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Yahoo says gov’t threatened $250,000 a day fine

PETE YOST
Associated Press

WASHINGTON (AP) — Yahoo said Thursday the government threatened to fine the company $250,000 a day if it did not comply with demands to go along with an expansion of U.S. surveillance by surrendering online information, a step the company regarded as unconstitutional.

The outlines of Yahoo’s secret and ultimately unsuccessful court fight against government surveillance emerged when a federal judge ordered the unsealing of some material about Yahoo’s court challenge.

In a statement, Yahoo said the government amended a law to demand user information from online services, prompting a challenge in 2007 during the George W. Bush administration.

“Our challenge, and a later appeal in the case, did not succeed,” Yahoo general counsel Ron Bell said in a statement.

The new material about the case underscores “how we had to fight every step of the way to challenge the U.S. government’s surveillance efforts,” Bell added. “At one point, the U.S. government threatened the imposition of $250,000 in fines per day if we refused to comply.”

Bell said the Foreign Intelligence Surveillance Court upheld the predecessor to Section 702 of the FISA Amendments Act. Section 702 refers to the program called PRISM, which gave the government access to online communications by users of Yahoo.

Former National Security Agency contractor Edward Snowden disclosed the program last year.

Yahoo said it is committed to protecting users’ data and that it will continue to contest requests and laws that it considers unlawful, unclear or overly broad.

“We consider this an important win for transparency, and hope that these records help promote informed discussion about the relationship between privacy, due process and intelligence gathering,” said Bell.

The newly released documents show that the Bush administration was taking a hard line and was miffed that Yahoo had even been allowed to get into court with its complaint.

In sum, the Foreign Intelligence Surveillance Court erred in permitting Yahoo to challenge the directives, said a court brief signed by then-U.S. Attorney General Michael Mukasey.

Yahoo was arguing that what the Bush administration was doing violated the Fourth Amendment rights of customers of Yahoo.

“The government has conducted warrantless foreign intelligence surveillance for decades, and such surveillance has been upheld under the Fourth Amendment by every appellate court to decide the question,” Mukasey wrote.

“The government’s implementation of the Protect America Act is consistent with decades of past practice and adequately protects the privacy of U.S. persons,” said Mukasey.

In its court papers, Yahoo urged that the government be reined in.

Yahoo requested that the Foreign Intelligence Surveillance Court of Review reverse the lower court’s judgment and find that “the surveillance authorized by the directives is not ‘otherwise lawful,'” wrote Marc Zwillinger, a lawyer representing the Internet service provider.

Yahoo lost the battle in the surveillance review court.

In a statement Thursday night, the Obama administration said it is “even more protective” of the rights of U.S. citizens than the law upheld by the review court.

The American Civil Liberties Union said the case shows the need for more openness about government surveillance.

“The secrecy that surrounds these court proceedings prevents the public from understanding our surveillance laws,” said ACLU staff attorney Patrick Toomey. “Today’s release only underscores the need for basic structural reforms to bring transparency to the NSA’s surveillance activities.”

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AP Technology Writer Michael Liedtke in San Francisco contributed to this report.

Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Don’t Settle for Student Loans to Pay for Online Education

Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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