China likely hacked US bank regulator

The Chinese government is believed to have infiltrated computers belonging to a US banking regulator, which employees then tried to cover up, a Congressional report has said.

The computer system at the Federal Deposit Insurance Corporation (FDIC), which guarantees US banking deposits, was "hacked by a foreign government, likely the Chinese" the document released yesterday said.

According to the report, which was released by the Republican-led Science, Space and Technology Committee, the agency then tried to hide the attacks.

"The FDIC's repeated unwillingness to be open and transparent with the committee's investigation raises serious concerns about whether the agency is still attempting to shield information from production to Congress," the report said.

According to the committee, the first hacking was detected in 2010, and the problem reared its head again in 2011 and 2013.

"In all, 12 workstations were compromised and 10 FDIC servers were penetrated and infected by a virus created by a hacker," the committee said.

"Even the former chairwoman's computer" had been compromised, it added.

National Security Agency chief Michael Rogers told Congress in April that Chinese hackers remain "engaged in activity directed against US companies." He said that the "jury is still out" on whether China then passes the intel to the business world.

FDIC chairman Martin Gruenberg will be grilled before the committee today. Interim inspector general Fred Gibson will also testify.