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For Immediate Release:  
For Further Information:
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September 11, 2006  
David Wald
609-292-4791

Office of The Attorney General
- Anne Milgram, Acting Attorney General

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NJ Rejects Justice Department Argument
in Phone Records Suit

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Trenton, NJ – Acting Attorney General Anne Milgram declares in a brief filed in federal court that the United States Justice Department’s move to block a state investigation into whether telephone companies provided call records to the National Security Agency without a court warrant interferes with the Attorney General’s ability to investigate violations of New Jersey law.

The state’s brief, which seeks dismissal of the federal government’s suit, was filed late Friday in U.S. District Court in Trenton in response to an attempt by the Justice Department to quash administrative subpoenas issued in May by former Attorney General Zulima V. Farber and the State Division of Consumer Affairs. State officials sought to determine whether phone companies providing landline and cellular services had violated state consumer protection laws by providing individual call history data to the NSA.

The Justice Department’s suit seeks to throw “an impenetrable cloak insulating the federal government’s domestic surveillance activities from all judicial scrutiny,’’ Milgram said.

Invoking a state secrets privilege, as the Justice Department does, “transforms the privilege from a shield against the disclosure of sensitive information into a sword through which the Executive Branch can defeat any attempt at scrutiny from the judiciary or state officials. This distortion of the privilege is unwarranted,’’ the brief states, and would “contravene the system of checks and balances instituted by our Founding Fathers.’’

The subpoenas were issued to ten telecommunications companies providing services to New Jersey consumers after published news reports detailed an NSA data mining project that involved the disclosure to the NSA of call records for millions of Americans.

The disclosure of telephone call records to the NSA, including any disclosure made without a court order or without notice to individual phone subscribers could violate New Jersey consumer protection statutes.

The Justice Department sued Farber, Kim Ricketts, the former director of consumer affairs, and Cathleen O’Donnell, the deputy attorney who issued the subpoenas on June 14, the day before a deadline for the telephone companies to comply with the subpoenas, claiming that compliance would threaten national security. The Justice Department argued that even acknowledging the existence of the NSA surveillance program threatened state secrets.

But in its brief the state declares, “There is no federal statute that prohibits a state official from initiating a state legal proceeding seeking information relevant to potential violations of state law.’’

The state asks U.S. District Court Judge Freda Wolfson to dismiss Justice Department arguments and argues that the federal government is intruding on state sovereignty. The state also claims the legal dispute belongs in state court, rather than federal court, because the Justice Department sought to block a state investigation.

In its brief, the state cast doubt on the Justice Department’s argument that national security is at stake because the surveillance program was widely acknowledged by federal officials and members of Congress. “There is no secret for the state secrets privilege to protect,’’ the brief states.

The state had issued administrative subpoenas to AT&T, Cingular Wireless, Nextel, Qwest, Sprint, United Telephone Company of New Jersey, Verizon Communications, Verizon Wireless, Virgin Mobile USA, and Vonage.

Among other things, the subpoenas sought all orders or warrants which required the telecommunication companies to furnish telephone call records to the NSA – in other words, how the information was requested -- information on individuals whose call history was provided to the NSA, and any documents or contracts related to the carriers’ ability to disclose subscriber information to third parties. Only Vonage and Verizon Wireless responded to the subpoenas providing sample subscriber agreements and stating they possess no documents responsive to the requests.

In its brief, the state also argued that the Attorney General is not seeking to disclose alleged state secrets, and the Justice Department is attempting to preclude any judicial review of the scope and validity of the government’s claim of privilege.

Also on the brief were Assistant Attorney General Patrick DeAlmeida, Senior Deputy Attorney General Larry Etzweiler, and Deputy Attorneys General Lorraine Rak, Joseph Fanaroff and Angela Gunter Foster. View a copy of the brief filed with the U.S. District Court (160k pdf).

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