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    Attention Cryptome: PayPal a 'liar, cheat and a thug'

    Cryptome: PayPal a 'liar, cheat and a thug'


    Account still restricted


    By Andrew OrlowskiGet more from this author
    Posted in ID, 10th March 2010 16:10 GMT
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    "PayPal is a fucking liar, a cheat and a thug," says Cryptome operator John Young. The eBay-owned payment service closed the Cryptome account last week, with over $5,000 of donations intended for Young in limbo.
    Last night Anuj Nayar, PayPal's global director of communications, told us by email that Cryptome's account had been restored, but evidence provided by Young contradicts this. Screenshots of the Cryptome PayPal account show Young cannot withdraw money, but can only return donations to donors to the whistleblower website.
    "I can confirm that all funds associated with Cryptome have been released," said Nayar. Screenshots clearly show the Cryptome account unable to transfer money to another account. Young has refunded donors from his own pocket.
    With reasoning worthy of a Kafka plot, PayPal told Cryptome it couldn't provide a reason for shutting down the account. "In accordance with our Privacy Policy, we cannot share any specific information regarding this Account with you," Young was told.
    Cryptome's PayPal account



    Young has asked that PayPal provide "any information requested/subpoened of PayPal about me or my website from government, law enforcement, commercial or private parties".
    He told us: "Cryptome refunded about $5300 on March 5, 2010 without action by PayPal while the account was frozen. No funds have been withdrawn. The account was, and is still, frozen except for the capability of making refunds which I chose to do to get the wad out of PayPal's hands where PayPal could use them for its own purposes contrary to the purposes of the donors."
    Cryptome has recently published law enforcement liaison guides from companies including Microsoft, Facebook and PayPal.

    http://www.theregister.co.uk/2010/03...yptome_paypal/

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    Default Re: Cryptome: PayPal a 'liar, cheat and a thug'

    10 March 2010. Checked the Cryptome account and it appears to be back in full operation. Likely another PayPal ploy, hoping the FU will just go away, without apology, without admission of stupidity, declaring everything was done as it should have been, according to the arrogant rules of Microsoft, et al.

    Date: Wed, 10 Mar 2010 15:48:23 -0800
    From: service[at]paypal.com
    to: cryptome[at]earthlink.net
    subject: Your PayPal Account Access Has Been Restored
    Hello John Young,
    Our review is complete and we have restored your account.
    We appreciate your patience and thank you for your help in making PayPal the safest and most trusted online payment solution.
    Thanks,
    PayPal
    Please do not reply to this email. This mailbox is not monitored and you will not receive a response. For assistance, log in to your PayPal account and click the Help link in the top right corner of any PayPal page.
    ----------------------------------------------------------------
    PayPal Email ID PP820

    10 March 2010.
    About 1:30PM today Stephanie LNU of PayPal telephoned Cryptome to say the measely $120.00 balance in the account could be withhdrawn but the limitation on use (blockage) of the account will remain. Stephanie said the grounds for the limitation is the stated purpose of Cryptome, which she read on the telephone, saying, I am reading from the Cryptome site:
    "Cryptome welcomes documents for publication that are prohibited by governments worldwide, in particular material on freedom of expression, privacy, cryptology, dual-use technologies, national security, intelligence, and secret governance -- open, secret and classified documents -- but not limited to those. Documents are removed from this site only by order served directly by a US court having jurisdiction. No court order has ever been served; any order served will be published here -- or elsewhere if gagged by order. Bluffs will be published if comical but otherwise ignored."
    Cryptome said nothing in that purpose is illegal as the PayPal spokesperson wrote Andrew Orlowski of The Register:
    "... we don't allow PayPal to be used for items that encourage, promote, facilitate or instruct others to engage in illegal activity."
    Cryptome said that if the purpose was to engage in illegality Cryptome would be closed by the authorities.
    Stephanie said that the account limitation is not based on a charge of illegality.
    Cryptome asked if she was aware of the email making this charge sent to Orlowski. She said no. Cryptome said read it on Cryptome.
    Stephanie said PayPal has a right to decide who uses its services and that Cryptome does not meet its standard due to the activity described in its statement of purpose.
    Cryptome asked if that would be put in writing so it could be published to counter the unsubstantiated very serious allegation of illegality. She said no, nothing she has said will be put in writing.
    Cryptome said that if PayPal will not put its explanation in writing then it is surely a lie told to conceal some hidden reasons for limiting the account.
    Stephanie said I am not lying.
    Cryptome said you claim to be unaware of the serious PayPal allegation of illegality by Cryptome. You claim to know only generalities not the details about how decisions are made to limit accounts. You admitted you did not know that the purpose of Cryptome is legal. You have refused to put your comments in writing. You have avoided giving believable information about how PayPal decided to limit Cryptome's account and confiscate its funds, even though the PayPal practice is widely used not only on Cryptome but in thousands of other instances. You are not credible as a spokesperson -- you have said nothing of substance over what has been previously sent to Cryptome, now posted on the site. For these reasons you are a liar aiding PayPal to conceal its unscrupulous practices.
    _______
    Shortly this email arrived:
    Date: Wed, 10 Mar 2010 10:23:32 -0800
    Subject: Your PayPal Funds are Eligible for Withdrawal
    To: John Young <admin[at]cryptome.org>
    From: "service[at]paypal.com" <service[at]paypal.com>
    Hello John Young,
    Your PayPal funds are now eligible for withdrawal.
    You may transfer the funds directly to your bank account via online bank transfer or you may request a check from PayPal. Please let us know how you would like to receive the funds by logging in to your account.
    As a reminder, access to your account will remain limited.
    While access to your account is limited, you may:
    * place logos into your auction listings or on your website
    * update your account information
    * withdraw funds from your account
    You may not:
    * send or request money
    * receive payments
    * add funds to your account
    * close your account
    Thank you for using PayPal.
    Sincerely,
    The PayPal Team
    Please do not reply to this email. This mailbox is not monitored and you will not receive a response. For assistance, log in to your PayPal account and click the Help link in the top right corner of any PayPal page.
    PayPal Email ID PP524

