Tag Archives: American Stock Exchange

NASDAQ Hackers Aimed At Corporate Bonds

The company that runs the Nasdaq stock market said Saturday that hackers had penetrated a service that handles confidential communications between public companies and their boards, The Seattle Times reports.  The service run by Nasdaq OMX Group Inc. carries strategic information for about 300 companies.

“Directors Desk provides multiple layers of security to protect our clients’ most vital corporate records.”

NASDAQ application operator


However, the company in question says it appears no customer data was compromised. Nasdaq OMX says the hacking attempts did not affect its trading systems. Nasdaq is the largest electronic securities trading market in the US with more than 2.800 listed companies.

The targeted application, Directors Desk, is designed to make it easier for companies to share documents with directors between scheduled board meetings.

It also allows online discussions and Web conferencing within a board.

Since board directors have access to information at the highest level of a company, penetrating the service could be of great value for insider trading, The Seattle Times writes.

The application’s Web page says; “Directors Desk provides multiple layers of security to protect our clients’ most vital corporate records.”

A federal official tells The Associated Press that the hackers broke into the systems repeatedly over more than a year.

Investigators are trying to identify the hackers, the official says. But still they have no clue about  motive.

The official spoke on condition of anonymity because the inquiry by the FBI and Secret Service is continuing.

Nasdaq OMX spokesman Frank DeMaria says the Justice Department requested that the company keep silent about the intrusion until at least Feb. 14.

However, The Wall Street Journal reported the investigation on its website late Friday, prompting Nasdaq to issue a statement and notify its customers.

DeMaria says Nasdaq OMX detected “suspicious files” during a regular security scan on U.S. servers unrelated to its trading systems and determined that Directors Desk was potentially affected.

It pulled in forensic firms and federal law enforcement for an investigation, but found no evidence that any customer information was accessed by hackers.

Nasdaq acquired the company behind Directors Desk in 2007.

In 1999, hackers infiltrated the websites of Nasdaq and the American Stock Exchange leaving taunting messages, but Nasdaq officials also then claimed said that there was no evidence the break-ins affected financial data.

And if your interested in a little bit of extra information

here’s

“The Complete History of Hacking”

 

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NASDAQ Comments On Hackers, Lack of Information

We wasn’t supposed to know about the penetration of NASDAQ‘s computer systems until the US government had finished their investigation – next week at the earliest, that is. But since the story popped in The Wall Street Journal, Saturday, the NASDAQ management could no longer keep quiet. After a consultation with the US Department of Justice, they have issued the following statement.

“Through our normal security monitoring systems we detected suspicious files on the US servers unrelated to our trading systems and determined that our web facing application Directors Desk was potentially affected.”

Adena Friedman/Vince Palmiere

Security is not what it used to be.

“Many of you may have read an article published in today’s Wall Street Journal which reports that computer hackers have penetrated our network. Below are facts behind the story,” the US stock exchange writes in a note to its clients.

“Through our normal security monitoring systems we detected suspicious files on the US servers unrelated to our trading systems and determined that our web facing application Directors Desk was potentially affected. We immediately conducted an investigation, which included outside forensic firms and US federal law enforcement. The files were immediately removed and at this point there is no evidence that any Directors Desk customer information was accessed or acquired by hackers. Our trading platform architecture operates independently from our web-facing services like Directors Desk and at no point was any of NASDAQ OMX’s operated or serviced trading platforms compromised.”


“Subsequently, the US Department of Justice requested that we refrain from providing notice to our customers until, at the earliest, February 14, 2011, in order to facilitate the continuing investigation. NASDAQ OMX was honoring the US Government’s request to delay notification, but when a story ran in the media on Saturday, February, 5, 2011, regarding a hacking incident at NASDAQ OMX, we immediately decided, in consultation with the authorities, that we must inform our constituents.”


“We continue to evaluate and enhance our advanced security controls to respond to the ever increasing global cyber threat and continue to devote extensive resources to further secure our systems. Cyber attacks against corporations and government occur constantly. NASDAQ OMX remains vigilant against such attacks. We have been working in cooperation with the Government’s ongoing investigations and have received their technical advice for which we are appreciative.”

As always, please don’t hesitate to contact us if needed.

Adena Friedman
Executive Vice President, Corporate Strategy and Chief Financial Officer

Vince Palmiere
Vice President, Investor Relations

Okay, but this rise a couple of another interesting questions:

Like: On which NASDAQ-unrelated US servers were the suspicious files detected?

And if I should give any advise to the NASDAQ people it would be to get a second opinion on the security issues, besides what they get from the US authorities.

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(h/t: Zero Hedge)

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