Rebel nation teams with Internet pioneers to evade Big Brother
MARA D. BELLABY; Associated Press Writer

LONDON (AP) _ Principality of Sealand: founded 1967. Head of state: Prince Roy. Official language: English. Currency: Sealand dollar. Location: a World War II gun platform anchored to the seabed some six miles off England's east coast.

International profile: not much to speak of.

But all that could change this fall when a team of Internet pioneers invited onto the rebel principality launches what is billed as the world's first "data haven" _ a pirate e-communications link promising complete privacy and no government interference in e- mails, online financial transactions and Web sites.

HavenCo, the Anguilla-registered company behind the venture, says the combination of Sealand’s declared independence from Britain, sophisticated encryption techniques and the anything-goes attitude of Sealand ruler Roy Bates will give customers an unprecedented level of freedom and security.

For nations increasingly trying to assert some control over the Internet, this self-proclaimed sovereign principality _ two concrete towers connected by an iron platform standing in about 30 feet of water in the North Sea _ could become a real headache.

"We are the first place on Earth where people are free to conduct business without someone looking over their shoulder," boasts HavenCo spokesman Bill Scannell.

Whether this libertarian venture can succeed remains to be tested.

Law experts and Information Age pundits say Sealand’s tenuous claim to independence _ not to mention the borderless, anarchic nature of the Internet _ raise a host of legal questions.

While Britain has so far watched silently, government officials insist that Sealand erected by Britain in 1940 as a base to shoot down Nazi bombers, abandoned after the war and taken over by Bates in the 1960s _ is still part of the United Kingdom.

"The U.K. does not recognize Sealand as an independent state and we believe no other country does either," Foreign Office spokesman Robin Twyman says.

The Home Office, the British agency responsible for law enforcement, says it expects Sealand and any business operating on it to follow British laws, including a bill expected to go into effect this fall that would allow the government to monitor Internet traffic.

Authorities concede, however, that no decision has yet been made about how to enforce the law on the maverick sea fortress, which has operated pretty much as it likes since Britain unsuccessfully attempted to reclaim it in 1968.

A British judge ruled at the time that the court didn't have jurisdiction over Sealand because it lies some three miles outside the United Kingdom's territorial waters.  Sealand has since issued its own passports, stamps and currency _ the latter bearing the face of Bates' wife, Joan.

Britain responded by extending its territorial waters to encompass the structure, originally erected in international waters, but has otherwise shown little interest.

HavenCo seems undaunted by suggestions its venture may provoke Sealand’s giant neighbor into reasserting its authority.

"The British forces won't come against me," says Bates, a retired British army major who adopted the title Prince Roy of Sealand after hoisting a red, white and black flag over the fortress in 1967. "I'm an ex-soldier and did a lot of service in hard times. I'm an Englishman and my family are English."

"We wouldn't do anything to harm England in the slightest way," vows Bates, who says he was attracted to the Internet venture because of his past involvement in pirate radio.

"We might do things they don't like too much, but that is only because we believe in freedom," he adds.

HavenCo is the brainchild Sean Hastings, an American Internet entrepreneur/programmer who already has moved onto the site, where he works in a circular control room reached by a U-boat style ladder below sea level.

The company has quietly started work, with a full-scale launch scheduled for Sept. 1.

Scannell says HavenCo hopes to attract financial institutions and other electronic commerce groups, including gambling businesses, which may want to avoid regulations, tax requirements and government eavesdropping.

The only things forbidden: unsolicited bulk e-mails, child pornography and the use of Sealand to launch malicious hacker attacks.

"What people use our service for _ other than those three things _ we don't have a problem with," Scannell says.

The loose rules shouldn't attract a flood of interest from criminal gangs or terrorists, he insists.

"We believe strongly in unfettered individual freedom, particularly in the area of electronic communications," the company says in its promotional material. "Free communication can never be a crime, and by itself can never hurt anyone."

The way HavenCo works is simple: Customers must purchase a host computer server _ for between $3,000 and $10,000 _ and pay an additional monthly rental fee of about $1,500.

Some groups, such as Tibet Online, the Internet base for the Tibetan's government in exile, will be offered free assistance as a community service.

Yaman Akdeniz, director of the watchdog group CyberRights and Cyber Liberties, is intrigued by the company's bid to buck Big Brother.

But he says he remains unconvinced it will work _ or even that the Internet should be completely free of regulation.

"We don't completely want the Internet to be out of the reach of government," says Akdeniz, who runs his own site out of Canada, where Internet regulations are less strict than in Britain. "There are laws online and we agree that there should be laws online. What we don't want is laws that go further than they need to."

Akdeniz also says he is puzzled why HavenCo has sought so much publicity for its venture.

"What we normally suggest as libertarians is if you want to do something like that, you do it quietly," he says. "You don't tell people, 'Come and get us.'"

Scannell says HavenCo is prepared for trouble, and will route its data on the Internet to avoid censorship. Part of the plan: establishing fiber-optic connections through Britain and the Netherlands to prevent any one country from being able to shut it down.

Scannell refuses to disclose how many people will be based on Sealand to run the business and says access to the fortress will be severely restricted. Even customers will be not allowed uninvited, and most will be discouraged from visiting, he says.

The technical team has also stocked up on food to survive a siege _ a tactic Britain used successfully against boats operating illegal pirate radio stations in the North Sea in the 1960s.

Potentially more damaging than being forcibly isolated may be the odd nature of the Internet itself, said Graham Smith, a London-based Internet lawyer.

"Because it is everywhere doesn't mean it is nowhere," he says. "Data _ bits and bytes _ may be flying across borders but, at the end of the day, people and assets have to be somewhere. And that is when good, old-fashioned terrestrial laws can come out and bite."

___

On the Net:

HavenCo: http://www.havenco.com

Sealand: http://www.fruitsofthesea.demon.co.uk/Sealand

Cyber Rights and Cyber-Liberties: http://www.cyber-rights.org

Keywords: International

© The Associative Press
MARA D. BELLABY; Associated Press Writer
Rebel nation teams with Internet pioneers to evade Big Brother,06-24-2000