'Financial Institution Hacking' Case Upgraded to Formal Investigation... Police Form Dedicated Task Force

Review Underway on Whether to Refer the Case to the Serious Crime Investigation Agency

The police, who had been conducting a preliminary investigation into the series of cyberattacks targeting financial institutions, beginning with the banking sector, have decided to formally launch a full-scale investigation.

Photo by Hyunmin Kim, National Police Agency, Seodaemun-gu, Seoul.

The National Investigation Headquarters of the National Police Agency announced on the 6th that it has completed the objective verification of facts regarding the recent hacking incidents at financial institutions and will now proceed with a formal investigation. The police have booked the case on charges of violating the Act on Promotion of Information and Communications Network Utilization and Information Protection, and in light of the seriousness of the matter, have designated the Cyber Terror Response Division at the headquarters as the dedicated investigation team.

The information leaks have been confirmed at Shinhan, KB Kookmin, Hana, and BNK Busan Banks, as well as at Hyundai Capital, Yegaram Savings Bank, and Welcome Savings Bank in the secondary financial sector. The police launched the preliminary probe on October 1, just one day after major commercial banks including Shinhan Bank announced information breaches. At the outset, the preliminary investigation covered Shinhan, KB Kookmin, Hana, and BNK Busan Banks. As the scope of damage has grown, it appears that the range of the investigation will expand as well.

The decision on whether to notify the Serious Crime Investigation Agency (SCIA) is still under review. There are two types of cybercrimes for which notification to the SCIA is required: violations of the Act on Promotion of Information and Communications Network due to hacking against national core infrastructure, or violations of the Electronic Financial Transactions Act due to hacking against electronic financial infrastructure. The affected financial institutions in this case are not designated as national core infrastructure. The police have requested an official interpretation from the Financial Services Commission on whether these institutions qualify as electronic financial infrastructure.

As the case has now moved to a full-fledged investigation, it has become the first major cybercrime incident handled by the police since the reformation of the criminal justice system with the implementation of the amended Criminal Procedure Act. An official from the National Investigation Headquarters stated, "We will work closely with relevant agencies to conduct a swift and thorough investigation to allay public concerns."

This content was produced with the assistance of AI translation services.