BANGKOK — A recent decision by the U.S. Treasury to impose sanctions on a cybersecurity firm based in Beijing, Integrity Technology Group, has drawn sharp criticism from China. The sanctions were enacted due to the firm’s purported involvement in various cyberattacks targeting essential U.S. infrastructure. Meanwhile, China’s cybersecurity authorities have also raised concerns about ongoing cyber threats against their own networks.
In a statement addressing the sanctions against Integrity Technology Group, Guo Jiakun, spokesperson for the Chinese Foreign Ministry, emphasized that China has been proactively tackling cyber threats. Guo accused Washington of using the allegations of cyberattacks to unjustly tarnish China’s image. He stated, “The U.S. has been highlighting supposed Chinese cyber threats and has initiated illegal unilateral sanctions against our nation. China strongly opposes these actions and will implement measures to defend its rightful interests.”
Integrity Technology Group has countered these sanctions, asserting that they are based on unfounded claims. In a statement released to the Shanghai Stock Exchange, the company, which is also called Yongxin Zhicheng Technology Group, vehemently rejected the Treasury Department’s accusations and described the sanctions as unjust and illegal.
Meanwhile, the China National Cyber Security Information Center reported that it has detected a series of attacks from various malicious online sources and foreign IP addresses, including those from California, Florida, the Netherlands, Singapore, Mexico, Turkey, and Vietnam. The center highlighted that these attacks involve tactics such as Trojan programs, botnets, phishing schemes, theft of intellectual property, and privacy violations, posing significant risks to Chinese internet users and domestic networks. They cautioned that some activities could potentially constitute criminal conduct.
On Friday, the U.S. Treasury’s Office of Foreign Assets Control announced sanctions against Integrity Technology Group, effectively restricting its access to U.S. properties and bank accounts. These measures prevent the identified individuals and entities from engaging in any business dealings with American citizens, citing the firm’s involvement in multiple hacking activities, linking it to the Flax Typhoon campaign. This campaign is reportedly state-sponsored from China and focuses on critical U.S. infrastructure.
Notably, these sanctions were not related to a previous incident reported by the Treasury Department, which disclosed that Chinese hackers had remotely infiltrated several workstations and unclassified documents within its systems. This breach was flagged on December 8 by a third-party software vendor, BeyondTrust, which indicated that hackers had compromised a critical key meant to secure a cloud-based service used for providing remote technical support.
U.S. officials are dealing with the ramifications of a significant Chinese cyberespionage campaign known as Salt Typhoon, which reportedly granted Beijing access to a range of personal communications of numerous Americans. Officials disclosed that, at least, eight telecom companies and several countries fell victim to the Salt Typhoon operations last month.
In response to the sanctions, Integrity Technology contended that they would not significantly impact its operations as the company has no business or assets in the U.S. The firm reiterated its commitment to complying with all relevant laws and regulations, stating its ongoing mission to enhance global security through its business practices.