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Congressional Sledgehammer Drops On DHS Cyber Insecurity

Client Alert | 1 min read | 09.27.07

Following a series of tough investigations and oversight hearings on cybersecurity in April and June with more to come, the House Homeland Security Committee dropped the hammer on DHS and its contractors in a letter on September 21, 2007, finding that cyber attacks on federal and contractor IT systems "have resulted in the loss of massive amounts of critical information," characterizing DHS and contractor responses as "misleading" and subject to potential criminal penalties under 18 U.S.C. 1001, and demanding a DHS IG investigation -- and referral for "criminal investigation" if appropriate. With contractors operating over 1,100 federal IT systems subject to the Federal Information Security Management Act (FISMA), future security breaches virtually assure Congressional investigations, as the Homeland Security Committee promised: "The Committee will continue to investigate security breaches, particularly those occurring among commercial contractors."

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Client Alert | 8 min read | 10.01.25

BIS Issues “Affiliates Rule” to Dramatically Expand Applicability of Entity and Military End-User Lists

On September 29, 2025, the U.S. Department of Commerce Bureau of Industry and Security (BIS) announced a sweeping Interim Final Rule (IFR), (the “Affiliates Rule”) expanding which entities qualify as Entity List or Military End-User entities, thereby subjecting those entities to elevated export control restrictions under the Export Administration Regulations (EAR). U.S. export restrictions applicable to entities on the Entity List, Military End-User (MEU) List, and Specially Designated Nationals and Blocked Persons (SDN List) now apply to foreign affiliates that are, in the aggregate, owned 50% or more by one or more of the aforementioned entities. An entity that becomes subject to these restrictions because of its ownership structure will be subject to the most restrictive controls that attach to any of its parent entities, regardless of ownership stakes....