Small States Can't Spend Security Grants Fast EnoughFederal dollars earmarked for security are being doled out unfairly say government critics, who would like to know why Alaska has received $92 per resident in federal security funds while densely populated states like New York ($32 per resident) and California ($22 per resident) lag behind. According to a report in Tuesday's New York Times, Congress has tried to rectify the matter but it continues to use a spread-the-wealth formula instead of providing the majority of the funds to the states that are the most likely terrorist targets. Said Tom Ridge, homeland security secretary, ""We would like to see more of the dollars go toward areas where the population density is greater, where there is more critical infrastructure, and where the threat seems to be higher."For more details, read the full article in The New York Times.Terrorism Case Shows U.S. Flaws in StrategyThe Bush doctrine of preemptive action doesn't apply only to the military. The government, hoping to prevent future attacks, has also pursued this risky strategy in court. According to a story in the Los Angeles Times, one reason a terrorism case fell apart in Detroit was that prosecutors didn't have enough evidence to connect the suspects to a terrorist organization. The Times also suggests that animosity between a local prosecutor and the Justice Department also contributed to the failure of the government to succesfully prosecute its case against five men who officials said possessed security badges from Detroit Metropolitain Airport, phony IDs and other fraudulent documents.For more details, read the full article in the Los Angeles Times.ID Thieves Target EnterprisesConsumers aren't the only group that has to worry about ID theft. According to a story in The Register, identity thieves are now targeting businesses. A popular scheme involves setting up a bogus website under a legitimate company's name, then applying for merchant status with a credit card payment processing company. The fraud continues when orders come through the bogus websites and the fraudsters take a percentage of the transaction. The funds are then funneled to other accounts before companies realize they have been taken. New-York based software company T-Data knows this scam all to owell. It landed with a bill for $15,000 in fraudulent credit card fees. "They are flying under the radar on each transaction unless someone does a whole lot of work," said Jeff Duhl, T-Data's owner.For more details, read the full story in The Register.