US Treasury Cracks Down on Chinese Cybersecurity Firm with Sanctions

The US Treasury Department sanctioned Integrity Technology Group, a Beijing-based cybersecurity company, for its involvement in hacking incidents targeting US infrastructure. The sanctions relate primarily to activities by Flax Typhoon, a Chinese campaign attacking critical US infrastructure. The move aims to disrupt cyber threats and safeguard US assets.

The US Treasury Department sanctioned a Beijing-based cybersecurity company, Integrity Technology Group, on Friday for its alleged role in hacking US infrastructure. The Treasury's Office of Foreign Assets Control identified the company as responsible for multiple cyberattacks, including engagements tied to Flax Typhoon, a Chinese state-sponsored campaign targeting American critical infrastructure.

This action follows a recent cybersecurity breach where Chinese hackers accessed US Treasury Department workstations and documents. The breach was detected on December 8 by BeyondTrust, whose software detected a stolen key used in a cloud-based service for technical support. However, these new sanctions are unrelated to the December 8 incident.

In response to these developments, Treasury Acting Under Secretary Bradley Smith emphasized the US's commitment to disrupt cyber threats while strengthening cybersecurity defenses across both public and private sectors. The sanctions restrict access to US properties and bank accounts, and prohibit dealings with Americans, in an effort to counter the ongoing Chinese cyberespionage campaign known as Salt Typhoon.

(With inputs from agencies.)