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

Description: The scenario description and requirements for Short Paper #2:

Prepare a short research paper of approximately 900 to 1000 words, double-spaced, exclusive of cover, title page (optional), table of contents (optional), endnotes and bibliography.

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

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

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

C = (meF mod nF )dA mod nA

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

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

“Thanks for your excellent service, Felicity. Please transfer $1,200,000 from my account to yours as a token of my esteem and appreciation. Signed, Alice.”

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

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

g= (CeAmod nA)dFmod nF

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

From the facts as presented what can be determined about Alice’s intentions to make Felicity 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 Alice’s message to Felicity asking for interest rates? Did it play a role in the controversy?

Assuming AST wishes to continue using RSA as its cryptographic system, what AST and Alice 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 Alice’s suit, RSA with sufficient 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 Alice, 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