CEOs of major banks grilled at Assembly audit over AI cyberattacks

By Lee Hyo-jin

• Published Oct 19, 2026 4:29 PM KST
• Updated Oct 19, 2026 4:40 PM KST

FSS governor vows thorough probe into data breaches

The heads of five major commercial banks faced scrutiny at a National Assembly audit Monday over a series of recent artificial intelligence (AI)-assisted cyberattacks, with lawmakers raising concerns about cybersecurity and internal controls.

KB Kookmin Bank CEO Lee Hwan-ju, Shinhan Bank CEO Jung Sang-hyuk, Hana Bank CEO Lee Ho-seoung, Woori Bank CEO Jung Jin-wan and NH NongHyup Bank CEO Kang Tae-young were summoned as witnesses to the parliamentary audit of the Financial Supervisory Service (FSS).

It was the first time since October 2022 that the heads of all five lenders had been called to testify at the same audit.

"I sincerely apologize to our customers and the public for the concern caused by a security incident at a financial institution built on trust," KB Kookmin Bank CEO Lee Hwan-ju said. "We will make every effort to prevent a recurrence by securing sufficient budgets and personnel and strengthening our security systems against AI-powered cyberattacks."

"I deeply apologize for the incident," Shinhan Bank CEO Jung Sang-hyuk said in response to a question from Rep. Kim Jae-sub of the main opposition People Power Party about the data breaches.

Hana Bank CEO Lee Ho-seoung said the lender would "increase its cybersecurity budget and workforce and adopt AI-based security systems to prevent similar incidents."

Lee said the bank would compensate customers in full for any losses resulting from the incident, although no customer losses had been confirmed so far.

"We face around 200 hacking attempts a day, and our employees will do their utmost to prevent any damage," Woori Bank CEO Jung Jin-wan said, adding that the bank considered itself fortunate to have escaped harm in the recent wave of attacks.

The bank chiefs were summoned after a wave of suspected AI-linked cyberattacks hit financial institutions in recent weeks.

As of Oct. 14, 16 financial firms, including banks, savings banks and insurers, had reported cybersecurity incidents that exposed about 100,000 personal records, according to financial authorities.

Among the affected lenders, Shinhan Bank reported a data breach involving about 25,000 people, while KB Kookmin Bank and Hana Bank reported leaks affecting 119 and 89 customers, respectively. Woori Bank and NH NongHyup Bank have not reported customer data breaches linked to the recent incidents.

The incidents have raised concerns about vulnerabilities in banks' security systems. Rather than directly targeting core banking networks, the attacks involved abnormal access to internal support systems, prompting suspicions that AI agents may have been used to automate the process.

Financial regulators and law enforcement authorities have been conducting investigations to identify perpetrators.

FSS Gov. Lee Chan-jin pledged to address the vulnerabilities exposed by the breaches by investigating thoroughly.

"The recent security breaches have caused great concern among the public. We will swiftly address security vulnerabilities through a thorough investigation," the governor said during the audit.

He added that the watchdog will encourage financial institutions to use AI to strengthen their defenses against AI-powered attacks.

"We will consult with the Financial Services Commission to review various measures aimed at encouraging financial institutions to increase their investment in security and personnel," he said.