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US Poised To Sue Contractors Who Don’t Report Cyber Breaches

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FILE - In this Sept. 30, 2021 photo, Deputy Attorney General Lisa Monaco speaks with reporters during a news conference at the Department of Justice in Washington. Monaco said the Justice Department, as part of a new initiative, is prepared to take legal action under a statute called the False Claims Act against contractors who misuse federal dollars by failing to disclose hacks or by having deficient cybersecurity standards. The department will also protect whistleblowers who come forward to report those issues. (AP Photo/Alex Brandon)

(AP) — The Justice Department is poised to sue government contractors and other companies who receive U.S. government grants if they fail to report breaches of their cyber systems. That’s according to the Justice Department’s No. 2 official. Deputy Attorney General Lisa Monaco said the department is prepared to take legal action under a statute called the False Claims Act against contractors who misuse federal dollars by failing to disclose hacks or by having deficient cybersecurity standards. The department will also protect whistleblowers who come forward to report those issues.

 

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