Is an RFID identifying you? Continuing on our discussion of last week regarding the RFID chip technology that is being embraced wholeheartedly by governments, medical, and retail industries. RFID's (radio frequency identification devices) can be used in so many ways that it is felt that the benefits of convenience and cost savings out weigh security and privacy concerns. To whom I might add? RFID's can be used for the following:l<$> Track marine and aircraft shipping.

* Monitor auto tire wear.

* Identify pets.

* Tracking livestock for disease issues.

* Follow drug distribution to identify counterfeit drugs.

* Start cars from remote distances.

* Injected under human skin, to store medical histories.

* Embedded in employees arms for high-level security electronic locks (yes!).

* Embedded in clothes to compile shopper purchasing habits.

* Very common place already, access card locks to buildings.

* Credit card scanning at high speed road tolls.

* Tracking cash - RFID's embedded in banknotes.

* Tracking vehicles and drivers licenses in and out of borders.

* Tracking passports.

* Postal service tracking packages, money orders and personal letters.

* Tagged to DNA for medical research, this is the most incredulous use of all!

A NAFTA Super highway RFIS card is envisioned for US Citizens and other travellers to the US - the inception of a virtual border. Trusted traveller toll road systems will mean that government will decide if, and where you travel between Canada, the US and Mexico.

According to author Jerome Corsi: "Similar toll systems cutting through major American cities will force American citizens to submit to having RFID enabled identification cards which contain an ever-increasing array of information about their personal lives. For instance, political dissidents attending protests or hurricane victims attempting to flee could find their journeys cut short at the whim of bureaucrats under the guise of 'protecting national security'."

According to www.epic.org Eletronic Privacy Information Centre, the"proposed uses of RFID tags pose exponentially greater risks to personal privacy. Many technology experts predict the development of a seamless network of millions of RFID receivers strategically placed around the globe in airports, seaports, highways, distribution centres, warehouses, retail stores, and consumers' homes, all of which are constantly reading, processing, and evaluating consumers behaviours and purchases.

"In addition to undermining a consumer's ability to enjoy a lifestyle in relative anonymity, critics of the technology counter that the information gathered by RFID readers could be obtained by the government for surveillance or monitoring the activities of citizens, or even misused by hackers and criminals.

"Even more, the ever-expanding use of RFID chips would leave no aspect of life safe from the prying eyes of retail and corporate giants. Chips integrated into commonplace products such as floor tiles, shelf paper, cabinets, appliance, exercise equipment, and grocery and packaged products would allow even our most intimate activities to be monitored.

"In an attempt to soothe consumers' fears, companies have argued that most items tagged with RFID chips can't be tracked beyond an operating distance of about five feet. However, while this may be true today, industry experts say plans for building far more sensitive RFID signal receivers are in the works.

"As RFID technology becomes more advanced, consumers may ultimately lose all ability to evade products implanted with chips.

"Corning researchers have developed tiny, barcoded beads that are invisible to the human eye. The microscopic beads can be embedded in inks to tag currency and other documents, and even attached to DNA molecules.

"They can also be added to substances like automobile paint, explosives, or other products that law enforcement officers or retailers have a strong interest in tracking. Researchers say the technology could be ready for commercial use in three to six years."

Declan McCullagh of www.news.com, under the headline "RFID tags; Big Brother in small packages" states that "you can imagine nightmare legal scenarios. Future divorce cases could involve one party seeking a subpoena for RFID logs — to prove that a spouse was in a certain location at a certain time.

"Future burglars could canvass alleys with RFID detectors, looking for RFID tags on discarded packaging that indicates expensive electronic gear is nearby. In all of these scenarios, the ability to rem anonymous is eroded."

What does this mean for residents in Bermuda? Ultimately, we will have all these RFID devices in our passports. We are going to have to plan more carefully in a more chaotic world for what we buy abroad, where we go, how long we stay, and what kinds of activities we engage in while there.

With this technology, governments will have the wherewithal to assess and extract payments. We will need to have a much better understanding of other countries' immigration and tax laws. Be forewarned. It is only a matter of time before taxing authorities may track the transaction activity surrounding your rented investment property abroad, for instance, and send you a tax bill for operating a business.

Many countries consider you a resident for tax purposes if you overstay your allotted number of days. The ability to monitor your border crossings is becoming quite finite — down to the half-day. Without careful timing, you could also face a hefty tax bill as a deemed resident, assessed on your world-wide income.

We humans are pretty astute; even when we've been had, we don't like to admit it. Our antenna and distrust increase when platitudes from governments, politicians, corporate giants and the like declare that, "this technology will be good of the citizens of this country, etc."

We are also very good at putting two and two together when gleaning information about other people. However, we do not like it when others learn things about us. Now, in ourdated version of "1984" written by George Orwell in 1949<$>, it is going to be far easier for the very few (Big Brother) to know a great, great deal about the many.

I do not think any of us have any idea how much we won't like this trade-off between convenience and loss of privacy.

In the classic book "1984", Orwell displays his perception of a futuristic world where surmised technological advances, such as telescreens, are used to the benefit of the system and to exploit greater control over party members and the masses ("proles") alike, not improve quality of life.

Martha Harris Myron CPA CFP|0xae| is a Sr. Wealth Manager at Argus Financial Limited. She specializes in investment advisory services with objective comprehensive financial solutions for private clients planning for retirement and lifestyle transitions. DirectLine: 294 5709 Confidential email can be directed to marthamyron@northrock.bm

The article expresses the opinion of the author alone. Under no circumstances is the content of this article to be taken as specific individual investment advice, nor as a recommendation to buy/ sell any investment product. The Editor of the Royal Gazette has final right of approval over headlines, content, and length/brevity of article.