A concept photo of cybersecurity Photo: VCG

Integrity Technology Group (Integrity Tech), a high-tech Chinese company in the information technology service industry, stated in a public notice on Sunday that the sanctions by the Office of Foreign Assets Control of the US Treasury Department are unilateral actions, and the decision to place the company on the SDN list - the Specially Designated Nationals and Blocked Persons - lacks a factual basis. It firmly opposes the baseless US accusations and illegal unilateral sanctions against it. 

The company said that its operations and financial situation are normal, and this incident will not have a significant adverse impact on its daily business operations.

Integrity Tech does not have any subsidiaries or branches in the US, nor does it conduct any business there, and the company has no assets in the US, according to the notice. 

The US sanctions against Chinese firm Integrity Tech, based on unsubstantiated hacking allegations, expose an underlying sense of anxiety and a deliberate scheme to hinder the technological progress of Chinese firms, a Chinese expert said on Saturday, slamming the latest moves by the US Department of State and Treasury Department on Friday.

The US is imposing sanctions on the Beijing-based cybersecurity company Integrity Technology for its role in "multiple computer intrusion incidents against US entities," according to a statement by US State Department spokesperson Matthew Miller on Friday. 

The spokesperson alleged that China-based hackers working for Integrity Tech, known to the private sector as "Flax Typhoon," were working at the direction of the Chinese government, targeting critical infrastructure in the US and elsewhere overseas.   

The US Department of the Treasury's Office of Foreign Assets Control on Friday also announced sanctions against Integrity Tech for similar alleged intrusion activities. 

As part of the sanctions, all property and interests in property of the company that are in the US or in the possession or control of US persons are blocked and must be reported to the US Treasury Department, according to the department. 

"This is a consistent action taken by the US aimed at suppressing Chinese high-tech companies, and undermining their development potential and vitality," Li Haidong, a professor at China Foreign Affairs University, told the Global Times on Saturday.

"The action taken by the US also reflects its anxious mindset, with the goal of disrupting the technological evolution and business expansion of Chinese high-tech firms through aggressive government intervention. This is a typical example of politicizing the marketization of technology and related business activities," Li said.

In September, the US Justice Department said in a statement it stopped a cyberattack network run by "Chinese-backed hackers" that affected 200,000 devices worldwide. It alleged that the botnet devices were infected by "Chinese state-sponsored" hackers working for Integrity Technology Group. 

In response, Chinese Foreign Ministry spokesperson Lin Jian said in September that China firmly opposes various forms of cyberattacks, and at the same time opposes groundless accusations and smears against China. 

"We urge the US to stop making waves in cyberspace, act as a responsible major country, step up dialogue and cooperation with the international community, and jointly respond to cybersecurity risks," Lin said. 

The Chinese enterprises and individuals recognized by the US for contributing to China's technological development and security are being stigmatized by the US. This reflects Washington's competitive mindset and its zero-sum perspective in formulating policies toward China, Li said. 

Integrity Tech is a listed company in the information transmission, software, and information technology services industry, according to publicly available information from the Shanghai Stock Exchange.

The claim that Integrity Tech organized large-scale hacking operations lacks evidence, and the accusations and sanctions by the US appear to be speculative, Xiang Ligang, director-general of the Beijing-based Information Consumption Alliance, told the Global Times on Saturday.

For a publicly listed company, "organizing hacking operations" against the US lacks both incentive and practical benefits, Xiang said.