Chinese Hack Prompts GOP Push For Treasury Cybersecurity Review

Republican lawmakers are demanding accountability after the Treasury Department disclosed a cyber breach attributed to Chinese state-sponsored hackers. The attack, uncovered in December, targeted unclassified systems and accessed sensitive data, raising alarms in Washington.

Sen. Tim Scott (R-SC) and Rep. French Hill (R-AR) sent a letter to Treasury Secretary Janet Yellen, describing the breach as “unacceptable.” They requested a detailed briefing by Jan. 10 and criticized the department’s handling of the incident.

The breach was identified by BeyondTrust, a third-party software provider, which reported that hackers had stolen a key granting access to Treasury systems. Treasury has since removed the compromised service and stated there is no evidence the attackers retained access.

A Treasury spokesperson emphasized the department’s commitment to cybersecurity, noting improvements made over the past four years. Treasury is working with the FBI and CISA to determine the extent of the breach and any vulnerabilities exploited by the attackers.

Scott and Hill asked for specific details about how Treasury identified and responded to the breach. They highlighted the department’s role in protecting highly sensitive information, including tax records and reports on suspicious financial activity.

The attack underscores the ongoing challenges of defending government systems from state-sponsored cyber threats, particularly from adversaries like the Chinese Communist Party.