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Safemedia Corp. Backs Congress’ Call for Ftc to Crack Down on P2p Networks

The Federal Trade Commission (FTC) has been asked to promptly investigate recent disclosures of inadvertent file sharing over contaminated peer-to-peer (P2P) networks and to take steps to ensure that potential risks posed by contaminated P2P networks are incorporated into the Commission’s ongoing efforts to combat identity theft.

A strongly worded letter this week (10-17-07) to the FTC chairman signed by Committee Chairman Waxman and 18 congressmen, calls for an immediate investigation and stiffer enforcement and expanded efforts and penalties to protect consumers from inadvertent file sharing and identity theft caused by contaminated P2P networks. The committee has proven that these networks are known to allow the mass redistribution of copyrighted files, classified business information, national security data and personal identification documents.

“Chairman Waxman and 18 congressmen have recognized the real threat of Contaminated P2P networks. SafeMedia has the technology to support their vision in stopping the distributors and developers of contaminated P2P technology. Living by the letter of the law is what made America great; contaminated P2P is a proven menace to our society and a real threat to our national security and freedom: 19 congressman recognize this threat and they are obviously concerned by the continuous criminal activities of individuals who use the most important invention of our time; “The Internet” to steal the intellectual property of others,” said CEO Safwat Fahmy, SafeMedia Corp.

“Although we recognize that P2P networks have the potential to deliver innovative and lawful applications that will enhance business and academic endeavors, reduce transaction costs, and increase available bandwidth, these networks must also be used in a way that protects sensitive government, personal, and corporate information and copyright laws,” said House Committee Chairman Henry Waxman On Oversight and Government Reform. “In our view, the FTC should play an important role towards that end.”

Retired General Wesley Clark told a congressional hearing this summer “P2P Networks is the next national security threat.” On September 21, 2007, the Associated Press reported the inadvertent release of more than “5,000 Social Security numbers and other personal details about customers of ABN Amro Mortgage Group,” a division of Citigroup.”

Referring to the first indictment last month against an individual for ID theft using computer file sharing programs the letter said, “Recent developments underscore the potential threats posed by P2P file-sharing. According to DOJ, the suspect is linked to 80 victims and more than $70,000.00 in fraud.”

Recent studies and Congressional hearings have shown that contaminated P2P network users often do not realize they are involuntarily sharing their files with the world. A March 2007 United States Patent & Trademark Office report, which analyzed Kazaa, LimeWire, BearShare, eDonkey, and Morpheus discovered that all five “repeatedly tricked users into uploading infringing files inadvertently.”

The PTO report concluded that the five popular programs “repeatedly deployed features” for the purpose of tricking users into sharing files that they might not otherwise want share.”

SafeMedia vigorously supports the members of the House Committee on Oversight and Government Reform for challenging the FTC on addressing the complex threats of contaminated P2P networks. “SafeMedia has the only products available today that can eliminate the threat to personal, corporate, and national security associated with inadvertent file sharing on encrypted or non encrypted contaminated P2P networks; without invading user privacy or impacting normal Internet traffic.” said Pasquale Giordano, president/COO, SafeMedia Corp.

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