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LabMD at the center of U.S. surveillance and government overreach abuse

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Michael J. Daugherty, entrepreneur and CEO of LabMD in Atlanta, Georgia recently authored a book titled, “The Devil Inside the Beltway: The Shocking Expose of the U.S. Government's Surveillance and Overreach Into Cybersecurity, Medicine and Small Business” and told the Paulding County Republican Examiner in an exclusive interview on Wednesday, that his battle is far from over.

Daugherty provides true accounts in his book that uncovers and details an extraordinary government surveillance story that compromised national security and invaded the privacy of tens of millions of online users worldwide.

Daugherty found all this out all due to an incident that occurred with his private medical company, LabMD.

Daugherty started LabMD in 1996 and specializes in analysis and diagnosis of blood, urine, and tissue specimens for cancers, micro-organisms and tumor markers for Urologists throughout the United States.

Daugherty told the Paulding County Republican Examiner, “You’ll be rattled by what is really going on behind closed doors in Washington. When you read my book you’ll understand how frightening this is.”

Daugherty’s book documents a frighteningly systematic and dishonest investigation by one of the US Government’s most important agencies, the FTC.

His story is written as a riveting true political thriller. The pace is breathless, the arguments detailed and compelling, and the iron will of Daugherty transforms him from government prey to government whistleblower.

Daugherty explained about how his pursuit of the American Dream has now turned into the American nightmare.

Daugherty states, “My problems began in 2008 when my company, LabMD got a call from a company called Tiversa. Tiversa said they found a medical file with over 9000 patients on a P2P network but would not tell us anything else unless LabMD hired them.”

Daugherty said that this did not sit well with him and his IT team could not find the file in question out in cyberspace.

“Then Tiversa put the file up in front of Congress, shared it with Dartmouth, and gave it to the FTC. Then, the FTC began investigating my company. I later found out that Homeland Security actually gave a grant to Dartmouth for the snooping that totaled $24 million,” Daugherty said.

Five years later, Daugherty and LabMD are still in a high profile battle with Tiversa and the FTC. The FTC is having to play defense, defending their rights to go where they want, when they want, without rules or standards. The road to a fair court hearing is a long one. Daugherty is determined to let the public see just Congress has allowed the FTC to create such a lopsided and corrupt process.

“This has grown from a classic David vs Goliath battle into a dispute that could shape the future of federal health privacy regulation,” Daugherty told the Paulding County Republican Examiner.

“I am taking this all the way to show the country how these people operate when Congress and the Judiciary turns their backs. All businesses from 2 to 200,000 employees need to put a stop to this. It is hurting everyone and helping nobody except the government lawyers that want to keep their jobs,” Daugherty said.

“Nothing invaded our company per a virus,” Daugherty said. “There was a P2P file sharing program but we have no proof that that is how it got out. Neither does the FTC. This is the big issue. The FTC says they don't need proof. They are just punishing me for challenging them, not succumbing and I am showing what they do for the rest for the world to see.”

When asked how this happened, Daugherty said, “We actually have no proof of what happened and neither does the FTC or Tiversa. However, there was one file in one folder on one workstation that was vulnerable to P2P, totally against company policy. This was 6 years ago when millions of files were vulnerable. There was no company network access and no company network exposure. The P2P software only let one folder be vulnerable and you would have to know the name to get it. All bunch of BS. This is why the FTC doesn’t want to have rules or standards. They want to make things up as they go along. Classic bullies that thing they are saving the world.

“In the meantime, Snowden walks out with a thumb drive and Target just had 40 million credit cards exposed. This is one dangerous government organization that makes us all less safe with their shenanigans,” said Daugherty.

“The FTC is just playing dirty to punish those that don't quake in their presence. The consequences of their actions will have a chilling effect on Americans and their businesses for years.”

Expect this story to only get bigger in 2014 as Daugherty’s book spreads and the medical world gets wind that another government agency wants into their shop.

As Daugherty puts it, “The FTC stands firm in their view that they don’t need standards or rules to go after medical facilities and providers. As if Obamacare and Health and Human Services isn’t enough.”

Daugherty’s book is out in hardcover, softcover, and Ebook. The audio book will be available on January 15, 2014. It is available at Amazon, Barnes and Noble, and ITunes.

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