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SEC Left Sensitive Data Vulnerable, Report Says

Securities and Exchange Commission employees' computers went unencrypted, inspector general says

Computers containing sensitive trading information at the Securities and Exchange Commission have been left unencrypted and open to cyberattack, according to a forthcoming report.

A Fox News report states that employees at the SEC's Trading and Markets Division left devices containing sensitive data about stock exchanges unencrypted and even brought those unencrypted to a recent Black Hat conference.

The security lapses in the Trading and Markets Division are laid out in a yet-to-be-released report by the SEC's Interim Inspector General Jon Rymer, according to Fox News. There was no evidence that hacking or spying on the SEC's computers took place, the report says.

The SEC's Trading and Markets Division is responsible for making sure exchanges follow certain guidelines to protect the markets from potential cyberthreats and systems problems.

Fox News quoted a source familiar with the SEC's security lapse as saying the agency was forced to spend at least $200,000 and hire a third-party firm to conduct a thorough analysis to make sure none of the data was compromised.

The watchdog's report has already been circulated to the SEC's five commissioners, as well as to key lawmakers on Capitol Hill. It is expected to be made public soon, Fox News reported.

Have a comment on this story? Please click "Add a Comment" below. If you'd like to contact Dark Reading's editors directly, send us a message. Tim Wilson is Editor in Chief and co-founder of Dark, UBM Tech's online community for information security professionals. He is responsible for managing the site, assigning and editing content, and writing breaking news stories. Wilson has been recognized as one ... View Full Bio

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User Rank: Strategist
11/12/2012 | 9:49:45 PM
re: SEC Left Sensitive Data Vulnerable, Report Says
Wonder whether the machine brought to Black Hat was exposed.
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