Major Data Breach Hits Financial Services Provider
A significant cybersecurity incident has impacted SitusAMC Group Holdings, LP, a prominent technology vendor serving real estate financiers, leaving major American banks and mortgage lenders scrambling to assess potential damage. The breach, which occurred in mid-November, compromised sensitive client data including accounting records and legal agreements.
The company discovered the intrusion on November 12 and has been working with external cybersecurity experts and federal law enforcement to determine the full scope of the incident. According to company statements, the breach has now been contained and did not involve encrypting malware, suggesting it was likely a data theft operation rather than a ransomware attack.
Banking Giants on High Alert
Among the affected institutions are financial heavyweights JPMorgan Chase & Co. and Citigroup Inc., both of which received formal notifications about the breach. Sources familiar with the matter, who requested anonymity due to the sensitive nature of the ongoing investigation, confirmed that these banking giants are currently evaluating whether and how their systems were compromised.
Representatives from both Citigroup and JPMorgan Chase have declined to comment publicly on the specific impacts to their organizations. The breach and subsequent notifications to financial institutions were first reported by the New York Times, bringing national attention to the security incident.
FBI Involvement and Ongoing Investigation
The Federal Bureau of Investigation has confirmed its awareness of the cyber incident involving the third-party financial services provider. In a statement attributed to Director Kash Patel, the FBI noted, "While we are working closely with affected organizations and our partners to understand the extent of potential impact, we have identified no operational impact to banking services."
SitusAMC has taken proactive measures by notifying all its residential mortgage customers about potential exposure. However, the company acknowledges that the complete extent of the breach remains unknown as the investigation continues.
Michael Franco, Chief Executive Officer of SitusAMC, assured clients that the situation is under control. "We remain focused on analyzing any potentially affected data and will provide updates directly to our clients as our investigation progresses," Franco stated through a company representative.
The incident highlights the growing cybersecurity challenges facing the financial sector, particularly through third-party vendors that serve multiple major institutions. As the investigation unfolds, affected banks continue their internal assessments while customers await further details about potential data exposure.
