This record is a partial extract of the original cable. The full text of the original cable is not available.

UNCLAS  ROME 002436 
 
SIPDIS 
 
 
SENSITIVE 
 
STATE PASS USTR 
STATE PASS FTC 
DEPT FOR EUR/WE, EUR/ERA, EB/CIP 
USDOC 4212/ITA/MAC/OEURA/CPD/DDEFALCO 
 
E.O. 12958: N/A 
TAGS: ECPS ETRD IT EUN
SUBJECT: PNR, SAFE HARBOR: ITALY PRIVACY DISCUSSIONS 
 
(U) This cable is sensitive but unclassified.  Please 
protect accordingly.  Not for Internet distribution. 
 
Ref: Rome 1528 
 
¶1. (SBU) Summary: Secretary General of the Italian 
Privacy Authority Buttarelli expressed strong opposition 
to the interim PNR agreement in a meeting with Econcouns 
May 27. Buttarelli believes that Commission officials 
made a mistake in agreeing to PNR as this violates 
national laws.  The principal problems Buttarelli sees 
relate to a foreign country's authorities being allowed 
directly to access data held in Italy, as well as the 
subsequent use of such data.  Buttarelli is, however, 
optimistic that a satisfactory compromise may be reached 
in the fall. Separately, regarding Safe Harbor, 
Buttarelli provided statistics showing that the system is 
seldom used by Italian companies and may soon be 
obsolete.  End summary. 
 
PNR 
--- 
 
¶2. (SBU) May 27 Econ counselor and Econ specialist met 
with Italian Privacy Authority Secretary General Giovanni 
Buttarelli to discuss Italy's position on PNR and Safe 
Harbor.  The Italian Privacy Authority has been very 
critical of the interim PNR agreement negotiated between 
the U.S. and EU, and how this was handled by the 
Commission.  Italian Privacy Authority chairman, Stefano 
Rodota, recently wrote the Commission to this effect. 
Buttarelli said that Brussels authorities had made a 
mistake when they signed the PNR agreement, since this 
violates national laws.  He also maintained that U.S. 
officials have been misled regarding the value of a U.S.- 
EU joint statement. This is not a treaty and may not 
overrule national laws. 
 
¶3. (SBU) Buttarelli indicated that one key problem is 
that the PNR agreement would allow a foreign government 
to do what national authorities are not allowed to do. 
He pointed out that "not even the head of the Italian 
police has the authority to access flight information." 
Buttarelli told EconCouns that only very recently has a 
bill been presented in the Italian parliament to allow 
police officers "who are physically located in airports" 
to access flight information.  According to Buttarelli, 
it is unacceptable and illegal that a U.S. authority, 
"and not even necessarily a law enforcement official," be 
allowed to access, from the U.S., data held in Italy. One 
partial solution would entail relevant data being 
transferred from Italy to the U.S. (as opposed to being 
accessed from the U.S.)  However, in his view, even then 
there would remain the problem of how the data is handled 
and for what purposes it is used.  Adding to Italy's 
concern is the fact that other countries, such as Canada, 
Mexico and Australia, are considering similar measures to 
those in the U.S.  This would be even more unworkable, he 
stated. 
 
¶4. (SBU) Buttarelli, however, expressed optimism 
regarding a possible compromise agreement.  He expects 
that there will be a series of proposals tabled and that, 
gradually, a compromise satisfactory to all would be 
reached.  In late June or July, the EU Privacy 
Authorities and the member states will meet to express an 
opinion on proposals.  Buttarelli believes that an 
informal agreement may be reached by September, but that 
it is unlikely to be ratified by the EU parliament before 
year's end. 
 
¶5. (SBU) Regarding the related AFIS issue, Buttarelli 
indicated that he has been approached by the ATAA (Air 
Transport Association of America) regarding a possible 
meeting for EU Privacy authorities in July in Washington. 
Buttarelli indicated that he thought this was a good 
idea, especially if appropriate USG officials either 
joined in the ATAA meetings or held separate meetings 
with the privacy authorities.  He was looking at a 
possible two-day trip in early July.  One day could be 
dedicated to discussion of AFIS/PNR.  A second half-day 
could be dedicated to discussion of safe harbor. 
 
 
Safe Harbor 
----------- 
 
¶6. (SBU) Regarding Safe Harbor, Buttarelli believes that 
this may be a good time to review the matter.  At the 
same time, however, he quoted a recent survey conducted 
among Italian firms, which indicated that 85 percent of 
Italian companies transferring data to the U.S. adopt 
consensus methods; most others use contracts, and only 3 
percent rely on Safe Harbor.  Buttarelli also told 
EconCouns that a letter from U/S Aldonas had been 
received in Brussels as a follow-up to the EU 
Authorities' visit to Washington in 2002 (reftel), but 
that the content was not substantive.  He noted that a 
DVC promised in the letter never took place. 
 
¶7. (SBU) Comment: Despite his opposition to PNR on 
principal, Buttarelli appeared optimistic regarding a 
possible compromise solution this year.  We are also 
encouraged by his willingness to accept ATAA's invite and 
by his desire to set up a July meeting with appropriate 
USG officials.  Regarding Safe Harbor, Buttarelli remains 
as critical as he has been from the start, and is 
signaling that the system may become obsolete rapidly 
through use of alternative (better, in his view) tools. 
Sembler 
NNNN 
	2003ROME02436 - Classification: UNCLASSIFIED