FBI declares suspected Chinese hack of US surveillance system a ‘major cyber incident’

The FBI has deemed a recent China-linked cyber intrusion into a sensitive agency surveillance system a “major incident,” meaning it poses significant risks to U.S. national security, according to one congressional aide and two U.S. officials with knowledge of the matter.

The bureau first told Congress on March 4 that it was investigating suspicious activity on an internal agency system that contained “law enforcement sensitive information.” The FBI did not publicly identify who was behind the activity at the time, but reports said that China is suspected.

The FBI determined the intrusion meets the definition of a major incident under a federal data security statute known as FISMA, said the three people. Congress was informed of the decision earlier this week, according to the aide. This person, like others in this report, was granted anonymity because they were not authorized to speak publicly on the investigation.

The determination suggests the hackers successfully compromised swathes of sensitive data stored directly on FBI systems, likely marking a major counterintelligence coup for China. FISMA requires agencies to tell lawmakers within seven days about any digital intrusion it has determined is “likely to result in demonstrable harm” to U.S. national security.
Cynthia Kaiser, the former deputy assistant director of the FBI’s cyber division, said she is not aware of the FBI making any such determination on a hack affecting its own systems since at least 2020.

“Thresholds under FISMA are quite high, and only a few agencies declare a major cyber incident every year,” Kaiser said. Under guidelines set by FISMA, an intrusion can meet the major incident threshold if it involves the exfiltration or compromise of personally identifiable data, or presents acute risks to the national security, foreign relations, public confidence or civil liberties of Americans.

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