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US Authorizes Private Cyber Firms to Hack Transnational Criminal Networks
Trump signed a national security memorandum letting vetted private US cybersecurity firms run government-approved offensive cyber operations against transnational criminal organizations.
The August 13 memorandum creates a program managed by the National Coordination Center covering Cyber Surveillance Operations and Cyber Effects Operations against Cyber-Enabled Transnational Criminal Organizations, explicitly excluding entities that are parts of foreign governments. DOJ and DHS executive directors must co-approve every operation in writing, with extra authorization for operations raising laws-of-armed-conflict questions. Participating firms must pass vetting, annual evaluations and hold a $1 million bond or escrow. Operating procedures are due within 60 days, and the unresolved CFAA exemption question is addressed by requiring direct government control.
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Trump taps cyber firms to go on offensive against criminals
Presidential memorandum allows vetted private companies to conduct offensive cyber operations against transnational cybercrime with advance DOJ and DHS approval.
A presidential memorandum released Wednesday lets vetted US companies partner with the Justice and Homeland Security departments on offensive operations and surveillance targeting transnational cybercrime, fraud and predatory schemes, with written pre-approval required for every operation. Operations may not cause loss of life or rise to the level of use of force or armed attack under international law. Participating firms face penalties of at least $1 million for contract violations, must disclose all contractual relationships, and face annual evaluation, while agencies have two months to develop participation standards. The move builds on a March executive order; the White House says Americans reported $20.8 billion in cyber-related losses last year.
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Trump turns to private sector in offensive hacking operations memo
Trump signed a national security memorandum authorizing vetted private companies to conduct offensive cyber operations against transnational criminal organizations under federal oversight.
The memorandum creates a federal coordination center program authorizing 'Participating Companies' to conduct Cyber Surveillance Operations and Cyber Effects Operations against foreign cyber-enabled transnational criminal organizations. Participating firms must contract with the Justice Department or Department of Homeland Security, undergo vetting, and comply with existing laws including the Computer Fraud and Abuse Act. The White House cited sustained fraud and cyber-enabled campaigns from TCOs as justification, building on a March fraud-focused executive order. Experts including Veracode co-founder Chris Wysopal called it a major shift in U.S. cyber policy, though it stops short of broader 'hack back' proposals.
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