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Sri Lanka Finance Ministry Hacked: $2.5M Vanishes
10 Jul
Summary
- Ministry payment system hacked, losing $2.5 million in January.
- Oversight committee blames operational lapses for the cybercrime.
- Police are investigating, and five treasury officials were suspended.
A Sri Lankan parliamentary oversight committee has ruled that $2.5 million was lost due to hacking of the Finance Ministry's payment system. This cybercrime occurred in January during a foreign debt repayment to Australia.
The Committee on Public Finance (COPF) identified lapses at the governance level within the Finance Ministry and the central bank as contributing factors. The investigation found the incident to be cyber fraud, with operational-level failures enabling the crime.
Between December and March, at least five debt payments totaling $2.5 million were diverted to accounts controlled by cybercriminals. Sri Lanka only became aware of the breach in late March after Export Finance Australia reported a non-receipt of payment.
The police's CID is continuing its investigation, and at least five Treasury officials have been suspended. An Assistant Director from the Finance Ministry's External Resources Department, who was suspended, was later found dead in what police termed a suicide.
