LETTER TO MR. DONALD L. EIRICH, FROM GEORGE L. CARY

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP77M00144R000600020002-5
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 8
• Document Creation Date: December 16, 2016
• Document Release Date: July 5, 2005
• Sequence Number: 2
• Publication Date: November 24, 1975
• Content Type: LETTER

STAT Approved For Release 2005/07/13 : CIA-RDP77M00144R000600020002-5
Approved For Release 2005/07/13 : CIA-RDP77M00144R000600020002-5
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CENTRAL INTELLIGENCE AGENCY 7C/ !7
WASHINGTON,D.C. 20505
OLC 75-2682/a
24 NOV1975
Mr. Donald L. Eirich, Associate Director
United States General Accounting Office
Washington, D.C. 20548
This is in reply to your letter of 6 October 1975 to the Director
requesting that the Agency respond to several questions to assist
in your evaluation of the computer and communication security pro-
posed for the Internal Revenue Service's new Tax Administration
System.
As was explained to you by computer and
communication systems are clearly vulnerable to technical compromise
unless protected by encoding and other protective measures. Our
concern is solely the foreign threat to national security information
which is clearly recognized and the systems maintained by the
Central Intelligence Agency are so protected. Also, we can only
comment on the foreign intelligence aspects of the problem since the
domestic threat is clearly a matter for comment by the Federal Bureau
of Investigation.
The efforts of certain foreign intelligence organizations against
national security agencies and national security information to acquire
communications information by wiretapping and other means are clearly
documented. Documentation concerning efforts against other targets is
not clear, however, if tax data is so maintained as to allow the compro-
mise of specific targets, the threat would be decidedly increased.
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In sum, this Agency recognizes a degree of importance of tax
data to a foreign intelligence organization in specific cases. We feel,
however, that a judgment as to the sensitivity of tax data overall is a
matter for the Internal Revenue Service to decide and we offer no
comment in that regard.
Sincerely,
George L. Cary
Legislative Counsel
Distribution:
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UNITED STATES GENERAL ACCOUNTING OFFICE ~2 j- C. 7 S7,,-) WASHINGTON, D.C. 20548
LOGISTICS AND COMMUNICATIONS
DIVISION
-The Honorable William Colby
Director, Central Intelligence Agency
Washington, D.C. 20505
Attention:
office of Legislative Counsel
STAT
Dear Mr. Colby:
In a recent telephone conversation with STAT
we informed him that we are conducting an evaluation o the
computer and communication security proposed for the Internal
Revenue Service's new Tax Administration System (TAS). We
asked him whether the CIA had encountered any cases where
electronic interception techniques had been employed to
acquire and compromise data that was proprietary or con-
fidential--but not of a National Security or defense nature.
uggested that it might be desireable to
submit a forma request for the information, in order to
obtain an official CIA response.
TAS will be designed as a transaction or application
system employing a decentralized data base at each of 10
service centers. The service centers will be interconnected
by a data communication network with a switching center
located at Martinsburg, West Virginia. Remote terminals
will be located at the various regions, district and field
offices. All communication will employ dedicated lines.
The current IRS position is that the threat to individual
or corporate tax information does not warrant the cost to
encrypt the data communications or to protect against electro-
magnetic radiation from the CRT terminals. Conversely, OMB
feels it necessary to encrypt the data communications between
service centers for compliance with the Privacy Act of 1974.
In order for us to make a judgement in this area, we have
discussed network vulnerabilities with NSA and the domestic
threat with the FBI. We would like to have your agency's
opinion as to the following:
1. Is there a realistic threat, foreign or domestic,
to taxpayer data?
OCT 6 1975
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2. Is there any case history of wire tapping or electro-
magnetic interception of data communications within the U.S.
where a foreign government or private source was involved?
If yes, did any intercept(s) involve information that was of
a proprietary, private or confidential, but not National
Security, nature?
3. Considering all factors including cost, risk
assessment, etc., would your agency consider encryption of
communication links and radiation protection necessary for
taxpayer data?
We would appreciate your assistance in this matter.
Sincerely yours,
r~J~1i
D6nald L. Eir ch
Associate Director
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