US Sanctions Chinese Cybersecurity Firm Over Ties to State-Sponsored Hacking

The U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) has imposed sanctions on Integrity Technology Group, a cybersecurity company based in Beijing. Integrity Tech was implicated in cyberattacks attributed to Flax Typhoon, a Chinese state-sponsored hacking group active since 2021. Flax Typhoon has been linked to breaches in U.S. critical infrastructure, employing known vulnerabilities and legitimate remote-access software to infiltrate networks.

Treasury officials emphasized the nation’s commitment to addressing cyber threats, highlighting collaboration across public and private sectors to strengthen defenses. The action follows a cybersecurity advisory issued in September 2024 by the FBI and allied agencies, detailing Flax Typhoon’s methods and Integrity Tech’s involvement.

As part of the sanctions, U.S. persons and entities are prohibited from conducting transactions with Integrity Tech. Additionally, any assets under U.S. jurisdiction tied to the firm are now frozen. This measure underscores the Treasury’s broader effort to disrupt cyber-enabled activities threatening U.S. national security and critical infrastructure sectors.