It is reported in DNAIndia that there are clear indications of Chinese having intruded into army computers in the border and accessed some confidential reports.

According to the report, Chinese intelligence appear to have  planted computer malware and broken into the headquarters of 33 Corps, the army formation looking after most of the north-eastern border with China. The trojan is suspected to have provided remote access to the computer network at the 33 Corps headquarters in Sukhna, near Siliguri in West Bengal.

The inference is drawn from the fact that Chinese have raised some issues based on some information which was contained in a report of the army present in their computers.

Now we need to wait and see how the Indian Government responds. In case the Government collects acceptable cyber evidence in the form of the presence of trojans and the access of the computers from a Chinese IP address, it should be sufficient to raise the issue of “Cyber Intrusion”, an “Act of War” against India in international fora such as the UNO.

US under Obama has shown that it cannot antagonize China and hence raising he issue in any platform other than the UN is of no consequence.

It is also clear that repeated acts of aggression from China on India indicate a possible plan of escalation which ultimately lead to a full scale war on the physical borders.

Though this may not happen in the next year or two, the “Risk of War with China” is a distinct reality. Many Indian companies have invested in China and these companies need to be wary of continuing the China Risk in their investments. They need to hedge their risks with international insurance companies and slowly reduce the risks if possible.

A delegation of the Government of Karnataka under  Mr Yeddyurappa has recently visited China and indicated a desire to enter into some investment deals to be followed up. BSNL had also contracted to buy modems from China. ISPs like Reliance are also buying modems of Chinese make. There are thousands of laptops made in China entering the Indian market. All these decisions have the China risk embedded in them.

The CERT IN needs to make an assessment of China Risk on the Indian Information Industry and advise the Government suitably.

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