Cryptology and Data Protection

Required

Prepare a short research paper of approximately 900 words, double-spaced, exclusive of cover, title page (optional), table of contents (optional), endnotes and bibliography. Your paper must use APA formatting with the exception that tables and figures can be inserted at the appropriate location rather than added at the end.

A paper longer than the upper limit or not in APA format will cause loss of points.

Assume the following incidences happened years ago before there were agreements of cooperation between the US and the Nevis Islands. So, neglect, the recent agreements between the US and the Navis Islands government for your analysis.

Agnes changes banks following her troubles with FNB. At her new bank, First Security Trust (FST), RSA is used as the cryptographic system. Agnes creates a key pair and supplies her public key {eA, nA},  to Francis, a bank manager of FST and securing her private key {dA, nA} on a thumb drive which Agnes keeps locked in a wall safe at her home. In turn, Francis, who is designated to handle Agnes’s business, gave Agnes access to a key server maintained by FST so that Agnes can readily obtain Francis’s current public key {eF, nF} whenever she needs to communicate securely with Francis.

Things are fine for a few months until Agnes sends Francis a short message “m” asking about current interest rates on Certificates of Deposit issued by FST. As shown below, she encrypts the message with Francis’s public key first and then signs with her private key.

C = (m^eF mod nF )^dA mod nA

Where C is the encrypted message and m is the plaintext message.

A few days later, Agnes received a statement that shows a debit of $1,000,000 from her account. On inquiring, she was told that Francis transferred the money out of Agnes’s account into an account of her own in a bank on the Caribbean island of Nevis, where she moved. When reached via long distance in Nevis, Francis produced an encrypted message ’C1’ and corresponding plain text message from Agnes saying:

“Thanks for your excellent service, Francis. Please transfer $1,000,000 from my account to yours as a token of my esteem and appreciation. Signed, Agnes.”

Agnes files suit against, Francis, FST and the government of the Nevis, claiming that the message was a forgery sent by Francis herself, asking for triple damages for pain and suffering. Francis has responded by claiming that all procedures were followed properly, and that Agnes is filing a nuisance suit.

You have been employed by FST as an expert to assist in the investigation of this matter and help them decide what to do with Agnes issue. You obtain Francis’s private key from the FST server, and the cipher text C, and calculate

g= (C1^eAmod nA)^dFmod nF

Where g is the plain text message which was obtained decrypting the cipher text C1, using Francis’s Private key (dF,nF). Your report to the FST Board of Directors should address the following issues:

From the facts as presented what can be determined about Agnes’s intentions to make Francis a gift of $1,000,000? How did the fact help you in forming your conclusion?

What is the significance of Nevis Island? Did the significance sway your decision? If yes, why? If no, why?

What is the significance of Agnes’s message to Francis asking for interest rates?

Assuming FST wishes to continue using RSA as its cryptographic system, what FST and Agnes could have done to protect against this controversy arising?

How to proceed in the litigation?

Your report should clearly address these issues including the recommendation for Agnes’s suit, RSA with enough detail and background to allow the Board of Directors who are cryptographically challenged to understand the issues involved. It should give direction to formulate plans for how to approach the immediate legal issue with Agnes, and to continue business in the future, if they want to continue using only RSA. Assume that the directors do not know what RSA is and how it works