DOJ Will Use FCA, Levy Fines for Failure to Report Data Breaches
Today, the Department of Justice announced that it would levy significant fines against federal contractors and other recipients of federal funding if they fail to disclose data breaches. “For too long, companies have chosen silence under the mistaken belief that it’s less risky to hide a breach than to bring it forward and report it,” Deputy Attorney General Lisa Monaco remarked during the Aspen Institute Cyber Summit. “Well, that changes today.”
According to Monaco, DOJ’s “civil cyber fraud initiative” will target government contractors who fail to comply with required cyber standards. The department will use its existing authorities under the FCA for this effort and Monaco vowed that DOJ would protect any whistleblower who reports violations and security failures.
Source:
- Department of Justice: Deputy Attorney General Lisa O. Monaco Announces New Civil Cyber-Fraud Initiative
- NextGov: DOJ to Hit Government Contractors with ‘Very Hefty Fines’ If They Fail to Disclose Data Breaches
- Federal News Network: DoJ’s New Civil Cyber-Fraud Initiative to Hold Contractors Accountable for Cybersecurity
- CyberScoop: US to Increase Scrutiny on Cryptocurrency, Federal Contractors in Effort to Slow Hacking
