FBI, Secret Service probe reports of cyber attack on banks

The FBI confirmed it is investigating recently reported cyber attacks on US financial institutions.

“We are working with the United States Secret Service to determine the scope of recently reported cyber attacks against several American financial institutions,” a FBI spokesman told Advisen early Thursday. “Combating cyber threats and criminals remains a top priority for the US government and we are constantly working with American companies to combat cyber attacks.”

Multiple reports, first by the Bloomberg News and The New York Times, indicate JPMorgan Chase & Co. and at least four additional financial institutions were struck by hackers in a series of attacks this month.

JPMorgan has not immediately responded to a request for comment on the reports.

The bank has told multiple outlets it experiences cyber attacks “every day” and has many layers of defense to offset threats and monitor fraud.

Unidentified sources told Bloomberg that Russian hackers were to blame for the cyber attacks, possibly in retaliation for US government-sponsored sanctions. Other agencies such as the National Security Agency, are involved in the investigation, said Bloomberg

A recent PriceWaterhouseCoopers report on US cyber crime reported that nation-state hackers are of particular concern. Sean Joyce, a PwC principal and former FBI deputy director, said, “We are seeing increased activity from nation-state actors, which could escalate due to unrest in Syria, Iran, and Russia. These groups may target financial services and other critical infrastructure entities.”

In May the New York Department of Financial Services released a report on cybersecurity within the banking sector. It said cyber attacks on financial institutions have become “more frequent, more sophisticated and more widespread.” Among the threats to the sector are “unfriendly nation-states” that look to breach systems for intelligence or intellectual property.

Nearly 80 percent of surveyed depository institution the NY DFS surveyed said information security budgets were expected to increase over the next three years. Very few institutions experienced successful breaches with significant monetary damages over the last year numerous attempted attacks. The NY DFS said financial institutions typically alert law enforcement and/or regulators following a breach but notify customers only if they are directly impacted.

U.S. Treasury Secretary Jacob J. Lew in July urged financial institutions to intensify efforts toward cybersecurity. “Successful attacks on our financial system would compromise market confidence, jeopardize the integrity of data, and pose a threat to financial stability,” he said. Treasury established the Cyber Intelligence Group, which shares cybersecurity information with the financial sector. To date, the CIG has produced 23 notices with cyber-threat indicators and information to help the sector.