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National

China accused in hack of FDIC

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Opening sequence

National

China accused in hack of FDIC

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COMING UP:China accused in hack of FDIC

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Transcript

00:00:01
>> Another bombshell hacking spree traced to China. This time at the FDIC, the agency backing up the nation's banks. A scathing report from Congress obtained by Reuters saying Beijing likely hacked into FDIC servers as recently as 2013 Dustin Volts says this bridge could be very damaging.>> The FDIC holds very valuable, very sensitive data about U.S. banks and that information could have been exposed in these breaches.
00:00:28
What is alleged is that the computers belonging to the former FBI chairwoman, former FDIC chief of staff and the former general counsel were all implicated in these breaches. And so those computers will be ones that will presumably store very valuable information that would be useful to any sort of foreign adversary trying to gain more insight into what is going on in the US banking system.
00:00:52
>> Another twist. The report says the FDIC tried to cover up the hack.>> The House Science, Space and Technology Committee is also alleging that if yes he didn't give due diligence in reporting these events, that they try to hide the fact that they were occurring and they try to hide the fact of other breaches of data from employees over recent years in a way that sort of circumvented Congress' oversight of their information technology systems.
00:01:18
At one point the report suggests that things weren't reported because the FDIC did not want to jeopardize the nomination of its pending chairman. And this is all very interesting because that chairman is going to be testifying on Thursday before this very committee that came out with this report alleging these serious allegations.
00:01:38
>> The report coming after the US accused China of stealing more than 21 million detailed background checks of federal employees. And after President Obama pledged a crack down.