The Bush administration is signaling that it plans to turn once again to a favorite legal tool known as the "state secrets" privilege to try to shut down a lawsuit brought against a Belgium banking cooperative that secretly supplied millions of private financial records to the U.S. government, court documents show.
The lawsuit against the banking consortium, which is known as Swift, threatens to disrupt the operations of a vital national security program and to reveal "highly classified information" if it is allowed to continue, the Justice Department said in several recent court filings asserting its strong interest in seeing the lawsuit dismissed. A hearing on the future of the lawsuit was scheduled for Friday in federal court in Alexandria, Virginia.
The "state secrets" privilege, allowing the government to shut down public litigation on national security grounds, was once a rarely used tool. But the Bush administration has turned to it dozens of times in terrorism-related cases in seeking to end public discussion of everything from an FBI whistle-blower's claims to the abduction of a German terrorism suspect.
...
Bush administration officials have defended the banking data program as an important tool in its war on terror, but European regulators and privacy advocates were quick to denounce the program as improper and possibly illegal, and the pressure forced Swift and U.S. officials earlier this year to agree to tighter restrictions on how the data could be used.
Two U.S. banking customers sued Swift on invasion-of-privacy grounds. Many legal and financial analysts expected that the lawsuit would be thrown out because U.S. banking privacy laws are considered much more lax than those in much of Europe. But to the surprise of many, a judge refused to throw out the lawsuit in a ruling in June.
Complete story
Is Generalissimo Francisco Franco still dead?