FSS IT Inspection Bureau and Financial Security Institute Conduct On-site Inspection
Inspection May Be Launched Depending on Cause of Incident
FSC to Review Possible EFTA Violations
Ransomware-related Regulatory Gaps Also Under Review
Financial authorities are currently conducting a status investigation into SGI Seoul Guarantee (Seoul Guarantee), which experienced a service outage due to a ransomware attack. Depending on how Seoul Guarantee handles the incident and the results of the investigation into its cause, there is a high possibility that the Financial Supervisory Service (FSS) will launch an inspection. The Financial Services Commission (FSC) also plans to examine not only potential violations of the Electronic Financial Transactions Act (EFTA) but also any regulatory gaps related to ransomware.
According to financial authorities on July 17, the FSS IT Inspection Bureau has dispatched personnel to SGI Seoul Guarantee to assess the situation related to the incident. The Financial Security Institute has also sent personnel in cooperation with the FSS. The FSS stated that it will first focus on resolving the incident and then proceed with an investigation into its cause.
On July 14, Seoul Guarantee suffered a ransomware attack, resulting in a system failure. As a result, operations such as mortgage loans, jeonse guarantee, mobile phone installment activation, and goods payment guarantee insurance have been suspended, causing disruptions not only for the company but also for banks and partner companies.
Seoul Guarantee offers more than 40 guarantee products. Because of the large number of products, the impact extends beyond the financial sector to the manufacturing and distribution industries. A representative from the distribution industry said, "Home shopping partners are required to enroll in performance guarantee insurance, but we have been notified that enrollment will not be possible for about a week."
Financial authorities explained that the ISMS and ISMS-P certifications, which some have pointed to, are not directly related to preventing such incidents. ISMS and ISMS-P are certificates issued to public institutions or companies with well-established personal information protection systems. Seoul Guarantee has not obtained these certifications.
The FSC stated its intention to investigate whether there were any violations of the Electronic Financial Transactions Act. The EFTA strengthens the security of electronic systems at financial companies and institutions and specifies requirements for incident response. If the law was followed, the security system would have been managed at a high level regardless of certification status.
An FSC official said, "Our first priority is to focus on resolving the incident and minimizing damage. After that, we will review whether Seoul Guarantee violated the EFTA or other regulations, and if there is a need to supplement regulations related to ransomware, we will prepare for that as well."
Meanwhile, on the morning of July 17, SGI Seoul Guarantee announced that it had completed restoration of its core IT systems, including guarantee certificate issuance, insurance payment, and recourse collection, and decided to resume customer services from 10 a.m. The company stated that its internal business support systems are still being restored.
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