NC Judge Declines To Protect Diebold

One of the nation's leading suppliers of electronic voting machines may decide against selling new equipment in North Carolina after a judge declined Monday to protect it from criminal prosecution should it fail to disclose software code as required by state law.

Diebold Inc., which makes automated teller machines and security and voting equipment, is worried it could be charged with a felony if officials determine the company failed to make all of its code - some of which is owned by third-party software firms, including Microsoft Corp. - available for examination by election officials in case of a voting mishap.

The requirement is part of the minimum voting equipment standards approved by state lawmakers earlier this year following the loss of more than 4,400 electronic ballots in Carteret County during the November 2004 election. The lost votes threw at least one close statewide race into uncertainty for more than two months.

About 20 North Carolina counties already use Diebold voting machines, and the State Board of Elections plans to announce Thursday the suppliers that meet the new standards. Local elections boards will be allowed to purchase voting machines from the approved vendors.

"We will obviously have no alternative but withdraw from the process," said Doug Hanna, a Raleigh-based lawyer representing North Canton, Ohio-based Diebold.