    Subject: Query re: Cryptome and PayPal
    Date: Wed, 10 Mar 2010 12:22:22 -0000
    From: "Karen Friar" <karen.friar[at]zdnet.co.uk>
    To: <jya[at]cryptome.org>, <jya[at]pipeline.com>
    Dear Mr. Young,
    I'm writing from ZDNet UK. We'd like to cover the dispute between yourself and PayPal over the funds in your PayPal account related to Cryptome. I've looked at the posts on cryptome.org about this issue and wanted to check with you regarding the statement sent to us by PayPal (which was also posted to the site):
    All funds associated with Cryptome have been released. Due to our privacy policy, we can't provide any further details about this account. PayPal's Acceptable Use Policy clearly states that we don't allow PayPal to be used for items that encourage, promote, facilitate or instruct others to engage in illegal activity. The full policy can be viewed here.
    Can you confirm that all funds in the account in question have been released? I am also contacting PayPal to ask for further details about the account, as you have requested that these be provided to outside inquirers.
    Any help you can give would be appreciated.
    Thanks,
    Karen
    Karen Friar
    Community and News Editor, ZDNet UK
    T 020 7021 1225 M 07726 900 969
    5-11 Lavington Street, London SE1 0NZ
    ZDNET UK
    ZDNet UK is a property of:
    CBS Interactive
    BNET UK | CNET Direct | CNET UK | GameSpot UK | silicon.com | TV.com | ZDNet UK
    Registered office 100 New Bridge Street, London EC4V 6JA. Company No. 3851534. VAT No. 814619332.
    Please consider the environment before printing this email.
    From: Tom Espiner
    Sent: 10 March 2010 10:18
    To: Karen Friar
    Subject: FW: Cryptome
    From: Sarah Tye [mailto:SarahT[at]lansons.com]
    Sent: 10 March 2010 10:18
    To: Tom Espiner
    Subject: Cryptome Hi Tom,
    I hope you’re well.
    I just wanted to follow up on the Cryptome case we discussed yesterday. I’m really sorry I wasn’t able to provide you with a comment yesterday but as I explained it was being looked after by the American team so I’m afraid I had to wait for them to come back to me.
    Apologies if you’ve already seen this but I just wanted to make sure you had it. Below is the official comment from PayPal. I hope it’s useful and ties up the story.
    Kindest regards,
    Sarah
    All funds associated with Cryptome have been released. Due to our privacy policy, we can't provide any further details about this account. PayPal's Acceptable Use Policy clearly states that we don't allow PayPal to be used for items that encourage, promote, facilitate or instruct others to engage in illegal activity. The full policy can be viewed here.
    Sarah Tye
    Lansons Communications
    24a St John Street, London, EC1M 4AY
    Direct +44 (0)20 7294 3633
    Email saraht[at]lansons.com
    Web www.lansons.com
    ‘Agency of the Year’ 2008 at The Financial Services Forum Awards for Marketing Effectiveness
    ‘Agency of the Year’ 2007 (PRCA), 2004 (PR Week), 2002 (CIPR), 1995 (PR Week)
    Best City Campaign (PR Week) 2008, Best Public Affairs Campaign (PR Week), 2008
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    The information contained in this message may be CONFIDENTIAL and is intended for the addressee only. Any unauthorised use, dissemination of the information, or copying of this message is prohibited. If you are not the addressee, please notify the sender immediately by return e-mail and delete this message. Although this e-mail and any attachments are believed to be free of any virus, or other defect which might affect any computer or system into which they are received and opened, it is the responsibility of the recipient to ensure that they are virus free and no responsibility is accepted by Lansons Communications LLP for any loss or damage from receipt or use thereof. Lansons Communications is the trading name of Lansons Communications LLP. The views expressed are of the individual, and do not necessarily reflect the views of Lansons Communications LLP.
    __________
    Subject: Query re: Cryptome and PayPal
    Date: Wed, 10 Mar 2010 08:07AM
    To: "Karen Friar" <karen.friar[at]zdnet.co.uk>
    From: <jya[at]cryptome.org>, <jya[at]pipeline.com>
    Dear Karen,
    PayPal is lying to cover unknown substerfuge by itself by invocation of a privacy policy now more often used by large corporations to hide corporate malfeasance against customers rather than protect them.
    No funds have been released by PayPal, my account remains blocked, and funds cannot be withdrawn.
    I have this morning posted on Cryptome several screen shots of my PayPal account showing evidence of PayPal's lying.
    I refunded the bulks of what was in the account at the time of blockage, about $5300, on my initiative to remove control by PayPal which said it would deny access to the funds for six months, then, might release them or might not.
    It is certain that PayPal attacked Cryptome for posting its secret arrangements with authorities to spy on customers
    http://cryptome.org/isp-spy/paypal-spy.pdf
    PayPal is following Microsoft's recent example in this attack. DMCA infringement or unsubstantiated allegations of illegality are the pretexts for these attacks when what is intended it to conceal embarrassing and unethical behavior toward the public.
    Emphasis: Privacy policy is a deception to conceal corporate misbehavior against customers. DMCA is a means to censor the web as EFF and others have vigorously argued.
    Please use any of this or the material on Cryptome.
    Best regards,
    John
    (US) 212-873-8700

