Obama grants powers to sanction hacker groups

Obama grants powers to sanction hacker groups

In response to the 'national security' issue of cyber terrorism, Obama gives new powers of prosecution

An executive order by President Obama has created a new sanctions program to protect the country from cyber attacks that threaten military or commercial networks. Specifically, the new sanctions will target foreign groups or individuals who threaten US national security or economic stability with digital means.

“This sends a signal that the days of free-range hacking are over,” said James Lewis, an expert on the issue from the Center for Strategic and International Studies.

The new legislation allows the US Treasury Department to freeze the assets of those suspected of engaging in cyber espionage. Additionally, such hackers will be prevented from completing many other financial transactions.

“From now on, we have the power to freeze their assets, make it harder for them to do business with U.S. companies, and limit their ability to profit from their misdeeds,” said Obama.

Similar measures have been employed recently to punish Russia’s actions in Ukraine. The power to levy sanctions to hackers, as opposed to nations, would allow the US to prosecute five Chinese military hackers, as well as the North Korean hackers responsible for the cyber attack on Sony last year.

“The Obama administration is really getting serious now,” said Joel Brenner, who headed U.S. counterintelligence during President George W. Bush’s second term. “This order brings to bear the economic might of the United States against people who are robbing us blind and putting us in danger.”

The executive order offers broad powers allowing persecution of parties responsible for stealing money from accounts, harming digital infrastructure, using trade secrets for competitive advantage, or simply disrupting computer networks. Many worry that the sanctions can be applied so broadly that it will be a nightmare for companies to comply with them.

Representative Mike McCaul (R. Texas) has stated that he was happy that such a gap in national security was finally closed. However, the move was not thorough enough to address the totality of the threat of cyber attacks.

“While this action to impose sanctions on hackers is an important step, unfortunately it further illustrates the administration’s piecemeal approach to confronting these growing cyber threats,” he said.

In addition to those saying the law is inadequate, others are complaining this is an attempt of the government to control the Internet and further the reach of the NSA. Officials have been quick to quiet such fears.

“We intend to use this tool judiciously and in extraordinary circumstances,” said John Smith, the acting director of Treasury’s Office of Foreign Assets Control. “This authority is not designed to police the Internet or stifle technological innovation.”

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