Echelon is an automated global telecommunications traffic interception and relay system that is run courtesy of the National Security Agency (NSA). This 30-year-old program can "intercept, process, and cull many types of transmissions worldwide. By one estimate, it can sift through as many as 3 bilion phone calls, e-mail messages, Internet downloads, and satellite transmissions daily."

In a letter that was sent to the Dutch Parliament on Friday, the Dutch Defense Ministry openly acknowledged the existence of the global spy system, though none of the governments believed to be involved -- including the United States, the United Kingdom, Canada, Australia, and New Zealand -- have officially and openly admitted to its existence.

Several countries have expressed their concern regarding the system, worried that it's being used for industrial espionage, allegations which the U.S. and the United Kingdom governments have rejected.

In a statement issued by the Ministry, it stated that the "Dutch government does not have access to confirmed information about the existence of Echelon from the governments that have been named in connection with it; however, this can be assumed due to currently available information, studies, and public sources."

The ministry referred to investigations of Echelon undertaken by the Belgian and French parliaments, as well as to a special temporary committee set up last year by the European Parliament.

The Dutch Ministry warns that all communications networks are at risk of being monitored not only by state agencies, but also by private citizens, businesses and organized crime.

• How Carnivore Works - 20 Dec 2000
• Bracing For The Storm - 22 Apr 2000
• Project Echelon - 5 Apr 2000
• Big Brother Is Watching - 17 Feb 2000