
Department's Bureau of Intelligence and Research more than a week ago, and the FBI is 
investigating whether it was stolen, a senior State Department official said.

The laptop's disappearance from a supposedly secure conference room at the department 
has set off an intense effort to recover the computer and a search for suspects, 
including contractors who have been renovating the area, the official said.

Another person familiar with the incident said that the missing computer contains 
"code word" information, a classification higher than top secret, and that it includes 
sensitive intelligence information and plans.

The incident is the latest of a string of embarrassing security breaches at the State 
Department. Last year, counterintelligence officials from the FBI discovered a Russian 
spy lurking outside the department and later an eavesdropping device planted in a 
conference room. In 1998, a man dressed in a tweed coat strolled into the executive 
secretary's office, six doors down from the office of Secretary of State Madeleine K. 
Albright, helped himself to a sheaf of classified briefing materials in plain view of 
two secretaries, and walked out. The man was never identified and the materials were 
never recovered.

A senior State Department official said that it remained unclear whether the laptop 
was misplaced or stolen and that, if it was stolen, whether the thief realized the 
sensitivity of the material it contained or took it simply for the value of the 
hardware.

The senior State Department official added that the laptop's disappearance was not the 
result of poor security procedures, but rather the failure of State employees to 
follow those procedures. He said it appeared that some contractors had not been 
properly escorted when working in the building.

"Some policies and procedures were not followed," said the senior official. "It is my 
very sincere hope that the responsible individual or individuals will be punished."

Another person familiar with the incident said that an official had propped open the 
door of a secure conference room, that contractors lacking security clearances were 
working in the sensitive area and that the laptop had not been properly secured.

The material the laptop contains is classified as "sensitive compartmented 
information" (SCI), the government's most sensitive intelligence reports. The Bureau 
of Intelligence and Research (INR) is responsible for handling all top-secret reports 
at State; information with lower levels of classification is handled by the Office of 
Diplomatic Security.

Last year, INR came under fire from the department's inspector general for lax 
handling of that material. "The department is substantially not in compliance with the 
director of central intelligence's directives that govern the handling of SCI," the 
inspector general, Jacqueline Williams-Bridger, concluded in the report.

The CIA also "questioned INR's dedication" to the proper handling of the top-secret 
material, the State Department official said. The CIA and other agencies believe that 
the State Department in general fails to attach adequate importance to safeguarding 
secrets.

The inspector general recommended transferring responsibility for SCI to State's 
Office of Diplomatic Security. But a just-completed internal review recommended 
leaving responsibility for SCI with INR and adding 19 new people to help the bureau 
better handle the material, the department official said.

The inspector general's report and the Russian bugging incident prompted criticism 
from Congress, which sequestered some funding earmarked for INR and demanded a review 
of how top-secret information is handled at the department. At a Feb. 7 presentation 
of State's budget, Albright said she was "continuing to study the possible need for 
structural changes to ensure that the mandate for the best security is everywhere 
understood and everywhere applied."

The State Department laptop incident follows two intelligence episodes involving 
stolen laptops in England. A laptop containing sensitive information was stolen from a 
British army officer at Heathrow Airport. Separately, a laptop containing secret 
information about Northern Ireland was stolen from an MI5 agent at the Paddington 
Station of the London Underground. In a third incident, an MI6 officer left his laptop 
computer containing training information about how to be a spy in a taxi after a night 
spent drinking at a bar near the agency's London headquarters. 

MI6 is the British agency responsible for foreign intelligence and foreign spies; MI5 
handles internal security matters.

The MI6 officer's laptop was recovered after the agency placed a classified ad in a 
newspaper offering a reward for its return. The MI5 officer's computer has not been 
found.


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