Monday, January 6, 2020

FBI Raids China Water Treatment Headquarters


Johnathan Quest, spokesman for the Federal Bureau of Inquiry, told a news conference today that a team of investigators from the FBI, ECS-CERT and Dragonfire, a commercial cybersecurity firm, executed a search warrant at the headquarters of China Water Treatment, a US subsidiary of Tianjin Chemical here in New Orleans. Quest told reporters that three Chinese nationals were detained, and a large number of records and computer hardware were removed from the building.

While Quest was unwilling to discuss the case to which this raid was related, an investigator from ECS-CERT who spoke on condition of anonymity reported that seizures were related to the attack on Blew Bayou Chemical Christmas Week that sent three firefighters to the hospital and caused major damage to the monomer production area of the facility.

An email sent last week from Dragonfire to ECS-CERT reported that company investigations turned up evidence of Chinese involvement in the cyberattack on the facility. Unconfirmed reports this weekend seemed to indicate that Dragonfire had found evidence that the command-and-control server for the attack was located in Louisiana not in China.

Immanuel C. Securitage, spokesman for ECS-CERT, confirmed at today’s press conference that there had been some indications in the attack software that it had been generated by a known Chinese APT group, HuaxueGang. There were not, Securitage reported, any indications that that group was actually involved in the use of that malware in this case. All communications indicators pointed to IP and physical addresses here in the United States.

Eaton Kaghun, a plant manager for Blew Bayou Chemical told reporters outside of today’s news conference that Tianjin Chemical was the competitor of Blew Bayou in Asia and was trying to break into the tight US monomer market via their China Water Treatment subsidiary.

An unidentified spokesperson from the Chinese Consulate in New Orleans reported that the Chinese government was cooperating fully with investigators from ECS-CERT. “We do not in anyway condone attacks on industrial control systems that could have physical impacts on the health and safety of anyone in the US chemical industry.”

A well-known Chinese dissident in Hong Kong, Zhēnzhū Jiàng Yā, reportedly told Dragonfire that in the current international situation, China did not want anyone in the current administration to blame them for a cyber-physical attack on a US company facility. That dissident also reported that it appeared that the President of Tianjin Chemical was being questioned by police in Beijing.


CAUTIONARY NOTE: This is a future news story –

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