Convar Systeme Deutschland GmbH

Convar Systeme Deutschland GmbH, based in Pirmasens, Germany, near the NATO air base Ramstein, was a leading data recovery company in 2001. Specializing in retrieving data from damaged computer hard drives and mainframes, Convar developed a proprietary laser-based scanning technology that allowed it to read data from physically compromised drives by creating virtual disks.

This technology, developed approximately two years before 9/11, gave Convar a competitive edge over other data recovery firms. The company’s facility was certified as a “high security zone” for military purposes, indicating its capability to handle sensitive data, which was critical for its post-9/11 work. Convar’s expertise made it a natural choice for recovering data from the WTC wreckage, where financial, telecommunications, and accounting firms housed critical systems destroyed in the attacks. The company’s involvement was part of a broader effort to restore business records and investigate suspicious financial transactions that occurred just before the attacks.

Convar’s Role in WTC Data Recovery

Following the September 11, 2001, attacks, Convar was hired to recover data from hard drives extracted from the rubble of the WTC and nearby collapsed buildings. The effort focused on reconstructing records for financial companies, credit card firms, telecommunications providers, and accountants whose systems were destroyed when the Twin Towers and other structures, including 7 WTC, collapsed.

News reports from December 2001, including Reuters, CNN, and Deutsche Welle, provide the primary details of Convar’s work:

Scope of Recovery: Convar processed at least 81 hard drives, completing data recovery on 39 by December 20, 2001. The company reported retrieving 100% of the data from most drives, despite challenges like fire, water damage, and contamination from fine dust pressed into the drives under high pressure. By December, Convar had recovered information from 32 computers, which supported suspicions of unusual financial activity.

Suspicious Financial Transactions: A key focus of Convar’s work was investigating an “unexplained surge” in credit card and financial transactions processed through WTC computer systems in the minutes before and during the attacks. Reports speculated that these transactions, potentially exceeding $100 million, could indicate insider trading or profiteering by individuals with foreknowledge of the attacks. Convar’s laser scanning technology aimed to reconstruct these transactions to trace their origins and destinations, assisting companies and the FBI in piecing together what happened.

Collaboration with Authorities: Convar worked closely with U.S. companies and the FBI, as confirmed by Richard Henschel, a Convar spokesperson. The high cost of recovery limited the number of drives examined, prioritizing those with potential investigative value. Henschel expressed confidence that the “dubious transactions” would eventually be tracked down, though no public follow-up reports confirmed the outcome.

Technological Edge: Convar’s laser-based scanning, described by spokesperson Peter Wagner, read individual drive surfaces to create virtual disks, enabling data recovery from severely damaged hardware. This capability distinguished Convar from other firms involved in WTC data recovery, though companies like SunGard and EMC also supported clients with backup and recovery services.

Context and Significance

Convar’s work gained attention due to the financial implications of the recovered data. The surge in transactions fueled speculation about insider trading, a topic investigated by the 9/11 Commission and financial regulators. The Commission’s 2004 report found no evidence of illicit trading directly tied to al-Qaeda or foreknowledge of the attacks, attributing unusual market activity to normal volatility and post-attack disruptions. However, Convar’s findings, as reported in 2001, suggested otherwise, raising questions about whether critical evidence was overlooked or suppressed.

The involvement of Convar intersected with broader post-9/11 recovery efforts. Crossing the Rubicon notes that Kroll Inc., a private security firm with ties to intelligence networks and partial ownership by AIG, acquired Convar in June 2002. This acquisition, occurring after Convar’s WTC work, has fueled speculation about intelligence agencies’ interest in controlling access to recovered data. Kroll’s staff, including former CIA and FBI personnel, and its role in executive protection, amplify these concerns.