Cyber bill to penalize hacker havens

Foreign countries that fail to crack down on cyber criminals operating within their borders could face a host of new economic penalties if a Senate bill introduced Tuesday becomes law.

That legislation, authored by Sens. Orrin Hatch (R-Utah) and Kirsten Gillibrand (D-N.Y.), aims to cut down on the growing number of "countries of cyber concern" — states in which fraud schemes, cyber attacks and computer hacks targeting the United States are routinely plotted, they said.

Their new bill would charge the White House with the responsibility of identifying countries that pose cyber threats, which the president would have to present to Congress in an annual report. Those states would then have to develop plans of action to combat cybercrimes or risk cuts to their U.S. export dollars, foreign-direct investment funds and trade assistance grants, the lawmakers explained.

“Cybercrime must be a top priority for our national security,” Gillibrand said in a joint statement with Hatch. “If we’re going to protect our networks, our infrastructure, our economy and our families, we have to go after cyber criminals wherever they may be — and it must be an international effort."

Ultimately, the two lawmakers' latest effort arrives as matters of cybersecurity are becoming increasingly pressing on Capitol Hill.

A series of high-profile attacks on U.S. businesses, including Google, has reinforced lawmakers' calls for comprehensive legislation.

One such bill, drafted by Sens. Jay Rockefeller (D-W.Va.) and Olympia Snowe (R-Maine), would establish a Senate-appointed office to manage cybersecurity matters and require agencies to develop plans of action in the event of a nationwide network breach. It has already scored a number of key allies in the tech community, though it has not yet survived a vote before the Senate Commerce Committee, which Rockefeller and Snowe lead.

By contrast, Gillibrand and Hatch's bill would travel the route of the Senate Foreign Relations Committee, Gillibrand's office told The Hill on Tuesday.

The two lawmakers thus see their bill as "the first piece of legislation that establishes a comprehensive framework" to handle cybercrimes -- a complement to their colleagues' work, the senator's office added.

Already, at least two influential companies have showered their praise on Hatch and Gillibrand's new proposal: Both MasterCard and Microsoft described the legislation as essential in statements the two lawmakers included in their release announcing the bill.

Hatch, too, stressed the bill's importance Tuesday, noting the prospective law could cut down on online crimes and save the United States and its businesses billions every year.

“Cybercrime is a serious threat to the security of the global economy, which is why we need to coordinate our fight worldwide. Until countries begin to take the necessary steps to fight criminals within their borders, cybercrime havens will continue to flourish,” Hatch said.

“We don’t have the luxury to sit back and do nothing. I believe the International Cybercrime Reporting and Cooperation Act will not only function as a deterrent of cybercrime, but will prove to be an essential tool necessary to keep the Internet open for business,” he said.

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