Ryu Je-myung, Second Vice Minister of Science and ICT, and Kwon Dae-young, Vice Chairman of the Financial Services Commission, hold a joint briefing on hacking countermeasures at the Government Complex Seoul in Jongno-gu, Seoul, on the 19th. Yonhap News. 

The government has expressed its grave concern regarding the recent series of hacking incidents and reaffirmed its commitment to establishing fundamental, cross-ministerial countermeasures.

During a joint briefing on cyber security breaches involving telecommunications and financial companies on the 19th, the Ministry of Science and ICT (MSIT) and the Financial Services Commission (FSC) confirmed this stance and emphasized that they are doing their utmost to resolve the situation as quickly as possible.

However, the briefing lacked specific joint countermeasures, consisting instead of individual statements from each ministry regarding the KT unauthorized micro-payment incident and the Lotte Card hacking case.

Regarding the KT unauthorized micro-payment incident, MSIT Second Vice Minister Ryu Je-myung stated, "A joint public-private investigation team will swiftly and thoroughly analyze the cause of the incident and disclose the results transparently. Currently, the team is investigating how the hacker’s illegal ultra-small base station was able to connect to KT’s internal network and through what channels personal information was obtained."

He further explained that identification of victims confirmed damages totaling approximately 240 million won for 362 individuals, and that 20,030 users were exposed to the illegal base station, resulting in the leakage of phone numbers, International Mobile Subscriber Identity (IMSI) information, and International Mobile Equipment Identity (IMEI) data.

Vice Minister Ryu emphasized, "The government, led by the National Security Office and in coordination with relevant ministries such as the MSIT and FSC, is working together to minimize damage from these hacking incidents. The MSIT plans to review the entire current security system from scratch to devise fundamental measures rather than ad-hoc responses."

Ryu Je-myung, Second Vice Minister of Science and ICT (right), and Kwon Dae-young, Vice Chairman of the Financial Services Commission, exchange greetings before the joint briefing on hacking countermeasures held at the Government Complex Seoul in Jongno-gu, Seoul, on the 19th. Yonhap News. 

He further confirmed, "We will strengthen penalties, such as fines, for companies that intentionally delay or fail to report security breaches. We will also improve the system to allow the government to conduct thorough investigations even when companies have not reported an incident, provided that the government has obtained evidence of a breach."

FSC Vice Chairman Kwon Dae-young stated, "In the process of investigating Lotte Card, we discovered that the scale of the data leak was larger than what was initially reported. We will closely supervise and manage Lotte Card to ensure that consumer protection measures are carried out without any setbacks."

Vice Chairman Kwon added, "We intend to impose strict sanctions to set an example if any violations are found based on the investigation results. We view cyber security breaches in the financial sector with extreme gravity and seriousness," he said, bowing his head.

He pointed out, "While hacking techniques and methods are evolving rapidly due to IT advancements, the financial sector's response has been lagging. It is time for the financial sector to take a cold, hard look at whether its complacency—viewing security investments as unnecessary costs or secondary tasks—has been a factor."

He declared, "Taking this recent series of incidents as an opportunity, we will immediately initiate an intensive review of security status and begin drafting fundamental institutional improvements to prevent recurrence. We will mandate an urgent review of the entire computer and information protection system under the responsibility of financial company CEOs, and provide close guidance and supervision through the Financial Supervisory Service and the Financial Security Institute."

Government officials and representatives from Lotte Card (left) and KT (right) bow their heads after the joint briefing on hacking countermeasures held at the Government Complex Seoul in Jongno-gu, Seoul, on the 19th. Yonhap News. 

He added, "We will swiftly pursue measures such as the introduction of punitive damages to ensure that companies take strict accountability commensurate with the social impact of a security breach. We are also devising measures such as strengthening the authority of the Chief Information Security Officer (CISO) and enhancing consumer disclosures so that financial firms stay alert to security management at all times."

Vice Chairman Kwon added, "The government aims to comprehensively strengthen the internal security capabilities of financial companies. We are considering measures such as requiring financial firms to establish their own security plans and allocate appropriate personnel and resources. We will formulate and announce comprehensive plans to bolster the security capacity of financial firms."

Meanwhile, regarding the joint government statement, Vice Minister Ryu explained, "The relevant ministries held a joint briefing because hacking incidents occurred consecutively in two areas—telecommunications and finance—that affect daily life. Currently, in addition to the two ministries, other relevant agencies, including the National Intelligence Service and the Personal Information Protection Commission, are discussing further measures under the guidance of the National Security Office."

He stated, "The government is working to devise comprehensive or sector-specific measures through meetings of relevant ministries led by the National Security Office."

Yonhap News