http://www.thehindu.com/opinion/columns/yahoo-a-cautionary-tale/article9235740.ece

Updated: October 19, 2016 00:37 IST

POLICY WATCH

Yahoo!: A cautionary tale

EBEN MOGLEN
MISHI CHOUDHARY

No Indian citizen can, or should, trust a story in which Aadhaar data
security is never breached

On September 22, Yahoo! announced that the personal data of half a
billion users had been stolen in 2014. The theft of data was
attributed to “state-sponsored” hackers, which some informed sources
in California and Washington, D.C. said meant the Chinese secret
service. Subsequently, claims emerged about a cracker selling personal
information of Yahoo! account users on the dark Web.

The company’s failure to discover or report the loss for two years
will raise enormous problems for its embattled chief executive,
Marissa Mayer, not to mention its covert participation in the
surveillance of the incoming emails of its users. But it will be even
more costly for the U.S. telecom giant, Verizon, which agreed to pay a
bargain basement amount of $4.8 billion for the company in July. In
the U.S., class action litigation for consumers’ damages from the loss
of their private information (including mobile phone numbers,
passwords, and addresses) is inevitable, and will be costly: Yahoo!
may ultimately owe the people harmed by this theft far more than
Verizon was willing to pay for it.

Making Aadhaar mandatory
But this is not just a story from afar for Indian citizens following
the controversy about the onset of Aadhaar. Despite a crystal clear
prohibition issued by the Supreme Court against making Aadhaar
registration mandatory, the Indian government and enthusiastic parties
in both State governments and industry have proceeded to adopt
Aadhaar-based technology and impose requirements for Aadhaar
registration for social services and benefits — from educational
scholarships to booking railway tickets.

Investigations have revealed that dozens of Aadhaar requirements are
in tension with the Supreme Court’s order. Contempt petitions brought
against agencies for flouting the order will soon be heard by the
Supreme Court. When the judges hear those petitions, they should be
keeping Yahoo! in their thoughts.

The Yahoo! breach made news around the world primarily because of its
scale: it’s really hard to lose the data on 500 million people. But
not for Aadhaar. When completed, Aadhaar’s database will cover the
world’s second largest population. If (or when) the database is
compromised, it will not be possible for people to change their
passwords. Biometric data is essentially unchangeable. Whether the
retinal data currently stored, or the entire human genomes that may
eventually be stored there, a breach in the Aadhaar data store will
disperse information crucially identifying each Indian and that cannot
be modified in response to the loss.

So, if Aadhaar is breached, what is the plan for the morning after the
breach? Despite all the puffery, and all the claims of social
subsidies immune to corruption and payments systems offering
convenience to the unbanked millions, no one has so far intimated how
Aadhaar’s proponents suggest we manage the obvious risk that stares us
all in the face if Aadhaar registration becomes mandatory for most
social purposes.

No perfect security
The plan cannot be for perfect security, operating flawlessly forever,
for Aadhaar. No government can at present promise perfect security for
even its most critical personnel data. No “platform” company, with all
the immense profits earned from processing the data of hundreds of
millions of customers, can claim to guarantee perfect security of
customer data. No Indian citizen can, or should, trust a story in
which Aadhaar data security is never breached.

Until we can see that the government has a realistic plan to manage
the risks involved in placing all Indians’ proof of identity in one
big box, making Aadhaar registration mandatory means imposing on every
Indian citizen an unmanaged, possibly unmanageable, risk of digital
environment catastrophe. Imposing permanent damage on the entire
society because entrepreneurs and civil servants were in a hurry,
because they couldn’t wait for the sober second thoughts imposed by
the rule of law, even for the best of modernising and reformist
motives, is a price far too high to pay. And until there is national
privacy legislation, with a real system for making parties pay damages
when they injure individuals by losing their critical personal
information, the courts may have no opportunity or power to deal with
the consequences of poor planning and hasty public policy after the
fact.

Only the Supreme Court’s clarity and willingness to back its order
with enforcement ensure that law — rather than public relations and
the optimistic talk of the start-up culture — stands between our
society and the consequences of hubris.

So when the judges convene to hear argument on the Aadhaar motions,
they should have that emphatic punctuation at the end of Yahoo! very
firmly in mind.

Eben Moglen is Founding-Director of Software Freedom Law Center and
professor of law and legal history at Columbia University. Mishi
Choudhary is technology lawyer and Executive Director at SFLC.IN, a
donor-supported legal services organisation.

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