    From: Andrew Orlowski <andrew.orlowski[at]theregister.co.uk>
    To: John Young <jya[at]cryptome.org>, "jya[at]pipeline.com" <jya[at]pipeline.com>
    Subject: Fwd: Cryptome
    Date: Tue, 9 Mar 2010 23:41:09 +0000
    Really?
    Begin forwarded message:
    From: "Nayar, Anuj" <Anuj.Nayar[at]paypal.com>
    Date: 9 March 2010 10:27:53 PM GMT
    To: "andrew.orlowski[at]theregister.co.uk" <andrew.orlowski[at]theregister.co.uk >
    Cc: "Nayar, Anuj" <Anuj.Nayar[at]paypal.com>
    Subject: Cryptome Hi Andrew
    I saw your story in the Register re Cryptome.
    I can confirm that all funds associated with Cryptome have been released.
    Due to our privacy policy, we can't provide any further details about this account. PayPal's Acceptable Use Policy clearly states that we don't allow PayPal to be used for items that encourage, promote, facilitate or instruct others to engage in illegal activity. The full policy can be viewed here
    Anuj Nayar / director, global communications
    direct 408.967.5730 / cell 408.239.9516
    skype anuj_nayar
    2211 North First Street
    San Jose, CA 95131
    __________
    To: Andrew Orlowski <andrew.orlowski[at]theregister.co.uk>
    From: John Young <jya[at]cryptome.org>, "jya[at]pipeline.com" <jya[at]pipeline.com>
    Subject: Fwd: Cryptome
    Date: Tue, 9 Mar 2010 07:40:06 +0500
    PayPal is a fucking liar, a cheat and a thug, quote me.
    Cryptome refunded about $5300 on March 5, 2010 without action by PayPal while the account was frozen. No funds have been withdrawn. The account was, and is still, frozen except for the capability of making refunds which I chose to do to get the wad out of PayPal's hands where PayPal could use them for its own purposes contrary to the purposes of the donors.
    See attached screenshots made just now of our account and an excerpt of the account history downloaded today showing refunds by me, not releases by PayPal.
    Another screenshot today shows that funds cannot be withdrawn.
    I left about $120 in the account to head off PayPal confiscating from my bank account payments for its refund services -- which it claims it has a right to do if there is insufficient funds in the account.
    I sent a letter yesterday to PayPal urging it to release all information about the account to anyone who inquires and releasing it from obligation under the privacy policy. Copy attached.
    This was sent in response to an email from PayPal to an inquirer which was forwarded to me.
    PayPal never told me the reason for blocking was for illegal activity, it merely said the account was risky without providing details or substantiation. This is a pattern it has followed with hundreds of others.
    I want PayPal to document the illegality, make it public, don't hide behind unproven allegations sent to you without proof. It will try to hide behind privacy policy, a current scam used to hide unscrupulous actions by a host of giant thuggish firms.
    Use any of this message and images.
    John





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