Deputy a.G. Rosenstein: good morning. For many decades, the united states has led the world in science, technology, research, and development. Hostile individuals, organizations, and nation states have taken note of our success. The increase in the attempt to profit from americans ingenuity by infiltrating our computer systems, stealing intellectual property and abating controls on exports. When hackers gain unlawful access to computers, it can take them only a few minutes to steal discoveries that were produced by many years of work in many millions of dollars of investment. That type of activity does not just cause economic harm. It also threatens america’s national security. Identifying and prosecuting computer hackers is a top priority of the department of justice. We are here today to announce that a federal grand jury in the southern district of new york indicted nine iranians for conspiring to hack into computers and attempting to defraud american and foreign universities, businesses, and government agencies. I want to caution you that an indictment is not if finding of guilt. In the american judicial system, defendants are assumed innocent unless and until proven guilty in court. The indictment alleges the defendants worked on behalf of the iranian government, specifically the islamic revolutionary guard corps. They have to the computer systems of approximately 120 universities – pardon me, approximately 320 universities in 22 countries. 144 Of the university victims are american universities. The defendants stole research that cost those universities four point $2 billion to procure and maintain. That information was used by the revolutionary guard or sold for profit in iran. The defendants worked for an organization that two of the defendants founded for the stated purpose of helping iranian diversities access scientific – universities access to scientific research. The work consisted of stealing research through illegal computer intrusions. The indictment charges nine defendants for committing seven federal front – crimes that include computer fraud, wire fraud, conspiracy, and identity theft. I want to make two additional points before i turn the microphone over to united states attorney jeffrey berman, who will provide more details about the allegations and the defendants. First, every sector of our economy is the target of malicious cyber attacks. Everyone that owns a computer needs to be vigilant to prevent attacks. Academic institutions are prime targets for foreign cyber commands. Universities can thrive as marketplaces of ideas and engines of research and development only if their work is protected from theft. The events described in this indictment highlight the need for universities and all other organizations to emphasize cyber security, increased threat awareness, and harden computer networks.
part 2
The second important point is that our work on this case is critically important because it will disrupt the activities of the institute and it will do toward – deter similar crimes by other perpetrators. The indictment publicly identifies the conspirators. In this time of public identification, it helps to deter state-sponsored computer intrusions by stripping hackers of their anonymity and by imposing real consequences, revealing the mountain’s institute nefarious activities makes it harder for them to do business. Additionally, we are working with foreign agencies in providing the private sector with information that would help neutralize the hacking infrastructure. By bringing these criminal charges we reinforce the norm that most of the civilized world accepts – nationstates should not steal intellectual property for the purpose of giving domestic industries a competitive advantage. As a result of the environment, the – indictment, these defendants are now fugitives from justice. There are more than 100 countries where they may face arrest and extradition to the united states. Thanks to the treasury department, the defendants will find it difficult to engage in business or financial transactions outside of i ran. By making clear the criminal actions have consequences, we deter schemes to victimize the united states, its companies, and its citizens, and we help to protect our foreign allies. In summary, the united states is taking several coordinated actions to coincide with unseal ing this indictment. We are imposing financial sanctions on the individual defendants. We are releasing information about cyber vulnerabilities, which will help private sector organizations perfect – protect themselves, and we are assisting international law enforcement partners. I am grateful to secretary steven mnuchin for using the treasury department’s authorities to reinforce the charges are i also want to think geoffrey berman, john demurs, fbi director christopher wray, and the many employees, agents, and support personnel who worked to secure the support indictment. I would like to introduce the united states attorney from southern new york, geoffrey berman.