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THE NEW AGE OF UBIQUITOUS COMPUTING 507<br />

Enforcement'. Speaking at the Cabinet Office, he confirmed that<br />

'Key Escrow' was finished, and now emphasised cooperating<br />

closely with the computer industry rather than fighting it. The<br />

government accepted that no single magic technique was likely<br />

to sustain interception in the face of rising use of encryption by<br />

criminals. 59 Instead, it placed its hopes on new legislation called<br />

the Regulation of Investigatory Powers Act 2000, under which<br />

criminals would face serious penalties for refusing to offer up the<br />

keys to encrypted material. 60<br />

In addition, there would be a new dedicated computer unit<br />

called the Govemmem Technical Assistance Centre (GTAC) ,<br />

intended to break the codes that criminals used to encrypt their<br />

emails and computer hard drives. While this was nominally a<br />

Home Office unit, in reality code-breaking and code-making<br />

always meant GCHQ, and offidals joked privately that 'GTAC'<br />

actually stood for 'GCHQ Technical Assistance Centre'. Sure<br />

enough, in July 2000 GCHQ was asked to lend one of its top<br />

experts, Brian Paterson, to the Home Office to establish the unit. 61<br />

Even Paterson called GTAC a 'euphemistic title' for what was in<br />

effect a code-cracking unit at the Home Office. He explained that<br />

modern criminals tended to use the internet in three different<br />

ways. First, as a simple extension of ordinary crimes, such as<br />

fraud, theft and smuggling. Second, there were crimes which had<br />

only developed because of the existence of the internet, such as<br />

hacking and virus attacks. 62 Third, there was the use of the<br />

internet by criminals as a means of communications or storage.<br />

When it came to the third problem, Paterson explained that<br />

domestic interception presented multiple difficulties. It required<br />

warrants literally signed by the Home Secretary, 'even if it means<br />

getting him out of bed'. Moreover, in the era of the internet,<br />

interception was being made 'very much more difficult by new<br />

technology' .63 Surprisingly, GTAC was developed, staffed, and then<br />

little used. Always partly run by GCHQ, it was quietly transferred<br />

to Cheltenham in April 2006. 64<br />

The number of criminals encrypting their emails and computer<br />

files proved to be fairly small. In fact, for a decade both NSA and

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