The FBI confirmed last night that it is working with the U.S. Secret Service "to determine the scope of recently reported cyber attacks against several American financial institutions." According to the WSJ, federal investigators are primarily focused on a possible "significant breach of corporate computer security" at J.P. Morgan and up to four other banks. J.P Morgan stated today that it is taking "additional steps" to protect confidential information and that it is working with law enforcement to determine the scope of the attack.

 

The WSJ reports that hackers may have been able to gain initial access to J.P. Morgan's computer system through the use of malicious computer code on a J.P. Morgan employee's personal computer. From there, the hackers were reportedly able to obtain deeper access to the bank's computer system.

 

The reports of a cyber attack on J.P. Morgan and other banks follow numerous recent warnings from the SEC that banks and other regulated entities must have adequate cybersecurity to protect the integrity of the global financial marketplace. Earlier this year, SEC Chairman Mary Jo White explained that the SEC had jurisdiction and would begin closely examining firms' cybersecurity with a focus on “the integrity of our market systems, customer data protection, and disclosure of material information.” In May 2014, an SEC official stated that the results of the first wave of examinations of broker-dealers' cybersecurity readiness had been poor and “disappointing.”

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