SEC Charges Flagstar for Misleading Investors About Cyber Breach
ADMINISTRATIVE PROCEEDINGFile No. 3-22360 December 16, 2024 – The Securities and Exchange Commission today filed settled charges against Flagstar Bancorp, Inc. (now known as “Flagstar Financial, Inc.”), for making materially misleading statements regarding a cybersecurity attack on Flagstar’s network in late 2021 (the “Citrix Breach”). The SEC’s order finds that Flagstar negligently made materially misleading statements […]

Should regulators do more naming and shaming?
The U.K. Information Commissioner’s Office did an interesting two-year trial and the results suggest that publicly reprimanding public sector entities over breaches and data leaks is an effective strategy — even without any monetary penalties. Infosecurity Magazine reports: The publication of reprimands following data leaks has been cited as an “effective” deterrent for public authorities. […]