Codan reportedly attacked by Chinese hackers

Codan, an Australian-listed manufacturer and supplier of communications, metal detection and electronic equipment, is claimed to have been targeted by Chinese hackers, according to the ABC’s Four Corners program.

The company’s minelab division - that manufactures metal detectors - has reportedly been targeted by counterfeiters in the past. Donald McGurk, CEO and MD, Codan, declined to elaborate on the incident on the Four Corners program. But Codan issued an ASX statement on 28 May saying that the company has no evidence that any intellectual property in either its metal detection or communications business has been obtained by unauthorised third parties.

According to the Four Corners program, Chinese hackers broke into Codan’s computer systems by inserting malware into a Codan executive’s work laptop during the executive’s trip to China.

“The company understands that the nature of its products may cause the company to be a target of ‘hackers’, and as reported in recent years the unauthorised manufacture of counterfeit gold detectors in China has heightened the company’s awareness of this matter,” according to a company press release.

“Strong action has been taken to protect our information against Chinese-based counterfeit gold detector manufacturers, which has included the company implementing processes and controls to protect the computer systems that store the company’s intellectual property.”

McGurk said that the protection of the company’s intellectual property is fundamental to its business, and its systems and controls have been designed to defend against this threat.

The establishment of systems to defend against the threat of unauthorised third parties gaining access to sensitive intellectual property is an ongoing challenge which must continually evolve as ‘hacking’ techniques change and increase in sophistication.