Group Questions Proxy Statement Disclosures and
AT&T's Participation in
the Illegal NSA Spying Program
FOR IMMEDIATE RELEASE
CONTACT: media@aclu.org
ATLANTA -- BellSouth's proposed merger with AT&T should be approached
with great caution because of AT&T's entanglements with illegal NSA spying,
the American Civil Liberties Union said at a BellSouth shareholders meeting held
here today to consider the merger.
"The ACLU is in Atlanta as a BellSouth shareholder to raise some important
questions about the proposed merger," said Barry Steinhardt, Director of the
ACLU's Technology and Liberty Project. "Not only because of AT&T's apparent
cooperation in illegal government spying on its customers, but also because
AT&T may bring with it into the relationship significant liability for
sharing customer calling information outside of the law."
At the meeting, Steinhardt also raised questions about the joint
AT&T-BellSouth proxy statement. Noting that a federal court yesterday
allowed a lawsuit against AT&T to proceed despite a motion by AT&T and
the government to dismiss the case based on a "state secrets" privilege,
Steinhardt asked why the proxy statement did not disclose the fact that AT&T
faces tens of billions of dollars in potential damages as a result of its
involvement with NSA spying.
"They didn't really offer any good answer," said Steinhardt. "But BellSouth
shareholders would be well advised to think twice about marrying that kind of
burden."
Steinhardt pointed out that a statute called the Stored Communications Act
bans phone companies from sharing information about their customers' phone
records without a warrant, and imposes a $1,000 penalty - per customer - for
turning over records.
"More broadly, BellSouth's shareholders should think about this not just as
part-owners of Bellsouth, but also as Americans," said Steinhardt. "They must
think carefully about whether they want their company to join with one that
seems to be undercutting precious things this country holds dear: the rule of
law, the separation of powers between Congress and the Executive, and Americans'
most basic understandings and expectations for how their private communications
are treated in the United States."
The ACLU made available today a fact sheet summarizing the concerns that
should be raised in connection with the merger. The fact sheet is available at:
www.aclu.org/privacy/spying/26204res20060721.html
More information about the ACLU's campaign to stop the NSA's warrantless
wiretapping is available at:
www.aclu.org/nsaspying
