> Almost everyone does something that can be construed as being illegal. By allowing unfettered access to private information, this makes it much easier for laws to be selectively enforced in ways that benefit the government.

Exactly. It could be something as simple as guilt by association. Even though you might not have done anything illegal yourself, you may have the contact information of someone who is on a watchlist or has been convicted of a crime. For example, China is looking into developing a social credit rating system, any association an individual has to persons who the government consider less reputable could have real impacts on their credit rating.