The House Financial Services Subcommittee on National Security, Illicit Finance, and International Financial Institutions, led by Subcommittee Vice Chair Young Kim, convened a hearing titled “Held for Ransom: How Ransomware Endangers Our Financial System” on April 16, 2024.
During the hearing, Vice Chair Young Kim expressed gratitude to the witnesses and colleagues present, stating, "I would like to begin by thanking our witnesses for taking the time to be here today. I am delighted to sit right next to my friend and colleague, Representative Beatty. Additionally, I would like to wish Chairman Luetkemeyer a speedy recovery."
Kim highlighted the importance of the hearing in providing policymakers with essential information on ransomware attacks, emphasizing the need for a deeper understanding of the threats faced by the nation, stating, "Today’s hearing will provide policy makers with essential information on the anatomy of a ransomware attack, a topic we have not discussed holistically since the committee held a hearing on pandemic-related fraud almost four years ago."
The Vice Chair underscored the widespread impact of ransomware attacks across various sectors, noting, "Cyberattacks are carried out against organizations of all sizes, and across every sector, including, but not limited to, financial services, gaming, healthcare, education, and state and local governments."
In discussing the increasing prevalence of ransomware attacks, Kim pointed out, "In 2023 alone, ransomware attacks hit a record high with over $1 billion extorted from victim organizations." She also emphasized the constant evolving nature of cyber threats, stating, "I think it is fair to say that the ransomware threat is not going away anytime soon."
Furthermore, Kim highlighted the global implications of cyber threats, specifically mentioning Iran's involvement in aggressive cyber operations, including ransomware attacks against the United States and its allies. She stressed the importance of congressional action in addressing these threats to safeguard national security interests, stating, "Congress must properly educate itself on the severity of this issue to better protect not only U.S. citizens and businesses, but U.S. national security interests as a whole."
In conclusion, Vice Chair Young Kim emphasized the need for bipartisan collaboration in tackling ransomware threats, stating, "I am grateful that the minority party has approached this hearing in a bipartisan fashion. This type of collaborative effort between committee staff and Members on both sides of the aisle is exactly how we must approach a threat of this severity."
The hearing aimed to shed light on the challenges posed by ransomware attacks and explore potential strategies to enhance cybersecurity resilience and combat cybercrime effectively.