June 6, 2023

Volume XIII, Number 157


June 06, 2023

Subscribe to Latest Legal News and Analysis

June 04, 2023

Subscribe to Latest Legal News and Analysis

NYDFS Issues Cybersecurity Guidance in Response to Events in Ukraine

In light of Russia’s recent military actions in Ukraine, the New York Department of Financial Services issued guidance on its cybersecurity and virtual currency regulations. The Department is specifically concerned about heightened risk for Russia’s cyberattacks against Ukraine, which could in turn lead to retaliatory attacks against U.S. critical infrastructure due to U.S. sanctions against Russia.

The Department clarified that regulated entities should comply with U.S. sanctions on Russia, but should take measures to mitigate potential security risks. The following includes some recommendations to mitigate increased cyber threats:

  • Review cybersecurity programs with a particular eye on security hygiene measures, such as multi-factor authentication;

  • Review, update and test incident response and business continuity planning;

  • Implement practices not already in place in the Department’s June 2021 Ransomware Guidance;

  • Conduct regular penetration testing to check ability to restore backups; and

  • Provide additional cybersecurity awareness trainings and reminders for employees within the organization.

Putting it into Practice: Current world events serve as a reminder for why it is important for organizations to prioritize their cybersecurity programs and ensure that they take mitigation efforts to prevent the devastating effects of cyber-attacks.

Copyright © 2023, Sheppard Mullin Richter & Hampton LLP.National Law Review, Volume XII, Number 68

About this Author

Snehal Desai, attorney, Sheppard Mullin

Snehal Desai is an associate in the Intellectual Property Practice Group in the firm's San Francisco office. She is a member of the Privacy and Cybersecurity Team, the Advertising Team and the Technology Transactions Team.

Areas of Practice

Advertising: Snehal advises clients in conducting advertising campaigns, contests and sweepstakes, and brand marketing campaigns. 

Technology and Commercial Transactions: Snehal drafts and negotiates...

A.J. S. Dhaliwal Bankruptcy Attorney Sheppard Mullin Washington DC

A.J. is an associate in the Finance and Bankruptcy Practice Group in the firm's Washington, D.C. office. 

A.J. has over a decade of experience helping banks, non-bank financial institutions, and other companies providing financial products and services in a wide range of matters including government enforcement actions, civil litigation, regulatory examinations, and internal investigations.

With a diversified regulatory, compliance, and enforcement background, A.J. counsels financial institutions in matters involving...