JPMorgan Chase & Co (JPM) Falls Victim to A Global Hacking Syndicate

J.P. Morgan (JPM)

JPMorgan Chase & Co (NYSE:JPM) is no exception when it comes to defending client’s confidentiality and erecting invincible walls of security, especially in this era of Internet banking. Therefore, any news pertaining to the website of a well known corporate giant having been hacked is obviously alarming and even raises serious concerns.

What is even scarier is the fact that the hacking had probably commenced a couple of months back and would have continued undetected had it not been intercepted by Hold Security, a consultancy firm based in Milwaukee. Initially, suspicion had been cast on a group of loose criminal hackers of Russian origin but this theory has been discarded and, according to JPMorgan Chase & Co (NYSE:JPM), efforts are still on to uncover the roots of this vicious conspiracy.

J.P. Morgan (JPM)

The situation was serious enough to incite Scott Borg, Director, United States Cyber Consequences Unit, to comment –

“The most notable thing about these recent cyberbreaches is not that they happened, but that they went on so long without being detected. Companies are being blindsided, because they are not watching for the specific kinds of cyberattacks that are really going to hurt them.”

Despite having invested millions in establishing a security network and updating it regularly, JPMorgan Chase & Co (NYSE:JPM) could attribute the coming to light of massive hacking only to luck. Alarm bells began to ring when one of the bank’s corporate event website, JP Morgan Corporate Challenge, had been hacked and contact information pertaining to as many as 76 million households had been siphoned. Small businesses had also been targeted, their number standing at 7 million.

Responsibility for the Corporate Challenge Website lies with Simmco Data Systems and there is some information which points to the fact that this organization might have inadvertently issued a website certificate to hackers, thus clearing the path for them. Based on this, the bank shifted all payments pertaining to Corporate Challenge to its Chase website.

One saving grace in the entire situation is that JPMorgan Chase & Co (NYSE:JPM) was able to gauge and rectify the damage before the activity could invade more sensitive data like passwords and Social Security Numbers of its revered clients.

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