Paragon Spyware Contract Terminated with Italy - Reports

Paragon Solutions Ends Italian Government Contracts

Paragon Solutions, a company specializing in the provision of surveillance technologies – including phone spyware – has reportedly severed its relationship with the Italian government. This information stems from reports published by both The Guardian and Haaretz.

Contract Suspension and Termination

The Guardian, referencing an unnamed source, initially reported on Thursday that Paragon had suspended its contract with Italy on Friday. This action followed an announcement by WhatsApp regarding the disruption of a hacking operation. The campaign utilized spyware developed by the Israeli startup, targeting approximately 90 individuals.

Further details revealed by the British newspaper indicate that Paragon formally terminated the contract on Wednesday. This decision was made after the company concluded that the Italian government had violated the agreed-upon “terms of service and ethical framework” outlined in their Paragon contract.

Confirmation and Scope of Disconnection

Haaretz, an Israeli news source, subsequently corroborated The Guardian’s reporting. They added that Paragon had ended its agreements with two distinct Italian government entities: a law enforcement agency and an intelligence agency.

Access to Graphite, Paragon’s spyware product, was also disconnected for these agencies, according to the anonymous sources cited by the publication.

Government Response

TechCrunch’s attempts to obtain a statement from the Italian Prime Minister’s office were unsuccessful, as no response was received.

ACN Investigation

Arturo di Corinto, a spokesperson for Italy’s Agenzia per la Cybersicurezza Nazionale (ACN) – the National Cybersecurity Agency – confirmed to TechCrunch that the ACN is currently in communication with legal representatives from Meta.

The agency is analyzing the situation, which is considered “very delicate” due to the involvement of a foreign company and the alleged surveillance of both a journalist and a human rights activist.

Di Corinto indicated to TechCrunch that ACN currently has no additional information to share.

Paragon's Stance

Idan Nurick, Paragon’s CEO and co-founder, declined to comment on the Italian cases or WhatsApp’s allegations, stating, “I don’t talk about our customers and activity.”

Unresponsive Parties

TechCrunch also contacted John Fleming, the executive chairman of Paragon’s U.S. subsidiary, but did not receive a response to their inquiry before publication.

The situation highlights growing concerns surrounding the use and regulation of surveillance technologies by governments worldwide.

Citizens Targeted Across Multiple European Nations

The office of Italy’s Prime Minister, Giorgia Meloni, issued a denial on Wednesday regarding any connection to the spyware operation disclosed by WhatsApp. The Prime Minister’s office affirmed that Italian intelligence agencies do not target individuals protected under the law, specifically including members of the press.

Following WhatsApp’s revelation of the spyware campaign, three individuals have identified themselves as potential targets. Each of these individuals has publicly voiced criticism towards the Italian government.

Francesco Cancellato, the director of the news platform Fanpage.it, was the first to come forward. His organization previously released a critical documentary examining the youth division of Meloni’s right-leaning political party. The investigation highlighted instances of racist statements and the recitation of Nazi and fascist slogans.

Husam El Gomati, a Libyan activist residing in Sweden, reported being targeted on Monday. He has consistently expressed disapproval of the collaborative efforts between the Italian and Libyan governments to impede the flow of migrants across the Mediterranean Sea.

Luca Casarini, a co-founder of Mediterranea Saving Humans, a non-governmental organization dedicated to assisting migrants, also announced on Wednesday that he had been targeted by the spyware.

Further disclosures of affected individuals are anticipated, potentially extending beyond Italy’s borders. The Italian government has engaged with WhatsApp to gather more information regarding the company’s assertions. Meta, WhatsApp’s parent company, indicated that users in Austria, Belgium, Cyprus, Czech Republic, Denmark, Germany, Greece, Latvia, Lithuania, the Netherlands, Portugal, Spain, and Sweden were also among those targeted.

Requests for comment directed to the governments of these nations, either through their U.S. embassies or other official channels, have not yet received responses from TechCrunch.

On Tuesday, Paragon’s Fleming communicated to TechCrunch that the company’s clientele includes the U.S. government and its unnamed “allies.” Reports from Euractiv on Thursday revealed that the company maintains a subsidiary located in Hamburg, Germany.

Fleming further stated to TechCrunch that Paragon mandates all users to accept terms and conditions that expressly forbid the unlawful targeting of journalists and civil society representatives.

A strict zero-tolerance policy is in place against such targeting, and Paragon will sever ties with any customer found to be in violation of its service terms, according to Fleming.

Evidence suggests that Paragon upheld this policy in relation to its Italian clients.