US, China talk cyberhacking amid new allegations


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BEIJING (AP) — Secretary of State John Kerry says it doesn't appear that any sensitive material was compromised in an alleged hacking attempt on U.S. government personnel files earlier this year, but the matter is still being investigated.

The New York Times reports that Chinese hackers broke into the computer networks of the Office of Personnel Management in March with the intention of accessing the files of tens of thousands of federal employees who had applied for top-secret security clearances.

Kerry was asked about the report following talks in China that Kerry says included a frank exchange on the topic of cyberhacking.

But Kerry says the Times report wasn't specifically raised because he and Treasury Secretary Jack Lew only learned about it after the talks concluded.

Cybersecurity was already one of the most sensitive issues at this weeks this week's "Strategic and Economic Dialogue" in Beijing, after the United States unsealed indictments against five senior Chinese military officials in May. They are accused of stealing trade secrets from the computers of American companies and passing them on to Chinese competitors.

%@AP Links

122-a-12-(Secretary of State John Kerry, at news conference)-"our nation's competitiveness"-Secretary of State Kerry lambasts cybertheft, saying that the crime undermines good business practice. (10 Jul 2014)

<<CUT *122 (07/10/14)££ 00:12 "our nation's competitiveness"

123-a-11-(Secretary of State John Kerry, at news conference)-"in this area"-Secretary of State Kerry says the U.S. and China have discussed concerns over cyberhacking during security talks. (10 Jul 2014)

<<CUT *123 (07/10/14)££ 00:11 "in this area"

APPHOTO TOK328: U.S. Secretary of State John Kerry speaks at a press conference following the end of talks at the U.S.-China Strategic and Economic Dialogue, in Beijing on Thursday, July 10, 2014. (AP Photo/Greg Baker, Pool) (10 Jul 2014)

<<APPHOTO TOK328 (07/10/14)££

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