Financial Crime World

Cyber Threats Escalate Against Taiwan’s Financial Institutions

Suspected Chinese State-Sponsored Group Targeting Taiwanese Organizations

Taipei, Taiwan - A recent report by cybersecurity intelligence company Recorded Future has revealed a surge in cyber threats against Taiwanese financial institutions and organizations. The suspected Chinese state-sponsored hacking group, known as RedJulliett, has been observed targeting 24 organizations in Taiwan and around the world between November 2023 and April 2024.

Key Findings:

  • RedJulliett’s activities are linked to China’s efforts to collect intelligence on Taiwan and support Beijing’s policy-making on cross-strait relations.
  • The group is believed to be based in Fuzhou, China’s Fujian province.
  • RedJulliett has targeted organizations in various sectors, including government, education, technology, and diplomacy.

Vulnerabilities Exploited by RedJulliett

RedJulliett accessed the servers of its targets via a vulnerability in their SoftEther enterprise virtual private network (VPN) software. This open-source VPN allows remote connections to an organization’s networks but provides limited visibility and logging capabilities.

Recommendations for Protection:

  • Prioritize patching vulnerabilities once they become known.
  • Implement robust cybersecurity measures, including regular security audits and employee training.

Taiwanese Financial Institutions at Risk

Taiwanese financial institutions are particularly vulnerable to cyber threats due to their reliance on outdated systems and lack of robust cybersecurity measures. The country’s banks and other financial organizations have been the target of several high-profile hacking incidents in recent years.

Urgent Action Required:

  • Financial institutions must take immediate action to strengthen their cybersecurity defenses.
  • Companies and organizations must prioritize patching vulnerabilities once they become known.

The report’s findings have raised concerns among Taiwanese officials, who are urging the country’s financial institutions to take proactive measures to protect themselves from these threats.