Canadian CEO facing U.S. charges

MODIFIED SMARTPHONES DESTINED FOR DRUG DEALERS

The United States has arrested and charged the chief executive of cybersecurity firm Phantom Secure, alleging the Vancouver-area businessman has conspired to provide drug traffickers with modified BlackBerry smartphones to evade law enforcement.

Vincent Ramos of Richmond, B.C., was arrested March 7 in Bellingham, Wash., near Seattle, and faces criminal charges filed with a U.S. district court in San Diego, Calif. Those records are sealed.

The U.S. Justice Department announced the charges Thursday following a years-long undercover operation that included several American, Australian and Canadian agencies including the Royal Canadian Mounted Police.

Authorities continue to seek four other suspects from various countries.

They allege that Phantom Secure, which bills itself as “the world’s most trusted communication service,” advertised its products as impervious to decryption and guaranteed that evidence on a device could be destroyed remotely if it was compromised.

The Department of Justice said the case is the first time the U.S. government has targeted a company and its principals “for knowingly and intentionally conspiring with criminal organizations by providing them with the technological tools to evade law enforcement and obstruct justice while committing transnational drug trafficking.”

The Canadian Press hasn’t been able to contact Ramos or his lawyer.