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Two Republican lawmakers are pressing the U.S. Treasury Department for a detailed briefing following a cybersecurity breach allegedly carried out by a China-backed hacking group. The incident, which compromised employee workstations, has raised serious concerns about the security of sensitive government information.
In a letter dated Dec. 31 and addressed to Treasury Secretary Janet Yellen, Senator Tim Scott of the Senate Banking Committee and Representative French Hill, vice chair of the House Financial Services Committee, called for a congressional briefing by Jan. 10. They requested comprehensive details about the breach, including the information accessed, the mechanics of the attack, and the measures being implemented to prevent future incidents.
Concerns About Sensitive Data
“This breach of federal government information is extremely concerning,” Scott and Hill stated in the letter obtained by Law360. They emphasized that the Treasury Department holds some of the most sensitive information in the federal government, including tax data, business ownership details, and suspicious activity reports.
The lawmakers noted that safeguarding such data should be a top priority to prevent theft or surveillance by foreign adversaries. “The fact that a CCP [Chinese Communist Party]-sponsored APT [advanced persistent threat] actor was able to access Treasury’s information systems is unacceptable and raises serious questions about the protocols for safeguarding sensitive federal government information,” they added.
Details of the Breach
The breach occurred on Dec. 2, 2024, when an unidentified threat actor infiltrated employee workstations, gaining access to certain unclassified documents. In a letter dated Dec. 30, Treasury officials informed lawmakers that the breach had been attributed to a Chinese state-sponsored APT group. The Treasury committed to providing additional details within 30 days as mandated by the Federal Information Security Modernization Act.
China has denied any involvement, with a spokesperson telling Reuters that the country “firmly opposes the U.S.’s smear attacks against China without any factual basis.”
Broader Implications
The breach highlights the ongoing cybersecurity challenges faced by federal agencies. Lawmakers have underscored the need for stronger protocols to safeguard critical data, particularly given the heightened threat posed by state-sponsored actors.
As the Treasury prepares its supplemental report, the incident serves as a stark reminder of the importance of robust cybersecurity measures to protect against adversaries targeting sensitive government systems.
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