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US Government, NATO accuse China of Microsoft Exchange attacks

The Microsoft Exchange hack and many other attacks were caused by gangs working with the Chinese government, the Biden administration and NATO claim.

In March, Microsoft disclosed that Microsoft Exchange Server was the target of attacks, which it believed were conducted by a hacking group in China known as Hafnium. According to the White House and a UK security agency, it appears that the attacks were partly orchestrated by the Chinese government.

On Monday, the Biden administration sent an alert to government bodies and private companies holding China responsible for the attacks,reports the Financial Times. The attacks included thefts and extortion, as well as ransomware instances with demands in the millions of dollars.

Allies of the U.S. around the world have also issued their own warnings, including the UK's National Cyber Security Centre, which is part of the country's main national security agency, GCHQ.

"The attack on Microsoft Exchange servers is another serious example of a malicious act by Chinese state-backed actors in cyberspace," said NCSC Director of Operations Paul Chichester. "This kind of behavior is completely unacceptable, and alongside our partners we will not hesitate to call it out when we see it."

NCSC claim the Exchange attacks was "highly likely to enable large-scale espionage," including acquiring information on individuals as well as to acquire intellectual property.

A senior administration official said China's "Ministry of State Security uses criminal contract hackers to conduct unsanctioned cyber operations globally, including for their own personal profit. Their operations include criminal activities, such as cyber-enabled extortion, crypto-jacking and theft from victims around the world for financial gain."

Alongside the announcement, the U.S. Department of Justice said on Monday that a federal grand jury in San Diego, California, indicted four nationals and residents of the People's Republic of China for hacking computer systems in the United States and abroad between 2011 and 2018. The indictment occurred in May, but was unsealed on Friday.

According to the indictment, the conspiracy's main theft was for IP of "significant economic benefit to China's companies and commercial sectors," including research and development efforts.

The group worked to steal trade secrets and confidential business information across many industries, including submersible and autonomous vehicle technologies, chemical formulas, genetic sequencing technology, and information "to support China's efforts to secure contracts for state-owned enterprises" in other countries.

Each of the four defendants are charged with a count of conspiracy to commit computer fraud and a count of conspiracy to commit economic espionage, which carry maximum prison sentences of 5 years and 15 years respectively.



67 Comments

Kuyangkoh 7 Years · 838 comments

Then why are government agency computers and private servers are not protected? Specially those that are important…..we all know that they will steal even our shit…..5-10 years is nothing, make that life time or death penalty 

sdw2001 23 Years · 17460 comments

Kuyangkoh said:
Then why are government agency computers and private servers are not protected? Specially those that are important…..we all know that they will steal even our shit…..5-10 years is nothing, make that life time or death penalty 

Nothing is fully protected.  Hackers get through protection all the time.  And dude, the death penalty? Get a grip. 

crowley 15 Years · 10431 comments

Kuyangkoh said:
Then why are government agency computers and private servers are not protected? Specially those that are important…..we all know that they will steal even our shit…..5-10 years is nothing, make that life time or death penalty 

Executing foreign nationals is unlikely to improve relations.

DAalseth 6 Years · 3067 comments

Kuyangkoh said:
Then why are government agency computers and private servers are not protected? Specially those that are important…..we all know that they will steal even our shit…..5-10 years is nothing, make that life time or death penalty 

The penalty is moot. These people will never leave China and so never be prosecuted. As far as protection, they are. It's an ongoing battle between the good guys and the bad guys. One puts up security, the other finds ways to get around it. The first strengthens the security, the second finds new holes. The only computer that cannot be hacked is off. 

avon b7 20 Years · 8046 comments

DAalseth said:
Kuyangkoh said:
Then why are government agency computers and private servers are not protected? Specially those that are important…..we all know that they will steal even our shit…..5-10 years is nothing, make that life time or death penalty 
The penalty is moot. These people will never leave China and so never be prosecuted. As far as protection, they are. It's an ongoing battle between the good guys and the bad guys. One puts up security, the other finds ways to get around it. The first strengthens the security, the second finds new holes. The only computer that cannot be hacked is off. 

As global networking has moved further down into virtually always on CE devices and platforms, I'm beginning to doubt the quality of varying codebases.

I agree with you that holes will be found, exploited and fixed in a game of cat and mouse but I have a suspicion that software design and quality out of the gate just isn't as strong as it should be.

For decades now, essential pieces of the networking puzzle like routers have been seriously lacking in resources. About ten years ago I was working on a project involving worm signatures and one of the biggest problems was there just weren't enough resources available on devices to provide a decent solution without seriously impacting performance.

In other areas, the breakneck speed at which new services are updated on Android and iOS is probably one of the reasons why these kinds of errors get exploited before they are found and fixed.

It's just a sensation, though.